Bandwidth (NASDAQ:BAND) Shares Up 6.6% – Time to Buy?

Bandwidth Inc. (NASDAQ:BAND)’s share price rose 6.6% on Friday. The stock traded as high as $43.21 and last traded at $43.1750. 314,597 shares changed hands during mid-day trading, a decline of 64% from the average daily volume of 872,433 shares. The stock had previously closed at $40.50.

Analyst Upgrades and Downgrades

Several equities analysts have recently weighed in on BAND shares. Piper Sandler raised their price target on Bandwidth from $38.00 to $52.00 and gave the company a “neutral” rating in a report on Wednesday, August 19th. Weiss Ratings upgraded shares of Bandwidth from a “sell (d+)” rating to a “hold (c)” rating in a research note on Friday, October 9th. Citizens Jmp increased their price objective on shares of Bandwidth from $70.00 to $86.00 and gave the company a “market outperform” rating in a research report on Monday, July 20th. Zacks Research lowered shares of Bandwidth from a “strong-buy” rating to a “hold” rating in a research note on Friday, July 3rd. Finally, Bank of America began coverage on shares of Bandwidth in a research note on Wednesday, September 16th. They set a “neutral” rating and a $60.00 price objective for the company. Four research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and an average price target of $59.29.

Bandwidth Stock Performance

The company has a quick ratio of 2.04, a current ratio of 2.04 and a debt-to-equity ratio of 0.87. The stock has a market capitalization of $1.39 billion, a P/E ratio of -148.58, a P/E/G ratio of 4.17 and a beta of 3.01. The business has a fifty day moving average price of $51.84 and a 200-day moving average price of $51.04.

Bandwidth (NASDAQ:BAND) last released its quarterly earnings data on Wednesday, July 29th. The company reported $0.37 EPS for the quarter, topping the consensus estimate of $0.36 by $0.01. Bandwidth had a return on equity of 1.85% and a net margin of 0.27%. The company had revenue of $219.90 million during the quarter, compared to the consensus estimate of $217.62 million. The firm’s revenue was up 22.2% compared to the same quarter last year. Bandwidth has set its Q3 2026 guidance at 0.450-0.490 EPS and its FY 2026 guidance at 1.710-1.790 EPS. On average, sell-side analysts expect that Bandwidth Inc. will post 0.64 EPS for the current year.

Insider Transactions at Bandwidth

In other news, CFO Daryl Raiford sold 4,673 shares of the business’s stock in a transaction that occurred on Monday, August 31st. The shares were sold at an average price of $49.15, for a total transaction of $229,677.95. Following the completion of the transaction, the chief financial officer directly owned 35,832 shares of the company’s stock, valued at $1,761,142.80. The trade was a 11.54% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Lukas M. Roush sold 1,500 shares of the stock in a transaction that occurred on Friday, October 16th. The shares were sold at an average price of $49.04, for a total transaction of $73,560.00. Following the transaction, the director owned 58,769 shares in the company, valued at approximately $2,882,031.76. This trade represents a 2.49% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 25,050 shares of company stock valued at $1,228,342. Company insiders own 5.26% of the company’s stock.

Institutional Trading of Bandwidth

Several large investors have recently modified their holdings of the company. Sterling Capital Management LLC increased its position in Bandwidth by 850.0% during the third quarter. Sterling Capital Management LLC now owns 988 shares of the company’s stock valued at $60,000 after acquiring an additional 884 shares during the last quarter. TD Waterhouse Canada Inc. purchased a new position in shares of Bandwidth in the second quarter worth approximately $70,000. State of Alaska Department of Revenue boosted its holdings in shares of Bandwidth by 43.1% in the third quarter. State of Alaska Department of Revenue now owns 1,262 shares of the company’s stock worth $76,000 after buying an additional 380 shares during the last quarter. Integrated Wealth Concepts LLC bought a new stake in Bandwidth during the second quarter valued at approximately $94,000. Finally, Simplicity Wealth LLC bought a new stake in Bandwidth during the third quarter valued at approximately $202,000. Institutional investors own 68.53% of the company’s stock.

About Bandwidth

Bandwidth Inc (NASDAQ:BAND) is a cloud communications company that provides application programming interfaces (APIs) and related network services for integrating voice, messaging and emergency communications into software applications. Its platform is designed for businesses, communications providers and technology companies that need to build communications capabilities into customer-facing products and internal workflows.

The company’s offerings include programmable voice, text messaging and toll-free messaging services, as well as emergency calling capabilities through its E911 solution.