Ibotta (NYSE:IBTA) Trading Down 6.4% – Should You Sell?

Shares of Ibotta, Inc. (NYSE:IBTA) were down 6.4% on Wednesday . The stock traded as low as $30.05 and last traded at $30.10. Approximately 49,543 shares changed hands during mid-day trading, a decline of 82% from the average session volume of 269,792 shares. The stock had previously closed at $32.16.

Wall Street Analyst Weigh In

Several research firms recently issued reports on IBTA. Wells Fargo & Company lifted their price target on shares of Ibotta from $34.00 to $38.00 and gave the stock an “equal weight” rating in a research note on Thursday, May 7th. Weiss Ratings reissued a “sell (d)” rating on shares of Ibotta in a research report on Friday, March 27th. Zacks Research upgraded Ibotta from a “strong sell” rating to a “hold” rating in a research note on Monday, June 8th. Needham & Company LLC lifted their target price on Ibotta from $33.00 to $45.00 and gave the stock a “buy” rating in a research report on Thursday, May 7th. Finally, Evercore set a $40.00 price target on Ibotta in a report on Thursday, May 7th. One research analyst has rated the stock with a Buy rating, six have assigned a Hold rating and three have given a Sell rating to the company’s stock. Based on data from MarketBeat, Ibotta presently has an average rating of “Reduce” and an average price target of $33.00.

Ibotta Trading Down 1.1%

The stock has a market capitalization of $613.47 million, a P/E ratio of -89.32 and a beta of -0.59. The stock’s 50 day simple moving average is $33.54 and its 200 day simple moving average is $27.08.

Ibotta (NYSE:IBTA) last released its earnings results on Wednesday, May 6th. The company reported $0.24 earnings per share for the quarter, topping the consensus estimate of ($0.21) by $0.45. The company had revenue of $82.48 million during the quarter. Ibotta had a negative net margin of 2.15% and a negative return on equity of 2.39%. Ibotta’s revenue for the quarter was down 2.5% on a year-over-year basis. During the same period in the previous year, the firm posted $0.02 EPS. On average, sell-side analysts expect that Ibotta, Inc. will post 0.24 EPS for the current fiscal year.

Ibotta announced that its Board of Directors has initiated a stock buyback plan on Wednesday, March 11th that permits the company to buyback $100.00 million in outstanding shares. This buyback authorization permits the company to buy up to 21.1% of its stock through open market purchases. Stock buyback plans are typically a sign that the company’s leadership believes its stock is undervalued.

Insider Buying and Selling

In other news, CTO Luke Roy Swanson sold 5,940 shares of Ibotta stock in a transaction that occurred on Thursday, June 4th. The stock was sold at an average price of $32.98, for a total value of $195,901.20. Following the completion of the transaction, the chief technology officer owned 495,844 shares in the company, valued at approximately $16,352,935.12. This trade represents a 1.18% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Thomas D. Lehrman sold 30,119 shares of the business’s stock in a transaction that occurred on Friday, May 15th. The shares were sold at an average price of $30.78, for a total value of $927,062.82. Following the completion of the sale, the director owned 40,744 shares of the company’s stock, valued at $1,254,100.32. This trade represents a 42.50% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders have sold 107,701 shares of company stock worth $3,419,255. 20.92% of the stock is currently owned by company insiders.

Institutional Trading of Ibotta

A number of institutional investors and hedge funds have recently modified their holdings of the business. Essential Partners LLC boosted its holdings in shares of Ibotta by 40,800.0% in the 1st quarter. Essential Partners LLC now owns 818 shares of the company’s stock valued at $25,000 after buying an additional 816 shares during the period. Bank of America Corp DE raised its stake in Ibotta by 17.8% during the first quarter. Bank of America Corp DE now owns 239,167 shares of the company’s stock worth $7,168,000 after acquiring an additional 36,223 shares during the period. Renaissance Technologies LLC lifted its holdings in Ibotta by 17.7% in the first quarter. Renaissance Technologies LLC now owns 239,300 shares of the company’s stock worth $7,172,000 after acquiring an additional 35,992 shares during the last quarter. Sei Investments Co. bought a new position in Ibotta in the first quarter worth about $344,000. Finally, Meeder Asset Management Inc. acquired a new position in Ibotta in the first quarter valued at approximately $39,000.

About Ibotta

Ibotta (NYSE: IBTA) is a Denver‐based mobile commerce platform that connects consumers, retailers and brands through a unified cash-back rewards experience. Users access the Ibotta mobile app or browser extension to unlock rebates on everyday purchases, redeemable on groceries, retail goods, travel bookings and digital services. The platform integrates with major supermarket chains, big‐box retailers and online merchants, enabling shoppers to earn automatic cash-back both in physical stores and across e-commerce channels.

Founded in 2012 by co‐founder and CEO Bryan Leach, Ibotta has evolved from a simple rebate app into a comprehensive performance marketing partner for consumer goods companies.