Brokerages Set Bandwidth Inc. (NASDAQ:BAND) Target Price at $43.25

Bandwidth Inc. (NASDAQ:BAND) has received a consensus rating of “Moderate Buy” from the seven analysts that are currently covering the firm, MarketBeat.com reports. One equities research analyst has rated the stock with a sell recommendation, five have issued a buy recommendation and one has issued a strong buy recommendation on the company. The average 12-month price target among analysts that have issued a report on the stock in the last year is $43.25.

A number of analysts have recently weighed in on the stock. Citigroup reissued an “outperform” rating on shares of Bandwidth in a research report on Thursday, April 30th. Zacks Research raised shares of Bandwidth from a “hold” rating to a “strong-buy” rating in a research report on Thursday, May 7th. Wall Street Zen downgraded shares of Bandwidth from a “strong-buy” rating to a “buy” rating in a research report on Saturday, May 16th. Citizens Jmp raised their price target 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. Finally, Needham & Company LLC raised their price target on shares of Bandwidth from $45.00 to $60.00 and gave the stock a “buy” rating in a research report on Thursday, May 14th.

Insider Activity at Bandwidth

In other news, insider Kade Ross sold 20,000 shares of the firm’s stock in a transaction that occurred on Monday, May 11th. The shares were sold at an average price of $51.56, for a total transaction of $1,031,200.00. Following the completion of the sale, the insider owned 43,894 shares of the company’s stock, valued at approximately $2,263,174.64. This trade represents a 31.30% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Devesh Agarwal sold 15,000 shares of the firm’s stock in a transaction that occurred on Wednesday, May 20th. The stock was sold at an average price of $57.24, for a total transaction of $858,600.00. Following the sale, the chief operating officer directly owned 61,414 shares of the company’s stock, valued at $3,515,337.36. The trade was a 19.63% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 107,551 shares of company stock worth $4,183,156 over the last three months. 5.26% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Bandwidth

Large investors have recently added to or reduced their stakes in the company. GSA Capital Partners LLP bought a new position in Bandwidth during the third quarter worth $1,100,000. Nano Cap New Millennium Growth Fund L P bought a new position in Bandwidth during the fourth quarter worth $1,622,000. Portolan Capital Management LLC lifted its stake in Bandwidth by 115.8% during the third quarter. Portolan Capital Management LLC now owns 745,802 shares of the company’s stock worth $12,433,000 after purchasing an additional 400,231 shares during the last quarter. Mercer Global Advisors Inc. ADV lifted its stake in Bandwidth by 2.1% during the third quarter. Mercer Global Advisors Inc. ADV now owns 53,681 shares of the company’s stock worth $895,000 after purchasing an additional 1,129 shares during the last quarter. Finally, Numerai GP LLC lifted its stake in Bandwidth by 62.3% during the third quarter. Numerai GP LLC now owns 20,430 shares of the company’s stock worth $341,000 after purchasing an additional 7,839 shares during the last quarter. 68.53% of the stock is currently owned by institutional investors.

Bandwidth Stock Up 4.9%

Shares of NASDAQ:BAND opened at $61.39 on Tuesday. The company has a quick ratio of 0.94, a current ratio of 0.94 and a debt-to-equity ratio of 0.37. Bandwidth has a 52-week low of $12.50 and a 52-week high of $62.03. The company has a 50 day moving average of $28.58 and a two-hundred day moving average of $19.38. The company has a market capitalization of $1.97 billion, a price-to-earnings ratio of -161.55 and a beta of 2.72.

Bandwidth (NASDAQ:BAND) last issued its quarterly earnings data on Thursday, April 30th. The company reported $0.38 earnings per share (EPS) for the quarter, beating 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 company had revenue of $208.78 million during the quarter, compared to the consensus estimate 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. As a group, analysts forecast that Bandwidth will post 0.55 earnings per share for the current fiscal year.

About Bandwidth

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.