Rosetta Stone (RST) Raised to Buy at Zacks Investment Research

Zacks Investment Research upgraded shares of Rosetta Stone (NYSE:RST) from a hold rating to a buy rating in a report published on Tuesday, Zacks.com reports. The firm currently has $29.00 price target on the software maker’s stock.

According to Zacks, “Rosetta Stone Inc., based in Arlington, Va, is a leading provider of technology-based language learning solutions consisting of software, online services and audio practice tools, primarily under the Rosetta Stone brand. Rosetta Stone offers its self-study language learning solutions in 31 languages. Its customers include individuals, educational institutions, armed forces, government agencies and corporations. Rosetta Stone, Inc. also provides an online peer-to-peer practice environment, known as SharedTalk, at www.sharedtalk.com, where registered language learners meet for language exchange to practice their foreign language skills. As the leading language-learning software in the world, Rosetta Stone makes learning a new language second nature. Millions of learners in more than 150 countries have already used the company’s software to gain the confidence that comes with truly knowing a new language. “

Several other equities analysts have also weighed in on RST. ValuEngine lowered shares of Rosetta Stone from a strong-buy rating to a buy rating in a research report on Monday, February 4th. Barrington Research restated a buy rating and set a $27.00 price target (up previously from $24.00) on shares of Rosetta Stone in a research report on Thursday, March 7th. Finally, Lake Street Capital increased their price target on shares of Rosetta Stone from $21.00 to $26.00 and gave the company a buy rating in a research report on Wednesday, May 8th. Four investment analysts have rated the stock with a buy rating and one has issued a strong buy rating to the stock. Rosetta Stone currently has a consensus rating of Buy and a consensus price target of $28.00.

RST traded up $0.02 during trading on Tuesday, hitting $25.68. 3,102 shares of the company traded hands, compared to its average volume of 252,680. The firm has a market cap of $608.36 million, a P/E ratio of -26.97 and a beta of 0.26. Rosetta Stone has a one year low of $14.14 and a one year high of $26.88.

Rosetta Stone (NYSE:RST) last posted its quarterly earnings results on Tuesday, May 7th. The software maker reported ($0.02) earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of ($0.24) by $0.22. The company had revenue of $44.61 million for the quarter, compared to the consensus estimate of $43.50 million. Equities analysts predict that Rosetta Stone will post -0.6 EPS for the current year.

In other Rosetta Stone news, insider M. Sean Hartford sold 16,988 shares of the stock in a transaction dated Monday, March 11th. The shares were sold at an average price of $21.70, for a total transaction of $368,639.60. Following the completion of the transaction, the insider now owns 13,897 shares in the company, valued at $301,564.90. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Nicholas C. Gaehde sold 10,092 shares of the stock in a transaction dated Wednesday, March 13th. The stock was sold at an average price of $23.54, for a total transaction of $237,565.68. The disclosure for this sale can be found here. Insiders have sold 181,480 shares of company stock valued at $4,469,915 in the last quarter. Company insiders own 13.50% of the company’s stock.

Several hedge funds have recently added to or reduced their stakes in the company. Jane Street Group LLC bought a new position in shares of Rosetta Stone in the first quarter valued at approximately $613,000. RMB Capital Management LLC bought a new position in shares of Rosetta Stone in the first quarter valued at approximately $680,000. Zebra Capital Management LLC bought a new position in shares of Rosetta Stone in the first quarter valued at approximately $335,000. SEI Investments Co boosted its position in shares of Rosetta Stone by 110.6% in the first quarter. SEI Investments Co now owns 30,363 shares of the software maker’s stock valued at $664,000 after acquiring an additional 15,944 shares during the period. Finally, Oxford Asset Management LLP bought a new position in shares of Rosetta Stone in the first quarter valued at approximately $2,046,000. Institutional investors own 80.64% of the company’s stock.

About Rosetta Stone

Rosetta Stone Inc, together with its subsidiaries, provides technology-based learning products in the United States and internationally. It operates through three segments: Literacy, E&E Language, and Consumer Language. The company develops, markets, and supports a suite of language-learning, literacy, and brain fitness solutions consisting of Web-based software subscriptions, perpetual software products, online and professional services, audio practice products, and mobile applications.

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