PubMatic (NASDAQ:PUBM) Sets New 1-Year High – Still a Buy?

PubMatic, Inc. (NASDAQ:PUBM) shares hit a new 52-week high on Thursday . The stock traded as high as $14.04 and last traded at $13.79, with a volume of 52236 shares. The stock had previously closed at $13.80.

Analyst Upgrades and Downgrades

A number of research firms have issued reports on PUBM. Royal Bank Of Canada increased their target price on shares of PubMatic from $11.00 to $13.00 and gave the stock an “outperform” rating in a report on Friday, May 8th. B. Riley Financial restated a “buy” rating on shares of PubMatic in a research note on Friday, May 8th. Wall Street Zen raised PubMatic from a “sell” rating to a “hold” rating in a research report on Saturday, April 25th. Rosenblatt Securities reiterated a “buy” rating and issued a $21.00 target price on shares of PubMatic in a report on Thursday, April 23rd. Finally, Weiss Ratings reissued a “sell (d)” rating on shares of PubMatic in a research note on Tuesday, April 21st. One investment analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $12.88.

PubMatic Price Performance

The business’s 50 day moving average is $11.63 and its 200 day moving average is $9.37. The stock has a market cap of $641.84 million, a price-to-earnings ratio of -36.22 and a beta of 1.51.

PubMatic (NASDAQ:PUBM) last posted its earnings results on Thursday, May 7th. The company reported ($0.27) EPS for the quarter, beating the consensus estimate of ($0.32) by $0.05. The firm had revenue of $62.57 million for the quarter, compared to analyst estimates of $60.42 million. PubMatic had a negative return on equity of 6.98% and a negative net margin of 6.21%. As a group, analysts forecast that PubMatic, Inc. will post -0.26 earnings per share for the current year.

Insider Activity

In other news, CEO Rajeev K. Goel sold 58,854 shares of the firm’s stock in a transaction dated Thursday, July 2nd. The stock was sold at an average price of $13.68, for a total transaction of $805,122.72. Following the sale, the chief executive officer owned 47,301 shares of the company’s stock, valued at approximately $647,077.68. This trade represents a 55.44% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Steven Pantelick sold 23,548 shares of the business’s stock in a transaction that occurred on Thursday, July 2nd. The stock was sold at an average price of $13.65, for a total value of $321,430.20. Following the sale, the chief financial officer owned 64,820 shares of the company’s stock, valued at approximately $884,793. The trade was a 26.65% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders have sold 318,305 shares of company stock worth $3,807,773. 27.78% of the stock is currently owned by insiders.

Institutional Trading of PubMatic

Several institutional investors have recently modified their holdings of PUBM. Quarry LP purchased a new position in shares of PubMatic in the 4th quarter valued at $30,000. Caitong International Asset Management Co. Ltd lifted its position in PubMatic by 75.6% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 4,449 shares of the company’s stock valued at $39,000 after acquiring an additional 1,915 shares during the last quarter. State of Wyoming purchased a new stake in PubMatic in the first quarter valued at $61,000. Tower Research Capital LLC TRC boosted its stake in PubMatic by 264.8% in the second quarter. Tower Research Capital LLC TRC now owns 4,878 shares of the company’s stock valued at $61,000 after acquiring an additional 3,541 shares in the last quarter. Finally, BNP Paribas Financial Markets boosted its stake in PubMatic by 120.8% in the third quarter. BNP Paribas Financial Markets now owns 8,875 shares of the company’s stock valued at $73,000 after acquiring an additional 4,856 shares in the last quarter. Hedge funds and other institutional investors own 64.26% of the company’s stock.

PubMatic Company Profile

PubMatic is a cloud-based digital advertising technology company that provides a supply-side platform (SSP) enabling publishers to automate and optimize the sale of their ad inventory across display, mobile, video and connected TV channels. Its core offerings include real-time bidding infrastructure, header bidding solutions under the OpenWrap brand and data analytics tools that deliver actionable insights on audience engagement and monetization performance. By facilitating seamless auctions and providing transparent reporting, PubMatic helps publishers maximize yield while improving buyer experiences.

Founded in 2006 by Rajeev Goel and a team of ad-tech veterans, PubMatic grew from an early entrant in programmatic selling to a publicly traded company, listing on the Nasdaq (symbol: PUBM) in December 2020.