Gogo (NASDAQ:GOGO) Shares Gap Down on Analyst Downgrade

Gogo Inc. (NASDAQ:GOGO) shares gapped down prior to trading on Tuesday after Morgan Stanley lowered their price target on the stock from $12.00 to $11.00. The stock had previously closed at $7.97, but opened at $7.68. Morgan Stanley currently has an equal weight rating on the stock. Gogo shares last traded at $7.83, with a volume of 96,092 shares.

Separately, JPMorgan Chase & Co. dropped their target price on shares of Gogo from $11.00 to $10.00 and set a “neutral” rating for the company in a research report on Thursday, August 8th.

Institutional Investors Weigh In On Gogo

A number of institutional investors have recently modified their holdings of the business. Van ECK Associates Corp grew its position in shares of Gogo by 5.7% during the 4th quarter. Van ECK Associates Corp now owns 28,332 shares of the technology company’s stock valued at $287,000 after buying an additional 1,538 shares during the last quarter. Charles Schwab Investment Management Inc. boosted its stake in Gogo by 0.3% during the 4th quarter. Charles Schwab Investment Management Inc. now owns 509,592 shares of the technology company’s stock valued at $5,162,000 after purchasing an additional 1,735 shares during the period. State Board of Administration of Florida Retirement System boosted its stake in Gogo by 12.6% during the 1st quarter. State Board of Administration of Florida Retirement System now owns 21,320 shares of the technology company’s stock valued at $187,000 after purchasing an additional 2,390 shares during the period. Texas Permanent School Fund Corp boosted its stake in Gogo by 7.2% during the 2nd quarter. Texas Permanent School Fund Corp now owns 57,452 shares of the technology company’s stock valued at $553,000 after purchasing an additional 3,845 shares during the period. Finally, CANADA LIFE ASSURANCE Co boosted its stake in Gogo by 11.6% during the 1st quarter. CANADA LIFE ASSURANCE Co now owns 54,770 shares of the technology company’s stock valued at $481,000 after purchasing an additional 5,688 shares during the period. Institutional investors own 69.60% of the company’s stock.

Gogo Price Performance

The company has a debt-to-equity ratio of 11.25, a quick ratio of 3.16 and a current ratio of 3.95. The business’s 50 day simple moving average is $8.61 and its 200-day simple moving average is $9.01. The stock has a market capitalization of $1.02 billion, a price-to-earnings ratio of 6.83 and a beta of 1.13.

Gogo (NASDAQ:GOGO) last posted its earnings results on Wednesday, August 7th. The technology company reported $0.01 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.07 by ($0.06). The firm had revenue of $102.10 million for the quarter, compared to analyst estimates of $99.02 million. Gogo had a net margin of 16.59% and a return on equity of 145.01%. The company’s revenue for the quarter was down 1.1% on a year-over-year basis. During the same period in the previous year, the firm earned $0.20 earnings per share. Research analysts anticipate that Gogo Inc. will post 0.33 earnings per share for the current year.

About Gogo

Gogo Inc, together with its subsidiaries, provides broadband connectivity services to the aviation industry in the United States and internationally. The company's product platform includes networks, antennas, and airborne equipment and software. It offers in-flight systems; in-flight services; aviation partner support; and engineering, design, and development services, as well as production operations functions.