Bandwidth (NASDAQ:BAND) Lowered to Buy Rating by Wall Street Zen

Bandwidth (NASDAQ:BAND) was downgraded by analysts at Wall Street Zen from a “strong-buy” rating to a “buy” rating in a report released on Sunday.

Several other equities analysts have also issued reports on BAND. Needham & Company LLC upped their price target on Bandwidth from $45.00 to $60.00 and gave the company a “buy” rating in a research note on Thursday, May 14th. Weiss Ratings reissued a “sell (d-)” rating on shares of Bandwidth in a report on Monday, April 20th. Citizens Jmp upped their target price on shares of Bandwidth from $45.00 to $70.00 and gave the company a “market outperform” rating in a research report on Friday, May 15th. Zacks Research raised shares of Bandwidth from a “hold” rating to a “strong-buy” rating in a research note on Thursday, May 7th. Finally, B. Riley Financial lifted their price target on shares of Bandwidth from $20.00 to $27.00 and gave the stock a “buy” rating in a research report on Friday, April 17th. One investment analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, Bandwidth presently has a consensus rating of “Moderate Buy” and a consensus target price of $43.25.

Bandwidth Price Performance

Shares of BAND stock opened at $56.90 on Friday. Bandwidth has a 1 year low of $12.50 and a 1 year high of $75.98. The company has a current ratio of 0.94, a quick ratio of 0.94 and a debt-to-equity ratio of 0.37. The firm’s 50 day moving average is $50.05 and its 200-day moving average is $27.32. The firm has a market capitalization of $1.82 billion, a price-to-earnings ratio of -149.74 and a beta of 2.93.

Bandwidth (NASDAQ:BAND) last posted its quarterly earnings data on Thursday, April 30th. The company reported $0.38 earnings per share for the quarter, topping the consensus estimate of $0.32 by $0.06. Bandwidth had a negative net margin of 0.64% and a positive return on equity of 1.47%. The firm had revenue of $208.78 million during the quarter, compared to analysts’ expectations of $201.58 million. Bandwidth has set its FY 2026 guidance at 1.770-1.830 EPS and its Q2 2026 guidance at 0.350-0.370 EPS. Sell-side analysts forecast that Bandwidth will post 0.55 EPS for the current fiscal year.

Insider Buying and Selling at Bandwidth

In other Bandwidth news, General Counsel Richard Brandon Asbill sold 29,214 shares of the stock in a transaction dated Friday, June 5th. The stock was sold at an average price of $72.03, for a total transaction of $2,104,284.42. Following the completion of the transaction, the general counsel owned 3,000 shares in the company, valued at approximately $216,090. This represents a 90.69% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Kade Ross sold 1,588 shares of Bandwidth stock in a transaction dated Friday, May 29th. The shares were sold at an average price of $58.85, for a total value of $93,453.80. Following the completion of the sale, the insider directly owned 47,996 shares in the company, valued at $2,824,564.60. This represents a 3.20% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 127,269 shares of company stock valued at $7,192,523 over the last quarter. 5.26% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the company. Empowered Funds LLC grew its holdings in shares of Bandwidth by 9.9% during the first quarter. Empowered Funds LLC now owns 154,432 shares of the company’s stock worth $2,752,000 after buying an additional 13,961 shares in the last quarter. Quantinno Capital Management LP lifted its stake in Bandwidth by 248.2% in the 1st quarter. Quantinno Capital Management LP now owns 76,836 shares of the company’s stock valued at $1,369,000 after acquiring an additional 54,771 shares in the last quarter. Renaissance Technologies LLC lifted its stake in Bandwidth by 4.2% in the 1st quarter. Renaissance Technologies LLC now owns 644,981 shares of the company’s stock valued at $11,494,000 after acquiring an additional 26,081 shares in the last quarter. Arrowstreet Capital Limited Partnership boosted its position in Bandwidth by 299.5% during the 1st 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 during the last quarter. Finally, Walleye Capital LLC acquired a new position in Bandwidth during the 1st quarter worth approximately $1,069,000. 68.53% of the stock is owned by institutional investors and hedge funds.

Bandwidth Company Profile

Bandwidth Inc operates a cloud-based communications platform that provides voice, messaging and emergency services APIs for enterprises and developers. Through its proprietary network and software-as-a-service model, the company enables customers to integrate programmable voice calls, text messaging and 9-1-1 routing into their applications. Bandwidth’s solutions aim to reduce complexity and improve reliability in mission-critical communications, serving industries such as healthcare, financial services, on-demand mobility and customer engagement.

Founded in 1999 in Raleigh, North Carolina by co-founders David Morken and Henry Kaestner, Bandwidth initially focused on voice-over-IP infrastructure before evolving into a full communications API provider.