STUB (NYSE:STUB) Trading Down 8.4% on Analyst Downgrade

STUB (NYSE:STUB) fell 8.4% during mid-day trading on Friday after Oppenheimer lowered their price target on the stock from $20.00 to $12.00. Oppenheimer currently has an outperform rating on the stock. STUB traded as low as $8.12 and last traded at $8.16. 3,190,587 shares traded hands during mid-day trading, a decline of 15% from the average session volume of 3,757,402 shares. The stock had previously closed at $8.91.

Several other research analysts have also recently weighed in on the stock. JPMorgan Chase & Co. reaffirmed a “neutral” rating and issued a $10.00 price target (down from $22.00) on shares of STUB in a report on Thursday. Citigroup raised STUB from a “sell” rating to a “neutral” rating in a research note on Wednesday, February 18th. Guggenheim restated a “buy” rating on shares of STUB in a research report on Tuesday, February 24th. Craig Hallum assumed coverage on STUB in a research note on Thursday, January 29th. They issued a “hold” rating and a $12.00 target price on the stock. Finally, Weiss Ratings started coverage on STUB in a report on Wednesday, January 14th. They issued a “sell (d-)” rating on the stock. Two investment analysts have rated the stock with a Buy rating, four have given a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus price target of $11.40.

Key Stories Impacting STUB

Here are the key news stories impacting STUB this week:

• Positive Sentiment: Seeking Alpha upgrades STUB to Neutral, arguing the post‑IPO price collapse makes valuation more compelling and highlighting potential tailwinds from Direct Issuance tech and live‑event recovery; still warns of leverage and competitive risk. Read More.
• Neutral Sentiment: Analyst price‑target moves show mixed views: Oppenheimer cut its target from $20 to $12 but kept an Outperform rating (still implying upside at current levels). This is a partial vote of confidence amid lowered expectations. Read More.
• Neutral Sentiment: Valuation writeups and market commentaries are dissecting whether the Q4 drop creates a buying opportunity; these pieces increase investor focus but don’t change the underlying earnings miss or leverage concerns. Read More.
• Negative Sentiment: Wedbush downgraded STUB to Neutral from Outperform after Q4 results missed estimates and visibility into growth from direct ticket issuance weakened; they also cut their price target significantly (from $18 to $10). Read More.
• Negative Sentiment: JPMorgan reiterated a Neutral rating but slashed its price target to $10 from $22, signaling reduced confidence in near‑term recovery and lowering the analyst support level for the shares. Read More.
• Negative Sentiment: Multiple firms cut earnings forecasts and models after the Q4 miss; that analyst broadside amplified selling pressure and contributed to the stock hitting a record low intraday. Read More.
• Negative Sentiment: Headline financials: a large reported loss (≈ $535M including tax provision), declining GMS and revenue softness were centerpieces of the earnings call and are weighing on sentiment as investors fret about profitability and regulatory/tax volatility. Read More.
• Negative Sentiment: Market reaction: heavy volume and rapid downgrades drove the share price lower as traders priced in slower recovery, event concentration risk and a materially higher near‑term risk premium. Read More.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in STUB. Index Venture Associates III Ltd purchased a new stake in STUB during the fourth quarter valued at about $85,192,000. Norges Bank purchased a new position in shares of STUB in the 4th quarter worth about $23,678,000. Capital Research Global Investors purchased a new position in shares of STUB in the 4th quarter worth about $106,887,000. Capital International Investors bought a new position in shares of STUB during the 4th quarter valued at about $55,235,000. Finally, Intellectus Partners LLC bought a new position in shares of STUB during the 4th quarter valued at about $467,000.

STUB Trading Down 7.0%

The firm has a market cap of $3.05 billion and a price-to-earnings ratio of -13.82. The company has a quick ratio of 1.14, a current ratio of 1.14 and a debt-to-equity ratio of 0.98.

STUB (NYSE:STUB) last released its earnings results on Wednesday, March 4th. The company reported ($1.56) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.01) by ($1.55). The company had revenue of $449.17 million during the quarter. STUB’s quarterly revenue was down 15.8% on a year-over-year basis.

STUB Company Profile

Stubhub Holdings Inc, through its subsidiaries, provides an online marketplace to buy and sell tickets for sports, concerts, theater, festivals and other live events. Stubhub Holdings Inc is based in NEW YORK.