PubMatic (NASDAQ:PUBM) Shares Gap Up – Should You Buy?

PubMatic, Inc. (NASDAQ:PUBM)’s stock price gapped up before the market opened on Monday . The stock had previously closed at $10.71, but opened at $11.43. PubMatic shares last traded at $11.18, with a volume of 187,654 shares changing hands.

Wall Street Analysts Forecast Growth

A number of research firms recently weighed in on PUBM. Scotiabank reduced their price objective on shares of PubMatic from $17.00 to $15.00 and set a “sector perform” rating on the stock in a research report on Friday, February 28th. Royal Bank Of Canada decreased their price target on PubMatic from $17.00 to $14.00 and set an “outperform” rating for the company in a research note on Friday, May 2nd. Finally, Lake Street Capital dropped their price objective on PubMatic from $21.00 to $19.00 and set a “buy” rating for the company in a report on Friday, May 9th. Four investment analysts have rated the stock with a hold rating and six have given a buy rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $19.11.

PubMatic Trading Down 1.4%

The business has a 50-day moving average price of $10.63 and a 200-day moving average price of $12.51. The firm has a market cap of $538.68 million, a P/E ratio of 138.77 and a beta of 1.54.

PubMatic (NASDAQ:PUBM) last released its quarterly earnings data on Thursday, May 8th. The company reported ($0.20) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.02) by ($0.18). The business had revenue of $63.83 million during the quarter, compared to analysts’ expectations of $62.07 million. PubMatic had a return on equity of 1.99% and a net margin of 1.90%. The firm’s revenue was down 4.3% compared to the same quarter last year. During the same period last year, the company earned ($0.05) earnings per share. On average, equities analysts anticipate that PubMatic, Inc. will post 0.22 earnings per share for the current fiscal year.

Insider Activity at PubMatic

In other PubMatic news, General Counsel Andrew Woods sold 4,111 shares of the stock in a transaction dated Wednesday, April 2nd. The shares were sold at an average price of $9.31, for a total transaction of $38,273.41. Following the completion of the sale, the general counsel now directly owns 39,509 shares of the company’s stock, valued at approximately $367,828.79. This represents a 9.42% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, CEO Rajeev K. Goel sold 25,000 shares of PubMatic stock in a transaction that occurred on Tuesday, April 1st. The stock was sold at an average price of $9.14, for a total transaction of $228,500.00. Following the completion of the transaction, the chief executive officer now directly owns 32,304 shares in the company, valued at approximately $295,258.56. The trade was a 43.63% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 111,157 shares of company stock valued at $1,124,437 over the last ninety days. 26.42% of the stock is owned by company insiders.

Institutional Investors Weigh In On PubMatic

Several institutional investors have recently bought and sold shares of the company. Graham Holdings Co lifted its holdings in shares of PubMatic by 21.4% during the 1st quarter. Graham Holdings Co now owns 2,831,462 shares of the company’s stock valued at $25,880,000 after purchasing an additional 500,000 shares during the last quarter. Dimensional Fund Advisors LP raised its stake in PubMatic by 5.8% in the fourth quarter. Dimensional Fund Advisors LP now owns 1,533,718 shares of the company’s stock valued at $22,531,000 after buying an additional 84,317 shares during the last quarter. Wellington Management Group LLP raised its stake in PubMatic by 20.0% in the first quarter. Wellington Management Group LLP now owns 1,077,921 shares of the company’s stock valued at $9,852,000 after buying an additional 179,951 shares during the last quarter. Jacobs Levy Equity Management Inc. boosted its holdings in PubMatic by 1.0% in the fourth quarter. Jacobs Levy Equity Management Inc. now owns 683,064 shares of the company’s stock worth $10,034,000 after acquiring an additional 6,600 shares in the last quarter. Finally, Nixon Capital LLC grew its stake in shares of PubMatic by 8.7% during the first quarter. Nixon Capital LLC now owns 628,753 shares of the company’s stock worth $5,747,000 after acquiring an additional 50,494 shares during the last quarter. 64.26% of the stock is currently owned by institutional investors and hedge funds.

About PubMatic

PubMatic, Inc, a technology company, engages in the provision of a cloud infrastructure platform that enables real-time programmatic advertising transactions for digital content creators, advertisers, agencies, agency trading desks, and demand side platforms worldwide. Its PubMatic SSP, a sell-side platform, used for the purchase and sale of digital advertising inventory for publishers and buyers.