FireEye Inc. (NASDAQ:FEYE) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a research note issued on Wednesday.
According to Zacks, “FireEye is a specialized provider of a security platform against cyber-attacks to enterprises and governments. Off late, estimates have been stable for the company. We are optimistic about FireEye given a healthy security market, strong product line-up, deal wins and investment plans, which should boost results in the long run. Furthermore, FireEye’s strategy of growing through acquisitions is encouraging. The latest of such transactions were the iSIGHT Partners and Invotas buyouts. The deals has beefed up FireEye’s cyber security suite and enhanced its competitive dynamics. Nonetheless, near-term prospects for the company are not promising as changing customer spending behavior has recently hit several other players in this space. Intensifying competition and uncertain macroeconomic environment add to its woes.”
FEYE has been the subject of several other research reports. Wunderlich began coverage on shares of FireEye in a report on Tuesday, September 13th. They set a “hold” rating and a $16.00 price target for the company. Citigroup Inc. cut shares of FireEye from a “buy” rating to a “neutral” rating and lowered their price target for the stock from $22.00 to $18.00 in a report on Friday, August 5th. JPMorgan Chase & Co. cut shares of FireEye from an “overweight” rating to a “neutral” rating and lowered their price target for the stock from $20.00 to $15.00 in a report on Friday, August 5th. Nomura reiterated a “buy” rating and set a $22.50 price target on shares of FireEye in a report on Thursday, September 8th. Finally, Wells Fargo & Co. reiterated a “market perform” rating and set a $15.00 price target (down previously from $16.50) on shares of FireEye in a report on Friday, August 5th. Twenty research analysts have rated the stock with a hold rating, twelve have assigned a buy rating and one has issued a strong buy rating to the company. The company currently has a consensus rating of “Hold” and an average target price of $24.84.
FireEye (NASDAQ:FEYE) opened at 13.83 on Wednesday. The company’s 50 day moving average is $14.63 and its 200 day moving average is $15.85. The stock’s market cap is $2.35 billion. FireEye has a one year low of $11.35 and a one year high of $32.05.
FireEye (NASDAQ:FEYE) last posted its quarterly earnings results on Thursday, August 4th. The information security company reported ($0.33) EPS for the quarter, topping the consensus estimate of ($0.39) by $0.06. FireEye had a negative net margin of 81.76% and a negative return on equity of 46.11%. The company earned $175 million during the quarter, compared to analysts’ expectations of $181.67 million. During the same quarter in the previous year, the business posted ($0.41) EPS. The firm’s revenue was up 18.9% on a year-over-year basis. On average, equities research analysts expect that FireEye will post ($1.30) EPS for the current year.
In other FireEye news, President Travis M. Reese sold 2,466 shares of the firm’s stock in a transaction dated Tuesday, August 16th. The shares were sold at an average price of $14.19, for a total transaction of $34,992.54. Following the completion of the transaction, the president now directly owns 388,841 shares in the company, valued at approximately $5,517,653.79. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP John T. Mcgee sold 14,988 shares of the firm’s stock in a transaction dated Tuesday, August 16th. The shares were sold at an average price of $14.20, for a total transaction of $212,829.60. Following the transaction, the executive vice president now owns 155,905 shares of the company’s stock, valued at $2,213,851. The disclosure for this sale can be found here. Company insiders own 9.60% of the company’s stock.
Institutional investors have recently bought and sold shares of the stock. Babson Capital Management LLC increased its position in FireEye by 130.7% in the first quarter. Babson Capital Management LLC now owns 51,900 shares of the information security company’s stock valued at $934,000 after buying an additional 29,400 shares during the period. Eachwin Capital LP acquired a new position in FireEye during the first quarter valued at $413,000. LPL Financial LLC increased its position in FireEye by 55.1% in the first quarter. LPL Financial LLC now owns 75,799 shares of the information security company’s stock valued at $1,324,000 after buying an additional 26,936 shares during the period. Sterling Ridge Capital Management LP acquired a new position in FireEye during the first quarter valued at $360,000. Finally, A.R.T. Advisors LLC increased its position in FireEye by 176.3% in the first quarter. A.R.T. Advisors LLC now owns 191,369 shares of the information security company’s stock valued at $3,442,000 after buying an additional 122,100 shares during the period. Hedge funds and other institutional investors own 52.39% of the company’s stock.
FireEye Company Profile
FireEye, Inc provides cybersecurity solution for detecting, preventing and resolving cyber-attacks. The Company’s cybersecurity solutions combine its purpose-built virtual-machine technology, threat intelligence and security in a suite of products and services. The Company’s cybersecurity platform includes a family of software-based appliances, endpoint agents, cloud-based subscription services, support and maintenance and other services.
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