Zacks Research Downgrades Radcom (NASDAQ:RDCM) to Strong Sell

Radcom (NASDAQ:RDCM) was downgraded by analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a note issued to investors on Wednesday,Zacks.com reports.

Several other equities analysts also recently commented on RDCM. Wall Street Zen downgraded Radcom from a “buy” rating to a “hold” rating in a research note on Saturday, August 1st. Needham & Company LLC decreased their target price on Radcom from $18.00 to $14.00 and set a “buy” rating for the company in a research report on Wednesday. Finally, Weiss Ratings upgraded Radcom from a “hold (c)” rating to a “hold (c+)” rating in a research note on Wednesday. One research analyst has rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, Radcom presently has a consensus rating of “Hold” and a consensus price target of $14.00.

Radcom Stock Down 1.6%

RDCM opened at $10.16 on Wednesday. The stock has a market cap of $170.08 million, a price-to-earnings ratio of 24.19 and a beta of 0.74. Radcom has a twelve month low of $9.40 and a twelve month high of $16.74. The company’s 50-day moving average price is $12.67 and its two-hundred day moving average price is $12.87.

Radcom (NASDAQ:RDCM) last released its earnings results on Wednesday, August 12th. The technology company reported ($0.09) earnings per share for the quarter, missing analysts’ consensus estimates of $0.24 by ($0.33). Radcom had a net margin of 10.47% and a return on equity of 6.56%. The company had revenue of $11.76 million for the quarter, compared to the consensus estimate of $15.57 million. As a group, sell-side analysts anticipate that Radcom will post 0.59 earnings per share for the current year.

Hedge Funds Weigh In On Radcom

A number of large investors have recently made changes to their positions in the stock. Russell Investments Group Ltd. grew its position in shares of Radcom by 1.5% in the third quarter. Russell Investments Group Ltd. now owns 101,990 shares of the technology company’s stock valued at $1,477,000 after purchasing an additional 1,542 shares in the last quarter. Raymond James Financial Inc. purchased a new stake in Radcom during the 2nd quarter worth about $34,000. Janney Montgomery Scott LLC boosted its stake in Radcom by 1.2% in the 4th quarter. Janney Montgomery Scott LLC now owns 322,099 shares of the technology company’s stock worth $4,213,000 after purchasing an additional 3,750 shares during the period. Goldman Sachs Group Inc. boosted its stake in Radcom by 20.8% in the 4th quarter. Goldman Sachs Group Inc. now owns 24,026 shares of the technology company’s stock worth $314,000 after purchasing an additional 4,140 shares during the period. Finally, Bank of America Corp DE grew its holdings in Radcom by 93.8% during the 3rd quarter. Bank of America Corp DE now owns 9,014 shares of the technology company’s stock valued at $131,000 after buying an additional 4,364 shares in the last quarter. 48.32% of the stock is owned by institutional investors.

About Radcom

Radcom Ltd. (NASDAQ: RDCM) is a provider of cloud-based service assurance and analytics solutions designed to help communications service providers monitor and optimize the performance of their networks. Its flagship product, RADCOM ACE, delivers real-time visibility into service quality, subscriber experience and network resource utilization across traditional and virtualized architectures. By combining packet-level data collection with advanced analytics and machine-learning algorithms, Radcom enables carriers to detect, troubleshoot and resolve network and service issues before they impact end users.

Founded in 1991 and headquartered in Tel Aviv, Israel, Radcom has evolved from an early vendor of network testing equipment into a specialist in end-to-end assurance for voice, data, video and next-generation services.