Key Points
- Bandwidth insider Rebecca Bottorff sold 2,176 shares on May 29 at an average price of $58.85, totaling about $128,058. After the sale, she still held 5,620 shares, and the transaction cut her ownership by 27.91%.
- The stock has surged sharply, with shares opening at $70.89 and trading near a 12-month high of $71.76. The article notes recent insider selling across multiple executives, which may raise caution after the run-up.
- Bandwidth reported strong quarterly results, beating EPS and revenue estimates for its latest quarter and issuing FY 2026 and Q2 2026 guidance above prior expectations. Analysts currently rate the stock a Moderate Buy with a consensus price target of $43.25.
Bandwidth Inc. (NASDAQ:BAND - Get Free Report) insider Devin Krupka sold 1,198 shares of Bandwidth stock in a transaction on Friday, May 29th. The shares were sold at an average price of $58.85, for a total value of $70,502.30. Following the transaction, the insider owned 26,371 shares in the company, valued at $1,551,933.35. This represents a 4.35% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website.
Bandwidth Stock Performance
Shares of BAND stock opened at $70.89 on Tuesday. Bandwidth Inc. has a 1-year low of $12.50 and a 1-year high of $71.76. The company has a current ratio of 0.94, a quick ratio of 0.94 and a debt-to-equity ratio of 0.37. The company has a market capitalization of $2.27 billion, a price-to-earnings ratio of -186.55 and a beta of 2.72. The stock's fifty day simple moving average is $34.21 and its 200-day simple moving average is $21.41.
Bandwidth (NASDAQ:BAND - Get Free Report) last released its quarterly earnings data on Thursday, April 30th. The company reported $0.38 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.32 by $0.06. The firm had revenue of $208.78 million during the quarter, compared to analysts' expectations of $201.58 million. Bandwidth had a positive return on equity of 1.47% and a negative net margin of 0.64%.Bandwidth has set its FY 2026 guidance at 1.770-1.830 EPS and its Q2 2026 guidance at 0.350-0.370 EPS. On average, sell-side analysts predict that Bandwidth Inc. will post 0.55 earnings per share for the current fiscal year.
Key Headlines Impacting Bandwidth
Here are the key news stories impacting Bandwidth this week:
- Neutral Sentiment: A market note highlighted that Bandwidth shares had already surged sharply and were being watched as a potential momentum trade. Bandwidth (NASDAQ:BAND) Stock Price Up 10.2% - Time to Buy?
- Negative Sentiment: CEO David A. Morken sold 4,632 shares, CFO Daryl E. Raiford sold shares in two separate transactions, and other insiders including the COO, general counsel, and additional executives also sold stock. Insider selling can weigh on sentiment because it may signal management thinks the shares are fully valued after the recent run-up.
- Negative Sentiment: The sales were executed at prices around $58.85 to $64.15, suggesting insiders were willing to reduce holdings while the stock was trading near multiyear highs, which may add caution for traders despite the company’s recent strong earnings and upbeat guidance.
Analyst Upgrades and Downgrades
BAND has been the subject of a number of research reports. Wall Street Zen cut Bandwidth from a "strong-buy" rating to a "buy" rating in a research report on Saturday, May 16th. Zacks Research raised Bandwidth from a "hold" rating to a "strong-buy" rating in a research report on Thursday, May 7th. Needham & Company LLC lifted their price objective on Bandwidth from $45.00 to $60.00 and gave the company a "buy" rating in a research report on Thursday, May 14th. Weiss Ratings reissued a "sell (d-)" rating on shares of Bandwidth in a research report on Monday, April 20th. Finally, Citigroup reissued an "outperform" rating on shares of Bandwidth in a research report on Thursday, April 30th. One equities research analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and one has assigned a Sell rating to the company. According to MarketBeat, Bandwidth has an average rating of "Moderate Buy" and a consensus target price of $43.25.
Read Our Latest Report on BAND
Institutional Trading of Bandwidth
A number of institutional investors and hedge funds have recently made changes to their positions in BAND. Arrowstreet Capital Limited Partnership lifted its position in shares of Bandwidth by 299.5% in the first quarter. Arrowstreet Capital Limited Partnership now owns 688,430 shares of the company's stock worth $12,268,000 after buying an additional 516,117 shares during the last quarter. Portolan Capital Management LLC lifted its position in shares of Bandwidth by 115.8% in the third quarter. Portolan Capital Management LLC now owns 745,802 shares of the company's stock worth $12,433,000 after buying an additional 400,231 shares during the last quarter. Bastion Asset Management Inc. acquired a new stake in shares of Bandwidth in the first quarter worth about $6,592,000. CSM Advisors LLC acquired a new stake in shares of Bandwidth in the fourth quarter worth about $5,342,000. Finally, AQR Capital Management LLC lifted its position in shares of Bandwidth by 49.1% in the second quarter. AQR Capital Management LLC now owns 587,305 shares of the company's stock worth $9,338,000 after buying an additional 193,398 shares during the last quarter. Institutional investors and hedge funds own 68.53% of the company's stock.
About Bandwidth
(
Get Free Report)
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.
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