Udemy (NASDAQ:UDMY) Shares Down 4.4% - Time to Sell?

Udemy, Inc. (NASDAQ:UDMY - Get Free Report)'s stock price was down 4.4% during mid-day trading on Wednesday . The company traded as low as $7.46 and last traded at $7.48. Approximately 421,268 shares were traded during mid-day trading, a decline of 35% from the average daily volume of 649,887 shares. The stock had previously closed at $7.82.

Wall Street Analyst Weigh In

Several brokerages have weighed in on UDMY. Cantor Fitzgerald decreased their price objective on shares of Udemy from $18.00 to $11.00 and set an "overweight" rating for the company in a report on Wednesday, October 30th. Scotiabank began coverage on Udemy in a report on Thursday, December 5th. They issued a "sector outperform" rating and a $10.00 price objective for the company. Needham & Company LLC reiterated a "buy" rating and issued a $11.00 target price on shares of Udemy in a research report on Friday, January 17th. Finally, Morgan Stanley cut Udemy from an "equal weight" rating to an "underweight" rating and reduced their price objective for the stock from $10.00 to $7.50 in a research note on Friday, September 27th. One analyst has rated the stock with a sell rating, four have issued a hold rating and eight have given a buy rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average price target of $10.92.

Udemy Price Performance

The company has a fifty day moving average price of $8.20 and a two-hundred day moving average price of $8.09. The firm has a market cap of $1.09 billion, a price-to-earnings ratio of -11.85 and a beta of 1.87.

Udemy (NASDAQ:UDMY - Get Free Report) last issued its quarterly earnings results on Tuesday, October 29th. The company reported $0.07 earnings per share for the quarter, topping analysts' consensus estimates of $0.01 by $0.06. Udemy had a negative return on equity of 29.36% and a negative net margin of 12.33%. The firm had revenue of $195.42 million for the quarter, compared to analysts' expectations of $192.69 million. During the same quarter last year, the business posted ($0.10) EPS. Udemy's revenue was up 5.8% on a year-over-year basis. On average, research analysts expect that Udemy, Inc. will post -0.47 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, CTO Eren Bali sold 35,518 shares of the business's stock in a transaction that occurred on Wednesday, November 6th. The stock was sold at an average price of $9.00, for a total value of $319,662.00. Following the completion of the sale, the chief technology officer now owns 2,225,532 shares of the company's stock, valued at approximately $20,029,788. The trade was a 1.57 % decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, CEO Gregory Scott Brown sold 10,000 shares of the company's stock in a transaction on Friday, December 6th. The stock was sold at an average price of $8.71, for a total transaction of $87,100.00. Following the completion of the sale, the chief executive officer now owns 1,183,086 shares of the company's stock, valued at $10,304,679.06. This represents a 0.84 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 55,518 shares of company stock worth $491,762. Corporate insiders own 3.20% of the company's stock.

Hedge Funds Weigh In On Udemy

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Point72 DIFC Ltd acquired a new stake in Udemy during the third quarter worth $30,000. Nisa Investment Advisors LLC raised its position in Udemy by 496.7% in the fourth quarter. Nisa Investment Advisors LLC now owns 7,220 shares of the company's stock worth $59,000 after purchasing an additional 6,010 shares in the last quarter. Ariadne Wealth Management LP bought a new position in Udemy during the second quarter worth about $67,000. Victory Capital Management Inc. bought a new stake in shares of Udemy in the 3rd quarter valued at approximately $75,000. Finally, XTX Topco Ltd acquired a new position in shares of Udemy in the 2nd quarter worth approximately $93,000. 79.48% of the stock is currently owned by institutional investors.

Udemy Company Profile

Udemy, Inc, a learning company, that operates a marketplace platform for learning skills in the United States and internationally. The company offers skill acquisition, development, and validation courses for organizations and individuals, through direct-to-consumer or Udemy Business offerings in various languages.

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