Gogo (NASDAQ:GOGO) Shares Gap Up After Insider Buying Activity

Gogo Inc. (NASDAQ:GOGO) shares gapped up prior to trading on Wednesday after an insider bought additional shares in the company. The stock had previously closed at $4.70, but opened at $5.04. Gogo shares last traded at $4.8650, with a volume of 808,177 shares changing hands.

Specifically, insider Oakleigh Thorne bought 170,000 shares of the company’s stock in a transaction on Friday, December 12th. The shares were purchased at an average price of $5.34 per share, with a total value of $907,800.00. Following the transaction, the insider directly owned 954,098 shares in the company, valued at $5,094,883.32. This represents a 21.68% increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website.

Analyst Upgrades and Downgrades

GOGO has been the subject of a number of research analyst reports. William Blair downgraded Gogo from an “outperform” rating to a “market perform” rating in a research report on Tuesday, December 9th. Weiss Ratings restated a “sell (d)” rating on shares of Gogo in a research note on Monday. Two equities research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, Gogo currently has an average rating of “Hold” and a consensus price target of $14.83.

Gogo Trading Down 1.1%

The company has a debt-to-equity ratio of 7.79, a current ratio of 1.74 and a quick ratio of 1.40. The firm has a fifty day simple moving average of $7.55 and a two-hundred day simple moving average of $10.74. The firm has a market capitalization of $622.40 million, a P/E ratio of -93.00 and a beta of 0.89.

Gogo (NASDAQ:GOGO) last issued its quarterly earnings results on Thursday, November 6th. The technology company reported ($0.01) EPS for the quarter, missing analysts’ consensus estimates of $0.11 by ($0.12). The firm had revenue of $223.59 million for the quarter, compared to analysts’ expectations of $222.23 million. Gogo had a negative net margin of 0.65% and a positive return on equity of 71.74%. The firm’s quarterly revenue was up 122.4% on a year-over-year basis. During the same period in the prior year, the company earned $0.08 EPS. On average, equities research analysts anticipate that Gogo Inc. will post 0.41 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Gogo

Several large investors have recently modified their holdings of the business. William Blair Investment Management LLC grew its stake in Gogo by 124.8% in the 2nd quarter. William Blair Investment Management LLC now owns 5,673,833 shares of the technology company’s stock valued at $83,292,000 after buying an additional 3,149,585 shares in the last quarter. Two Sigma Investments LP lifted its position in shares of Gogo by 512.6% during the third quarter. Two Sigma Investments LP now owns 1,218,005 shares of the technology company’s stock worth $10,463,000 after acquiring an additional 1,019,195 shares in the last quarter. Nantahala Capital Management LLC boosted its holdings in shares of Gogo by 38.5% in the first quarter. Nantahala Capital Management LLC now owns 3,564,797 shares of the technology company’s stock worth $30,729,000 after acquiring an additional 990,155 shares during the period. Qube Research & Technologies Ltd purchased a new position in shares of Gogo in the third quarter valued at $6,760,000. Finally, LB Partners LLC raised its stake in shares of Gogo by 30.0% during the 3rd quarter. LB Partners LLC now owns 3,228,979 shares of the technology company’s stock valued at $27,737,000 after purchasing an additional 745,000 shares during the period. Hedge funds and other institutional investors own 69.60% of the company’s stock.

About Gogo

Gogo Inc, together with its subsidiaries, provides broadband connectivity services to the aviation industry in the United States and internationally. The company's product platform includes networks, antennas, and airborne equipment and software. It offers in-flight systems; in-flight services; aviation partner support; and engineering, design, and development services, as well as production operations functions.