VTEX (NYSE:VTEX) Shares Gap Down – Should You Sell?

Shares of VTEX (NYSE:VTEX) gapped down prior to trading on Monday. The stock had previously closed at $4.17, but opened at $3.65. VTEX shares last traded at $4.0330, with a volume of 474,829 shares traded.

Analyst Upgrades and Downgrades

A number of equities research analysts recently commented on the company. Morgan Stanley set a $4.00 target price on VTEX and gave the company an “equal weight” rating in a research report on Friday, August 28th. Weiss Ratings lowered VTEX from a “hold (c)” rating to a “hold (c-)” rating in a research note on Friday, July 31st. Jefferies Financial Group restated a “buy” rating and issued a $5.10 target price on shares of VTEX in a research note on Thursday, August 27th. Itau BBA Securities reaffirmed a “market perform” rating and set a $4.50 target price on shares of VTEX in a report on Tuesday, August 25th. Finally, Wall Street Zen cut VTEX from a “strong-buy” rating to a “buy” rating in a research report on Sunday, October 11th. Two investment analysts have rated the stock with a Buy rating and six have given a Hold rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $4.60.

VTEX Stock Performance

The company has a current ratio of 2.91, a quick ratio of 2.91 and a debt-to-equity ratio of 0.02. The firm’s fifty day moving average price is $3.75 and its two-hundred day moving average price is $3.85. The stock has a market capitalization of $679.40 million, a PE ratio of 24.91, a price-to-earnings-growth ratio of 0.52 and a beta of 0.94.

VTEX (NYSE:VTEX) last announced its quarterly earnings results on Friday, August 7th. The company reported $0.06 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.05 by $0.01. VTEX had a net margin of 11.98% and a return on equity of 12.98%. The firm had revenue of $64.39 million for the quarter, compared to the consensus estimate of $64.69 million. As a group, equities research analysts forecast that VTEX will post 0.21 EPS for the current year.

Insider Activity

In related news, Director Alejandro Scannapieco sold 11,994 shares of the company’s stock in a transaction dated Monday, August 24th. The stock was sold at an average price of $3.67, for a total value of $44,017.98. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider André Spolidoro sold 15,000 shares of the company’s stock in a transaction dated Monday, August 10th. The stock was sold at an average price of $4.04, for a total value of $60,600.00. Following the completion of the transaction, the insider directly owned 301,431 shares of the company’s stock, valued at $1,217,781.24. The trade was a 4.74% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 71,458 shares of company stock valued at $286,995. 40.93% of the stock is owned by company insiders.

Institutional Trading of VTEX

A number of institutional investors and hedge funds have recently made changes to their positions in VTEX. Bank of America Corp DE raised its stake in shares of VTEX by 56.0% during the 1st quarter. Bank of America Corp DE now owns 683,062 shares of the company’s stock worth $2,732,000 after buying an additional 245,306 shares during the period. Hsbc Holdings PLC purchased a new position in shares of VTEX during the 1st quarter valued at approximately $2,302,000. Principal Financial Group Inc. grew its stake in VTEX by 32.2% in the 1st quarter. Principal Financial Group Inc. now owns 330,139 shares of the company’s stock valued at $1,321,000 after acquiring an additional 80,460 shares during the period. Globeflex Capital L P acquired a new stake in VTEX in the 1st quarter valued at $1,144,000. Finally, Sei Investments Co. acquired a new stake in VTEX in the 1st quarter valued at $844,000. 63.69% of the stock is currently owned by hedge funds and other institutional investors.

About VTEX

VTEX (NYSE: VTEX) is a global digital commerce technology company that provides software for businesses to create, operate and expand online sales channels. Its platform supports business-to-consumer, business-to-business and marketplace commerce, helping companies manage digital storefronts, catalogs, pricing, promotions, payments and customer experiences.

The company’s offerings include commerce management, an order management system, marketplace capabilities and tools designed to support headless and omnichannel retail strategies.