Gloo (NASDAQ:GLOO) Downgraded by Wall Street Zen to Sell

Wall Street Zen lowered shares of Gloo (NASDAQ:GLOO) from a hold rating to a sell rating in a research report report published on Sunday morning,Wall Street Zen reports.

GLOO has been the subject of several other reports. Lake Street Capital reduced their price objective on Gloo from $12.00 to $8.00 and set a “buy” rating for the company in a report on Thursday. Benchmark raised their target price on Gloo from $14.00 to $15.00 and gave the stock a “buy” rating in a research report on Tuesday, June 9th. Weiss Ratings upgraded Gloo from a “sell (e)” rating to a “sell (d-)” rating in a research note on Wednesday, August 12th. Citizens Jmp reaffirmed a “market outperform” rating and set a $8.00 price target on shares of Gloo in a research report on Thursday. Finally, Citigroup initiated coverage on shares of Gloo in a research note on Monday, July 20th. They issued an “outperform” rating on the stock. Five research analysts have rated the stock with a Buy rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $12.00.

Gloo Stock Performance

Shares of GLOO stock opened at $3.33 on Friday. The company’s 50-day moving average is $3.31 and its 200 day moving average is $4.84. The company has a market capitalization of $273.43 million and a price-to-earnings ratio of -0.46. Gloo has a one year low of $2.90 and a one year high of $9.98. The company has a debt-to-equity ratio of 0.21, a quick ratio of 1.21 and a current ratio of 1.23.

Gloo (NASDAQ:GLOO) last announced its quarterly earnings data on Wednesday, September 9th. The company reported ($0.25) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.11) by ($0.14). Gloo had a negative return on equity of 1,637.91% and a negative net margin of 81.35%.The firm had revenue of $46.57 million during the quarter. Sell-side analysts expect that Gloo will post -0.65 EPS for the current fiscal year.

Insider Buying and Selling

In other news, major shareholder Financial For Luthera Thrivent sold 125,000 shares of the firm’s stock in a transaction dated Thursday, July 9th. The stock was sold at an average price of $3.08, for a total value of $385,000.00. Following the transaction, the insider owned 4,480,000 shares of the company’s stock, valued at $13,798,400. This trade represents a 2.71% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, major shareholder Grace & Mercy Foundation, Inc. acquired 923,076 shares of the stock in a transaction dated Thursday, July 9th. The shares were bought at an average cost of $3.25 per share, for a total transaction of $2,999,997.00. Following the completion of the transaction, the insider owned 3,423,076 shares in the company, valued at approximately $11,124,997. This represents a 36.92% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Over the last three months, insiders have purchased 2,615,383 shares of company stock valued at $8,499,995 and have sold 433,700 shares valued at $1,536,273. Corporate insiders own 45.23% of the company’s stock.

Hedge Funds Weigh In On Gloo

Several large investors have recently added to or reduced their stakes in the company. Grace & Mercy Foundation Inc. bought a new position in shares of Gloo in the fourth quarter worth approximately $14,225,000. 1492 Capital Management LLC lifted its stake in shares of Gloo by 5.5% during the 1st quarter. 1492 Capital Management LLC now owns 301,706 shares of the company’s stock valued at $1,451,000 after buying an additional 15,824 shares in the last quarter. Waverly Advisors LLC bought a new position in Gloo in the 1st quarter worth $1,202,000. Annandale Capital LLC purchased a new stake in Gloo in the 4th quarter worth $1,423,000. Finally, Cornerstone Management Inc. bought a new stake in Gloo during the first quarter valued at about $601,000.

Key Headlines Impacting Gloo

Here are the key news stories impacting Gloo this week:

• Positive Sentiment: Management projected approximately $200 million in fiscal 2026 revenue, above the roughly $186 million consensus estimate, and forecast third-quarter revenue of about $55 million versus expectations of $44.1 million. Gloo also expects to reach adjusted EBITDA profitability in the fourth quarter, offering a potential catalyst. Gloo revenue outlook
• Positive Sentiment: Second-quarter revenue totaled $46.57 million, reportedly up 188% year over year and above expectations, indicating continued momentum for Gloo’s applied-AI and faith-focused technology platform. Gloo second-quarter revenue growth
• Positive Sentiment: Citizens JMP reaffirmed a Market Outperform rating and an $8 price target, implying substantial upside from recent trading levels. Analyst targets remain projections, not guarantees.
• Neutral Sentiment: Reported short interest was zero shares, indicating little measurable short-selling pressure or short-squeeze potential.
• Negative Sentiment: Gloo reported a quarterly loss of $0.25 per share, substantially worse than the expected $0.11 loss. The earnings miss underscores that profitability remains a key risk despite rapid revenue growth.
• Negative Sentiment: Major shareholder Financial For Luthera Thrivent sold a combined 29,000 shares from September 8 through September 10 for approximately $91,550. The sales reduced its ownership by less than 1%, so the signal is modest, but repeated selling may weigh on sentiment.

Gloo Company Profile

Gloo’s mission is to build the leading vertical technology platform for the faith and flourishing ecosystem, which we believe is one of the largest, oldest and least-digitized ecosystems in the world. Our purpose is to shape technology as a force for good, so people can flourish and communities can thrive. This is grounded in our belief that relationships catalyze growth, and when technology is used to serve relationships, it transforms lives. The faith and flourishing ecosystem is vast and, we believe, a technologically underserved vertical that includes traditional Christian (primarily Protestant and Catholic) churches and a diverse network of ministries, nonprofits and service providers.