Blackbaud (NASDAQ:BLKB) Shares Gap Down - Here's Why

Blackbaud, Inc. (NASDAQ:BLKB - Get Free Report)'s share price gapped down prior to trading on Wednesday . The stock had previously closed at $87.48, but opened at $75.42. Blackbaud shares last traded at $76.62, with a volume of 6,903 shares changing hands.

Wall Street Analyst Weigh In

BLKB has been the topic of a number of recent research reports. Stifel Nicolaus lifted their price objective on Blackbaud from $80.00 to $85.00 and gave the company a "hold" rating in a report on Thursday, September 26th. Evercore ISI upgraded Blackbaud to a "hold" rating in a research report on Thursday, August 1st. Robert W. Baird lifted their price objective on Blackbaud from $88.00 to $92.00 and gave the company an "outperform" rating in a report on Thursday, August 1st. Finally, Raymond James lowered their target price on shares of Blackbaud from $98.00 to $95.00 and set an "outperform" rating on the stock in a report on Monday, October 7th. Two research analysts have rated the stock with a hold rating and three have given a buy rating to the stock. According to data from MarketBeat, Blackbaud currently has an average rating of "Moderate Buy" and an average target price of $90.67.

Blackbaud Trading Down 15.1 %

The company has a 50-day simple moving average of $83.56 and a 200-day simple moving average of $79.61. The company has a debt-to-equity ratio of 1.73, a quick ratio of 0.80 and a current ratio of 0.80. The stock has a market cap of $3.84 billion, a P/E ratio of 186.88 and a beta of 1.02.

Blackbaud (NASDAQ:BLKB - Get Free Report) last issued its quarterly earnings results on Tuesday, July 30th. The technology company reported $1.08 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.04 by $0.04. The business had revenue of $287.29 million for the quarter, compared to the consensus estimate of $289.26 million. Blackbaud had a net margin of 3.64% and a return on equity of 18.54%. The firm's quarterly revenue was up 6.0% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.49 EPS. On average, sell-side analysts forecast that Blackbaud, Inc. will post 2.45 EPS for the current fiscal year.

Blackbaud announced that its board has authorized a share buyback program on Tuesday, July 30th that allows the company to buyback $800.00 million in shares. This buyback authorization allows the technology company to purchase up to 18.1% of its shares through open market purchases. Shares buyback programs are usually an indication that the company's board of directors believes its stock is undervalued.

Insider Buying and Selling at Blackbaud

In other Blackbaud news, EVP Kevin Mcdearis sold 3,210 shares of the firm's stock in a transaction dated Monday, September 16th. The stock was sold at an average price of $85.16, for a total transaction of $273,363.60. Following the transaction, the executive vice president now owns 63,802 shares in the company, valued at approximately $5,433,378.32. This trade represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. In other news, COO Kevin P. Gregoire sold 7,333 shares of the firm's stock in a transaction dated Thursday, August 15th. The stock was sold at an average price of $77.65, for a total transaction of $569,407.45. Following the sale, the chief operating officer now owns 110,715 shares of the company's stock, valued at $8,597,019.75. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP Kevin Mcdearis sold 3,210 shares of the stock in a transaction that occurred on Monday, September 16th. The stock was sold at an average price of $85.16, for a total value of $273,363.60. Following the sale, the executive vice president now directly owns 63,802 shares of the company's stock, valued at approximately $5,433,378.32. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 55,409 shares of company stock valued at $4,483,193. 1.95% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of the stock. Geneva Capital Management LLC lifted its position in Blackbaud by 12.7% in the 1st quarter. Geneva Capital Management LLC now owns 1,195,891 shares of the technology company's stock valued at $88,663,000 after acquiring an additional 135,103 shares in the last quarter. Vanguard Group Inc. grew its holdings in shares of Blackbaud by 1.3% during the first quarter. Vanguard Group Inc. now owns 5,646,203 shares of the technology company's stock worth $418,609,000 after buying an additional 71,619 shares in the last quarter. Mirae Asset Global Investments Co. Ltd. raised its position in Blackbaud by 306.3% in the 1st quarter. Mirae Asset Global Investments Co. Ltd. now owns 86,747 shares of the technology company's stock valued at $6,245,000 after buying an additional 65,395 shares during the last quarter. Kestrel Investment Management Corp bought a new stake in Blackbaud in the 2nd quarter valued at approximately $4,795,000. Finally, Millennium Management LLC boosted its position in Blackbaud by 2,240.8% during the 2nd quarter. Millennium Management LLC now owns 63,411 shares of the technology company's stock worth $4,830,000 after acquiring an additional 60,702 shares during the last quarter. Institutional investors own 94.21% of the company's stock.

About Blackbaud

Blackbaud, Inc provides cloud software solutions to nonprofits, foundations, education institutions, and healthcare organizations in the United States and internationally. The company offers fundraising and engagement solutions, such as Blackbaud Raiser's Edge NXT, Blackbaud CRM, Blackbaud eTapestry, Blackbaud Luminate Online, Blackbaud TeamRaiser, JustGiving, Blackbaud Fundraiser Performance Management, Blackbaud Guided Fundraising, and Blackbaud Altru; and financial management solutions comprising Blackbaud Financial Edge NXT, Blackbaud Tuition Management, and Blackbaud Financial Aid and Billing Management.