Shares of ZipRecruiter, Inc. (NYSE:ZIP – Get Free Report) reached a new 52-week high during mid-day trading on Tuesday after the company announced better than expected quarterly earnings. The company traded as high as $6.18 and last traded at $6.1790, with a volume of 3,478,429 shares changing hands. The stock had previously closed at $4.29.
The company reported $0.06 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.11) by $0.17. The firm had revenue of $124.44 million during the quarter.
Key Headlines Impacting ZipRecruiter
Here are the key news stories impacting ZipRecruiter this week:
- Positive Sentiment: Q3 revenue was $124.4 million, up 8% year over year, and earnings were approximately $0.05–$0.06 per share, versus analysts’ expected loss of $0.11. The results beat expectations. Zacks Q3 results article
- Positive Sentiment: Q4 revenue guidance of $118 million–$122 million is above the $115.8 million consensus estimate, suggesting the company expects business to remain resilient. Q3 earnings call highlights
- Positive Sentiment: Quarterly paid employers rose 10% year over year to 74,000. An analyst also highlighted improved margins, debt reduction and $22 million in year-to-date free cash flow, and upgraded the stock’s rating. Seeking Alpha turnaround analysis
- Neutral Sentiment: The analyst noted that monetization declined, attributing the pressure to timing. Whether that proves temporary will be important to watch. Seeking Alpha turnaround analysis
Analysts Set New Price Targets
Several equities analysts recently issued reports on ZIP shares. Wall Street Zen cut ZipRecruiter from a “strong-buy” rating to a “buy” rating in a research report on Saturday. UBS Group lifted their target price on ZipRecruiter from $4.00 to $4.50 and gave the stock a “neutral” rating in a report on Wednesday, July 22nd. The Goldman Sachs Group boosted their price target on ZipRecruiter from $3.50 to $5.00 and gave the stock a “neutral” rating in a research note on Thursday, August 6th. Finally, Weiss Ratings raised ZipRecruiter from a “hold (c-)” rating to a “hold (c)” rating in a report on Tuesday, October 27th. Four equities research analysts have rated the stock with a Hold rating. According to data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average target price of $4.17.
Get Our Latest Stock Analysis on ZIP
Insider Activity at ZipRecruiter
In other news, President David Travers sold 24,705 shares of the firm’s stock in a transaction on Friday, September 18th. The stock was sold at an average price of $3.66, for a total value of $90,420.30. Following the transaction, the president directly owned 1,252,219 shares in the company, valued at $4,583,121.54. This trade represents a 1.93% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Amy Garefis sold 7,879 shares of ZipRecruiter stock in a transaction on Tuesday, October 20th. The stock was sold at an average price of $4.56, for a total value of $35,928.24. Following the completion of the sale, the executive vice president directly owned 202,724 shares of the company’s stock, valued at $924,421.44. The trade was a 3.74% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 151,318 shares of company stock worth $608,431 in the last three months. 19.85% of the stock is currently owned by company insiders.
Institutional Inflows and Outflows
Institutional investors and hedge funds have recently bought and sold shares of the company. Caerus Investment Advisors LLC bought a new position in shares of ZipRecruiter in the 1st quarter worth approximately $25,000. AXQ Capital LP purchased a new position in shares of ZipRecruiter in the second quarter worth approximately $38,000. Ritholtz Wealth Management bought a new stake in ZipRecruiter during the third quarter valued at approximately $39,000. R Squared Ltd bought a new stake in ZipRecruiter during the third quarter valued at approximately $50,000. Finally, Royce & Associates LP bought a new stake in ZipRecruiter during the third quarter valued at approximately $61,000. 70.55% of the stock is owned by hedge funds and other institutional investors.
ZipRecruiter Stock Up 45.0%
The firm has a market capitalization of $511.64 million, a PE ratio of 17.72 and a beta of 1.54. The stock’s fifty day simple moving average is $4.04 and its 200 day simple moving average is $3.39.
About ZipRecruiter
ZipRecruiter, Inc. operates an online employment marketplace that connects businesses with job seekers. Its platform enables employers to create and distribute job postings across a broad network of online channels, while helping candidates search for available positions and apply for roles. The company uses technology and matching tools to recommend relevant candidates to employers and suitable job opportunities to job seekers. Its services are designed for businesses of various sizes, including small and midsize employers, as well as staffing firms and larger organizations.
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