PubMatic (NASDAQ:PUBM) Shares Gap Up After Better-Than-Expected Earnings

PubMatic, Inc. (NASDAQ:PUBM - Get Free Report) gapped up prior to trading on Wednesday after the company announced better than expected quarterly earnings. The stock had previously closed at $16.43, but opened at $17.74. PubMatic shares last traded at $15.30, with a volume of 244,526 shares traded.

The company reported ($0.02) EPS for the quarter, beating analysts' consensus estimates of ($0.07) by $0.05. The firm had revenue of $71.79 million for the quarter, compared to analysts' expectations of $66.14 million. PubMatic had a net margin of 5.96% and a return on equity of 5.98%.

Analyst Upgrades and Downgrades

PUBM has been the topic of a number of recent research reports. Jefferies Financial Group reduced their target price on PubMatic from $26.00 to $16.00 and set a "hold" rating on the stock in a research note on Friday, August 9th. Raymond James lowered PubMatic from an "outperform" rating to a "market perform" rating in a research note on Friday, August 9th. Royal Bank of Canada cut their target price on shares of PubMatic from $26.00 to $23.00 and set an "outperform" rating for the company in a research note on Tuesday, August 20th. Evercore ISI lifted their target price on shares of PubMatic from $20.00 to $22.00 and gave the stock an "outperform" rating in a research note on Wednesday. Finally, Wolfe Research began coverage on PubMatic in a report on Tuesday, July 16th. They issued an "outperform" rating and a $25.00 price target for the company. Three research analysts have rated the stock with a hold rating and five have given a buy rating to the company. According to data from MarketBeat, PubMatic currently has an average rating of "Moderate Buy" and a consensus price target of $21.71.

Insider Activity

In other news, CAO Lisa Gimbel sold 2,397 shares of the company's stock in a transaction on Friday, August 16th. The stock was sold at an average price of $13.66, for a total transaction of $32,743.02. Following the completion of the sale, the chief accounting officer now directly owns 3,956 shares in the company, valued at $54,038.96. This represents a 0.00 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this link. In other news, Chairman Amar K. Goel sold 3,889 shares of PubMatic stock in a transaction dated Thursday, October 3rd. The stock was sold at an average price of $14.31, for a total value of $55,651.59. Following the transaction, the chairman now directly owns 7,935 shares of the company's stock, valued at $113,549.85. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this link. Also, CAO Lisa Gimbel sold 2,397 shares of the stock in a transaction that occurred on Friday, August 16th. The stock was sold at an average price of $13.66, for a total transaction of $32,743.02. Following the sale, the chief accounting officer now directly owns 3,956 shares of the company's stock, valued at approximately $54,038.96. This trade represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 105,788 shares of company stock valued at $1,552,133 in the last ninety days. Company insiders own 2.90% of the company's stock.

Institutional Investors Weigh In On PubMatic

Several large investors have recently made changes to their positions in PUBM. Vanguard Group Inc. boosted its holdings in PubMatic by 0.5% in the 1st quarter. Vanguard Group Inc. now owns 4,254,391 shares of the company's stock worth $100,914,000 after acquiring an additional 22,713 shares during the period. Renaissance Technologies LLC lifted its position in shares of PubMatic by 28.8% during the second quarter. Renaissance Technologies LLC now owns 1,188,700 shares of the company's stock worth $24,142,000 after purchasing an additional 265,700 shares in the last quarter. Jacobs Levy Equity Management Inc. boosted its stake in shares of PubMatic by 92.5% in the first quarter. Jacobs Levy Equity Management Inc. now owns 440,127 shares of the company's stock valued at $10,440,000 after purchasing an additional 211,520 shares during the period. Charles Schwab Investment Management Inc. grew its holdings in PubMatic by 122.5% during the 3rd quarter. Charles Schwab Investment Management Inc. now owns 434,867 shares of the company's stock valued at $6,466,000 after purchasing an additional 239,406 shares in the last quarter. Finally, Millennium Management LLC purchased a new stake in PubMatic during the 2nd quarter worth $6,582,000. Institutional investors and hedge funds own 64.26% of the company's stock.

PubMatic Stock Performance

The business's fifty day simple moving average is $14.87 and its 200 day simple moving average is $18.36. The stock has a market cap of $806.17 million, a price-to-earnings ratio of 52.32 and a beta of 1.39.

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.