Allot (NASDAQ:ALLT) Share Price Breaks Above 200 Day Moving Average – Should You Sell?

Allot Ltd. (NASDAQ:ALLT) shares passed above its 200-day moving average during trading on Monday. The stock has a 200-day moving average of $7.70 and traded as high as $9.23. Allot shares last traded at $8.76, with a volume of 1,133,893 shares changing hands.

Analyst Upgrades and Downgrades

A number of research analysts have issued reports on the company. Weiss Ratings reiterated a “sell (d+)” rating on shares of Allot in a research report on Tuesday, September 22nd. Northland Securities set a $17.00 price target on Allot in a report on Thursday, August 13th. Four investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $13.38.

Allot Stock Performance

The stock has a market cap of $423.98 million, a price-to-earnings ratio of 39.09 and a beta of 1.48. The company’s 50 day simple moving average is $7.97 and its 200 day simple moving average is $7.72.

Allot (NASDAQ:ALLT) last issued its quarterly earnings results on Thursday, August 13th. The communications equipment provider reported $0.09 earnings per share for the quarter, topping analysts’ consensus estimates of $0.06 by $0.03. The company had revenue of $27.74 million during the quarter, compared to analyst estimates of $27.45 million. Allot had a net margin of 9.40% and a return on equity of 9.64%. Sell-side analysts predict that Allot Ltd. will post 0.23 EPS for the current year.

Allot announced that its board has approved a share buyback program on Tuesday, June 23rd that permits the company to buy back $40.00 million in outstanding shares. This repurchase authorization permits the communications equipment provider to purchase up to 11.7% of its stock through open market purchases. Share repurchase programs are generally a sign that the company’s management believes its stock is undervalued.

Insider Buying and Selling

In related news, SVP Boaz Grossman sold 6,000 shares of Allot stock in a transaction dated Friday, August 21st. The stock was sold at an average price of $7.45, for a total transaction of $44,700.00. Following the transaction, the senior vice president directly owned 186,000 shares of the company’s stock, valued at $1,385,700. The trade was a 3.12% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Eyal Harari sold 29,111 shares of the business’s stock in a transaction dated Thursday, August 6th. The stock was sold at an average price of $7.64, for a total transaction of $222,408.04. Following the completion of the sale, the chief executive officer owned 1,099,118 shares in the company, valued at approximately $8,397,261.52. This trade represents a 2.58% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 66,333 shares of company stock valued at $512,240 over the last three months. Company insiders own 3.40% of the company’s stock.

Institutional Investors Weigh In On Allot

A number of institutional investors and hedge funds have recently modified their holdings of ALLT. Sei Investments Co. raised its position in shares of Allot by 744.0% during the first quarter. Sei Investments Co. now owns 523,162 shares of the communications equipment provider’s stock worth $3,484,000 after purchasing an additional 461,175 shares during the period. Lazard Asset Management LLC purchased a new stake in shares of Allot during the first quarter valued at $1,208,000. Squarepoint Ops LLC lifted its holdings in shares of Allot by 36.0% during the second quarter. Squarepoint Ops LLC now owns 14,775 shares of the communications equipment provider’s stock valued at $131,000 after purchasing an additional 3,908 shares during the last quarter. Hennion & Walsh Asset Management Inc. boosted its position in shares of Allot by 24.4% in the 2nd quarter. Hennion & Walsh Asset Management Inc. now owns 96,833 shares of the communications equipment provider’s stock valued at $857,000 after purchasing an additional 19,013 shares during the period. Finally, Kanen Wealth Management LLC boosted its position in shares of Allot by 1.1% in the 1st quarter. Kanen Wealth Management LLC now owns 4,653,697 shares of the communications equipment provider’s stock valued at $30,994,000 after purchasing an additional 51,029 shares during the period. Institutional investors and hedge funds own 51.50% of the company’s stock.

Allot Company Profile

Allot Ltd. is a telecommunications technology company that provides network intelligence, traffic management and cybersecurity solutions to communications service providers. Its software and hardware help operators monitor network traffic, analyze subscriber and application usage, optimize performance and manage service quality across fixed, mobile and broadband networks.

The company’s portfolio has included network visibility and analytics tools, policy and traffic-management platforms, and security products designed to help detect and mitigate threats such as distributed denial-of-service attacks.