Bandwidth (NASDAQ:BAND) Rating Lowered to “Hold” at Wall Street Zen

Bandwidth (NASDAQ:BAND) was downgraded by research analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a report released on Saturday, Wall Street Zen reports.

A number of other research analysts have also recently commented on the stock. Piper Sandler lifted their price objective on Bandwidth from $38.00 to $52.00 and gave the company a “neutral” rating in a report on Wednesday, August 19th. Needham & Company LLC reissued a “buy” rating on shares of Bandwidth in a report on Thursday, August 20th. Citigroup reissued a “market outperform” rating on shares of Bandwidth in a research note on Monday, July 20th. Weiss Ratings downgraded shares of Bandwidth from a “hold (c)” rating to a “hold (c-)” rating in a research note on Thursday, August 27th. Finally, B. Riley Financial increased their target price on Bandwidth from $55.00 to $85.00 and gave the company a “buy” rating in a research note on Thursday, July 9th. Four investment analysts have rated the stock with a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $59.83.

Bandwidth Stock Performance

NASDAQ BAND opened at $50.23 on Friday. The company has a debt-to-equity ratio of 0.87, a current ratio of 2.04 and a quick ratio of 2.04. The company’s fifty day moving average is $52.55 and its two-hundred day moving average is $44.57. Bandwidth has a 52-week low of $12.50 and a 52-week high of $79.08. The firm has a market capitalization of $1.62 billion, a price-to-earnings ratio of -173.21, a P/E/G ratio of 4.39 and a beta of 3.03.

Bandwidth (NASDAQ:BAND) last released its earnings results on Wednesday, July 29th. The company reported $0.37 earnings per share for the quarter, topping analysts’ consensus estimates of $0.36 by $0.01. The business had revenue of $219.90 million for the quarter, compared to the consensus estimate of $217.62 million. Bandwidth had a return on equity of 1.85% and a net margin of 0.27%.Bandwidth’s revenue for the quarter was up 22.2% on a year-over-year basis. Bandwidth has set its Q3 2026 guidance at 0.450-0.490 EPS and its FY 2026 guidance at 1.710-1.790 EPS. Equities research analysts forecast that Bandwidth will post 0.65 EPS for the current year.

Insider Activity at Bandwidth

In other news, CFO Daryl Raiford sold 4,673 shares of the stock in a transaction dated Monday, August 31st. The shares were sold at an average price of $49.15, for a total value of $229,677.95. Following the transaction, the chief financial officer directly owned 35,832 shares of the company’s stock, valued at $1,761,142.80. This represents a 11.54% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, General Counsel Richard Asbill sold 1,832 shares of the stock in a transaction dated Monday, August 31st. The shares were sold at an average price of $49.15, for a total transaction of $90,042.80. Following the completion of the transaction, the general counsel directly owned 7,550 shares in the company, valued at approximately $371,082.50. This represents a 19.53% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 23,550 shares of company stock worth $1,154,782 over the last ninety days. Company insiders own 5.26% of the company’s stock.

Institutional Investors Weigh In On Bandwidth

Large investors have recently modified their holdings of the business. Tidal Investments LLC acquired a new stake in Bandwidth in the second quarter valued at approximately $1,451,000. Engineers Gate Manager LP bought a new position in shares of Bandwidth during the second quarter worth about $2,218,000. Integrated Wealth Concepts LLC acquired a new position in shares of Bandwidth in the 2nd quarter worth approximately $94,000. Corient Private Wealth LP acquired a new position in Bandwidth in the second quarter valued at $238,000. Finally, TD Waterhouse Canada Inc. bought a new stake in shares of Bandwidth during the 2nd quarter valued at about $70,000. Institutional investors and hedge funds own 68.53% of the company’s stock.

Bandwidth Company Profile

Bandwidth Inc is a cloud communications company that provides application programming interfaces (APIs) and communications services for businesses, software developers and service providers. Its platform enables organizations to integrate voice calling, text messaging and other communications capabilities into applications, websites and business workflows.

The company’s offerings include voice and messaging APIs, toll-free and local telephone numbers, emergency communications and 911 access, authentication and related communications tools.