Bandwidth (NASDAQ:BAND) Sets New 1-Year High – Still a Buy?

Bandwidth Inc. (NASDAQ:BAND)’s stock price hit a new 52-week high during trading on Tuesday . The stock traded as high as $53.21 and last traded at $49.95, with a volume of 1323685 shares changing hands. The stock had previously closed at $49.89.

Wall Street Analyst Weigh In

Several equities research analysts have recently issued reports on the stock. Weiss Ratings reissued a “sell (d-)” rating on shares of Bandwidth in a research report on Monday, April 20th. Needham & Company LLC raised their price target on shares of Bandwidth from $20.00 to $45.00 and gave the stock a “buy” rating in a research report on Thursday, April 30th. Citigroup reissued an “outperform” rating on shares of Bandwidth in a report on Thursday, April 30th. Wall Street Zen raised shares of Bandwidth from a “hold” rating to a “strong-buy” rating in a report on Saturday, May 2nd. Finally, B. Riley Financial lifted their target price on shares of Bandwidth from $20.00 to $27.00 and gave the stock a “buy” rating in a research report on Friday, April 17th. One analyst has rated the stock with a Strong Buy rating, five have given a Buy rating and one has given a Sell rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $31.00.

Bandwidth Stock Up 0.1%

The firm has a market cap of $1.60 billion, a P/E ratio of -131.45 and a beta of 2.72. The stock’s 50 day simple moving average is $21.56 and its 200 day simple moving average is $16.97. The company has a debt-to-equity ratio of 0.37, a quick ratio of 0.94 and a current ratio of 0.94.

Bandwidth (NASDAQ:BAND) last announced its quarterly earnings results on Thursday, April 30th. The company reported $0.38 EPS for the quarter, beating analysts’ consensus estimates of $0.32 by $0.06. Bandwidth had a negative net margin of 0.64% and a positive return on equity of 1.47%. The business had revenue of $208.78 million during the quarter, compared to analyst estimates of $201.58 million. Bandwidth has set its FY 2026 guidance at 1.770-1.830 EPS and its Q2 2026 guidance at 0.350-0.370 EPS. Research analysts anticipate that Bandwidth Inc. will post 0.55 EPS for the current year.

Insider Activity at Bandwidth

In other Bandwidth news, insider Kade Ross sold 10,000 shares of the company’s stock in a transaction dated Thursday, April 30th. The shares were sold at an average price of $31.59, for a total transaction of $315,900.00. Following the sale, the insider directly owned 63,894 shares of the company’s stock, valued at $2,018,411.46. This represents a 13.53% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Rebecca Bottorff sold 9,425 shares of the stock in a transaction dated Monday, May 4th. The stock was sold at an average price of $45.30, for a total transaction of $426,952.50. Following the completion of the sale, the insider directly owned 50,535 shares in the company, valued at approximately $2,289,235.50. The trade was a 15.72% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 52,551 shares of company stock worth $1,250,804. 5.26% of the stock is owned by company insiders.

Institutional Investors Weigh In On Bandwidth

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Dimensional Fund Advisors LP raised its stake in Bandwidth by 6.3% in the first quarter. Dimensional Fund Advisors LP now owns 1,551,508 shares of the company’s stock valued at $27,647,000 after purchasing an additional 91,812 shares in the last quarter. Bastion Asset Management Inc. purchased a new position in Bandwidth during the 1st quarter valued at about $6,592,000. IMC Chicago LLC purchased a new position in Bandwidth during the 1st quarter valued at about $218,000. Principal Financial Group Inc. raised its position in shares of Bandwidth by 50.5% in the 1st quarter. Principal Financial Group Inc. now owns 41,626 shares of the company’s stock worth $742,000 after purchasing an additional 13,959 shares during the last quarter. Finally, Hsbc Holdings PLC raised its position in shares of Bandwidth by 51.5% in the 1st quarter. Hsbc Holdings PLC now owns 92,804 shares of the company’s stock worth $1,707,000 after purchasing an additional 31,565 shares during the last quarter. 68.53% of the stock is owned by hedge funds and other institutional investors.

Bandwidth Company Profile

Bandwidth Inc operates a cloud-based communications platform that provides voice, messaging and emergency services APIs for enterprises and developers. Through its proprietary network and software-as-a-service model, the company enables customers to integrate programmable voice calls, text messaging and 9-1-1 routing into their applications. Bandwidth’s solutions aim to reduce complexity and improve reliability in mission-critical communications, serving industries such as healthcare, financial services, on-demand mobility and customer engagement.

Founded in 1999 in Raleigh, North Carolina by co-founders David Morken and Henry Kaestner, Bandwidth initially focused on voice-over-IP infrastructure before evolving into a full communications API provider.