Bandwidth (NASDAQ:BAND) Trading Up 4.1% – Here’s Why

Bandwidth Inc. (NASDAQ:BAND) shot up 4.1% during trading on Tuesday . The stock traded as high as $53.18 and last traded at $50.9550. 241,686 shares were traded during mid-day trading, a decline of 72% from the average session volume of 872,348 shares. The stock had previously closed at $48.97.

Analyst Upgrades and Downgrades

Several equities research analysts have recently weighed in on BAND shares. Needham & Company LLC reiterated a “buy” rating on shares of Bandwidth in a research report on Thursday, August 20th. Citigroup reaffirmed a “market outperform” rating on shares of Bandwidth in a research note on Monday, July 20th. Citizens Jmp upped their target price on shares of Bandwidth from $70.00 to $86.00 and gave the stock a “market outperform” rating in a report on Monday, July 20th. Wall Street Zen cut shares of Bandwidth from a “strong-buy” rating to a “buy” rating in a research note on Sunday, June 28th. Finally, B. Riley Financial raised their price target on shares of Bandwidth from $55.00 to $85.00 and gave the company a “buy” rating in a report on Thursday, July 9th. Five research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $59.80.

Bandwidth Stock Up 2.9%

The company has a debt-to-equity ratio of 0.87, a current ratio of 2.04 and a quick ratio of 2.04. The company has a fifty day moving average price of $54.40 and a 200 day moving average price of $43.58. The company has a market cap of $1.62 billion, a PE ratio of -171.48 and a beta of 3.03.

Bandwidth (NASDAQ:BAND) last announced its earnings results on Wednesday, July 29th. The company reported $0.37 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.36 by $0.01. Bandwidth had a net margin of 0.27% and a return on equity of 1.85%. The business had revenue of $219.90 million during the quarter, compared to analyst estimates of $217.62 million. Bandwidth’s revenue was up 22.2% on a year-over-year basis. Bandwidth has set its Q3 2026 guidance at 0.450-0.490 EPS and its FY 2026 guidance at 1.710-1.790 EPS. As a group, analysts anticipate that Bandwidth Inc. will post 0.65 EPS for the current year.

Insider Activity at Bandwidth

In other Bandwidth news, CEO David A. Morken sold 5,128 shares of Bandwidth stock in a transaction dated Monday, August 31st. The stock was sold at an average price of $49.15, for a total transaction of $252,041.20. Following the completion of the sale, the chief executive officer owned 6,702 shares of the company’s stock, valued at $329,403.30. The trade was a 43.35% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Kade Ross sold 1,616 shares of the company’s stock in a transaction dated Monday, August 31st. The stock was sold at an average price of $49.15, for a total value of $79,426.40. Following the completion of the transaction, the insider owned 48,071 shares of the company’s stock, valued at $2,362,689.65. The trade was a 3.25% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 23,550 shares of company stock worth $1,154,782 in the last three months. 5.26% of the stock is owned by insiders.

Institutional Trading of Bandwidth

A number of hedge funds have recently bought and sold shares of the company. Dimensional Fund Advisors LP boosted its stake in Bandwidth by 6.3% in the first quarter. Dimensional Fund Advisors LP now owns 1,551,508 shares of the company’s stock worth $27,647,000 after buying an additional 91,812 shares in the last quarter. Wellington Management Group LLP raised its stake in shares of Bandwidth by 138.9% during the second quarter. Wellington Management Group LLP now owns 911,893 shares of the company’s stock worth $57,723,000 after acquiring an additional 530,182 shares in the last quarter. Arrowstreet Capital Limited Partnership raised its stake in shares of Bandwidth by 299.5% during the first quarter. Arrowstreet Capital Limited Partnership now owns 688,430 shares of the company’s stock worth $12,268,000 after acquiring an additional 516,117 shares in the last quarter. Renaissance Technologies LLC lifted its holdings in shares of Bandwidth by 4.2% in the 1st quarter. Renaissance Technologies LLC now owns 644,981 shares of the company’s stock worth $11,494,000 after acquiring an additional 26,081 shares during the last quarter. Finally, Assenagon Asset Management S.A. lifted its holdings in shares of Bandwidth by 51.1% in the 1st quarter. Assenagon Asset Management S.A. now owns 491,873 shares of the company’s stock worth $8,765,000 after acquiring an additional 166,423 shares during the last quarter. Institutional investors own 68.53% of the company’s stock.

Bandwidth Company Profile

Bandwidth Inc is a cloud communications company that provides application programming interfaces (APIs) and communications services for businesses, software developers and service providers. Its platform enables organizations to integrate voice calling, text messaging and other communications capabilities into applications, websites and business workflows.

The company’s offerings include voice and messaging APIs, toll-free and local telephone numbers, emergency communications and 911 access, authentication and related communications tools.