Bandwidth (NASDAQ:BAND) Shares Up 8.9% – Time to Buy?

Bandwidth Inc. (NASDAQ:BAND) shot up 8.9% during mid-day trading on Thursday . The company traded as high as $72.05 and last traded at $71.4250. 514,814 shares were traded during mid-day trading, a decline of 19% from the average session volume of 636,750 shares. The stock had previously closed at $65.60.

Analysts Set New Price Targets

BAND has been the topic of several recent research reports. Zacks Research upgraded shares of Bandwidth from a “hold” rating to a “strong-buy” rating in a research report on Thursday, May 7th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Bandwidth in a report on Monday, April 20th. Citizens Jmp boosted their target price on shares of Bandwidth from $45.00 to $70.00 and gave the stock a “market outperform” rating in a research report on Friday, May 15th. Wall Street Zen cut shares of Bandwidth from a “strong-buy” rating to a “buy” rating in a research note on Saturday, May 16th. Finally, Needham & Company LLC lifted their price target on shares of Bandwidth from $45.00 to $60.00 and gave the company a “buy” rating in a research report on Thursday, May 14th. One investment analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and one has given a Sell rating to the company. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $43.25.

Bandwidth Stock Up 11.4%

The stock has a market cap of $2.34 billion, a price-to-earnings ratio of -192.72 and a beta of 2.93. The firm’s 50-day moving average is $36.23 and its 200 day moving average is $22.15. The company has a debt-to-equity ratio of 0.37, a current ratio of 0.94 and a quick ratio of 0.94.

Bandwidth (NASDAQ:BAND) last announced its quarterly earnings results on Thursday, April 30th. The company reported $0.38 earnings per share for the quarter, beating analysts’ consensus estimates 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 for 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 anticipate that Bandwidth Inc. will post 0.55 earnings per share for the current fiscal year.

Insider Buying and Selling at Bandwidth

In other news, CFO Daryl E. Raiford sold 17,026 shares of the company’s stock in a transaction that occurred on Thursday, March 12th. The stock was sold at an average price of $15.47, for a total transaction of $263,392.22. Following the completion of the transaction, the chief financial officer directly owned 52,745 shares of the company’s stock, valued at approximately $815,965.15. This represents a 24.40% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO David A. Morken sold 4,632 shares of the business’s stock in a transaction that occurred on Friday, May 29th. The shares were sold at an average price of $58.85, for a total value of $272,593.20. Following the transaction, the chief executive officer owned 7,198 shares of the company’s stock, valued at $423,602.30. This represents a 39.15% decrease in their position. The SEC filing for this sale provides additional information. In the last ninety days, insiders have sold 131,181 shares of company stock valued at $5,596,190. Corporate insiders own 5.26% of the company’s stock.

Institutional Investors Weigh In On Bandwidth

Large investors have recently made changes to their positions in the company. Rhumbline Advisers lifted its holdings in Bandwidth by 15.0% in the second quarter. Rhumbline Advisers now owns 40,927 shares of the company’s stock worth $651,000 after purchasing an additional 5,324 shares during the period. Quantbot Technologies LP acquired a new stake in shares of Bandwidth in the second quarter valued at $128,000. Arrowstreet Capital Limited Partnership grew its holdings in Bandwidth by 26.6% during the second quarter. Arrowstreet Capital Limited Partnership now owns 373,153 shares of the company’s stock worth $5,933,000 after acquiring an additional 78,360 shares during the period. Invesco Ltd. boosted its position in shares of Bandwidth by 4.7% during the 2nd quarter. Invesco Ltd. now owns 56,367 shares of the company’s stock valued at $896,000 after purchasing an additional 2,532 shares in the last quarter. Finally, Jump Financial LLC acquired a new position in shares of Bandwidth in the 2nd quarter worth approximately $221,000. Institutional investors and hedge funds own 68.53% of the company’s stock.

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.