CS Disco (NYSE:LAW) Shares Gap Down – Time to Sell?

Shares of CS Disco, Inc. (NYSE:LAW) gapped down before the market opened on Tuesday . The stock had previously closed at $8.39, but opened at $8.06. CS Disco shares last traded at $8.0350, with a volume of 1,161 shares.

Wall Street Analysts Forecast Growth

LAW has been the subject of several research analyst reports. Wall Street Zen upgraded CS Disco from a “hold” rating to a “buy” rating in a research report on Saturday, November 8th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of CS Disco in a research note on Wednesday, October 8th. Finally, Needham & Company LLC lifted their price target on CS Disco from $8.00 to $10.00 and gave the company a “buy” rating in a research note on Thursday, November 6th. One investment analyst has rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, CS Disco has a consensus rating of “Hold” and a consensus target price of $7.75.

CS Disco Stock Down 0.2%

The stock’s fifty day moving average price is $7.11 and its 200-day moving average price is $5.73. The company has a market capitalization of $506.48 million, a price-to-earnings ratio of -8.02 and a beta of 2.10.

CS Disco (NYSE:LAW) last released its earnings results on Wednesday, November 5th. The company reported ($0.01) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.06) by $0.05. CS Disco had a negative net margin of 40.00% and a negative return on equity of 26.05%. The business had revenue of $40.92 million during the quarter, compared to the consensus estimate of $38.52 million. Analysts anticipate that CS Disco, Inc. will post -0.64 EPS for the current year.

Insider Transactions at CS Disco

In related news, Director Thomas F. Bogan purchased 7,001 shares of CS Disco stock in a transaction that occurred on Tuesday, November 4th. The stock was purchased at an average cost of $5.98 per share, with a total value of $41,865.98. Following the completion of the transaction, the director owned 171,090 shares of the company’s stock, valued at approximately $1,023,118.20. This trade represents a 4.27% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders bought a total of 45,512 shares of company stock worth $271,035 in the last 90 days. Corporate insiders own 16.10% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in LAW. Jacobs Levy Equity Management Inc. boosted its holdings in shares of CS Disco by 1.0% in the 3rd quarter. Jacobs Levy Equity Management Inc. now owns 205,372 shares of the company’s stock valued at $1,327,000 after buying an additional 2,045 shares during the last quarter. Algert Global LLC bought a new stake in CS Disco during the third quarter worth $70,000. Zacks Investment Management acquired a new stake in CS Disco in the third quarter valued at $401,000. Two Sigma Investments LP bought a new position in shares of CS Disco in the 3rd quarter valued at about $532,000. Finally, Bridgeway Capital Management LLC grew its position in shares of CS Disco by 6.2% in the 3rd quarter. Bridgeway Capital Management LLC now owns 258,652 shares of the company’s stock valued at $1,671,000 after acquiring an additional 15,000 shares during the period. Institutional investors and hedge funds own 58.05% of the company’s stock.

CS Disco Company Profile

CS Disco, Inc is a provider of cloud-native, artificial intelligence-driven legal applications designed to streamline e-discovery, document review and compliance processes for law firms and corporate legal departments. The Austin, Texas–based company offers a unified platform that automates labor-intensive tasks using machine learning and predictive analytics, enabling legal professionals to process, search and review large volumes of data with greater speed and accuracy.

At the core of CS Disco’s product suite is its flagship e-discovery application, which supports early case assessment, data processing, review analytics and production workflows.