Zuora (NYSE:ZUO) Shares Gap Up – What’s Next?

Zuora, Inc. (NYSE:ZUO)’s share price gapped up before the market opened on Thursday . The stock had previously closed at $9.42, but opened at $10.02. Zuora shares last traded at $9.96, with a volume of 7,995,492 shares changing hands.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently issued reports on the stock. Craig Hallum cut shares of Zuora from a “buy” rating to a “hold” rating and decreased their price objective for the stock from $12.00 to $10.00 in a report on Monday, July 8th. Lake Street Capital reiterated a “hold” rating and set a $10.00 price target on shares of Zuora in a research note on Friday. Needham & Company LLC reissued a “buy” rating and issued a $15.00 price objective on shares of Zuora in a research note on Thursday, August 22nd. Finally, Canaccord Genuity Group reaffirmed a “buy” rating and set a $13.00 target price on shares of Zuora in a research report on Thursday, August 22nd. Four analysts have rated the stock with a hold rating and three have assigned a buy rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and a consensus price target of $11.43.

Zuora Stock Down 0.4 %

The firm has a 50-day moving average of $8.77 and a two-hundred day moving average of $9.22. The firm has a market cap of $1.45 billion, a price-to-earnings ratio of -23.07 and a beta of 1.72. The company has a current ratio of 2.77, a quick ratio of 2.77 and a debt-to-equity ratio of 1.90.

Zuora (NYSE:ZUO) last issued its quarterly earnings results on Wednesday, August 21st. The company reported $0.19 EPS for the quarter, topping analysts’ consensus estimates of $0.10 by $0.09. Zuora had a negative return on equity of 12.54% and a negative net margin of 10.60%. The company had revenue of $115.40 million during the quarter, compared to analyst estimates of $112.63 million. During the same period in the previous year, the company earned ($0.12) earnings per share. The company’s quarterly revenue was up 6.8% compared to the same quarter last year. As a group, sell-side analysts predict that Zuora, Inc. will post -0.06 earnings per share for the current fiscal year.

Insider Buying and Selling at Zuora

In other news, insider Andrew M. Cohen sold 20,773 shares of the business’s stock in a transaction dated Thursday, October 3rd. The shares were sold at an average price of $8.34, for a total transaction of $173,246.82. Following the transaction, the insider now owns 172,033 shares in the company, valued at approximately $1,434,755.22. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. In related news, insider Andrew M. Cohen sold 20,773 shares of Zuora stock in a transaction dated Thursday, October 3rd. The stock was sold at an average price of $8.34, for a total transaction of $173,246.82. Following the sale, the insider now directly owns 172,033 shares of the company’s stock, valued at $1,434,755.22. This trade represents a 0.00 % 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, insider Peter Hirsch sold 18,855 shares of the company’s stock in a transaction that occurred on Tuesday, October 15th. The shares were sold at an average price of $9.06, for a total value of $170,826.30. Following the completion of the transaction, the insider now directly owns 19,279 shares of the company’s stock, valued at approximately $174,667.74. This trade represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 221,081 shares of company stock valued at $1,857,391 in the last ninety days. Company insiders own 8.62% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the company. Point72 Asia Singapore Pte. Ltd. acquired a new position in shares of Zuora in the 2nd quarter valued at $44,000. CWM LLC increased its stake in Zuora by 25.0% in the second quarter. CWM LLC now owns 7,945 shares of the company’s stock valued at $79,000 after acquiring an additional 1,590 shares during the period. Quent Capital LLC acquired a new position in Zuora in the first quarter worth about $83,000. Canada Pension Plan Investment Board bought a new position in Zuora during the second quarter worth about $85,000. Finally, Williams Financial LLC acquired a new stake in Zuora during the second quarter valued at approximately $119,000. 83.02% of the stock is owned by institutional investors.

Zuora Company Profile

Zuora, Inc provides a monetization suite for modern businesses to help companies launch and scale new services and operate dynamic customer-centric business models. The company offers Zuora Billing that allows customers to deploy various pricing and packaging strategies to monetize their recurring revenue streams, bill customers, calculate prorations when subscriptions change, and automate billing and payment operations; Zuora Revenue, a revenue recognition and automation solution that accounting teams use to manage their complex revenue streams; Zuora Payments to provide payment orchestration services for companies looking to operate globally; and Zephr, a digital subscriber experience platform that helps companies orchestrate dynamic experiences that increase conversion, reduce churn, and nurture ongoing subscriber relationships.