Kornit Digital (NASDAQ:KRNT) Shares Gap Up After Better-Than-Expected Earnings

Kornit Digital Ltd. (NASDAQ:KRNT)’s stock price gapped up prior to trading on Wednesday following a better than expected earnings announcement. The stock had previously closed at $17.58, but opened at $19.00. Kornit Digital shares last traded at $17.47, with a volume of 96,517 shares changing hands.

The industrial products company reported $0.04 earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.01) by $0.05. The company had revenue of $55.32 million for the quarter, compared to analyst estimates of $52.80 million. Kornit Digital had a negative net margin of 7.93% and a negative return on equity of 1.15%. The company’s quarterly revenue was up 11.1% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.03 earnings per share.

Analyst Ratings Changes

Several research analysts have commented on the company. Needham & Company LLC raised their target price on Kornit Digital from $20.00 to $22.00 and gave the stock a “buy” rating in a research note on Thursday, May 14th. Zacks Research downgraded shares of Kornit Digital from a “hold” rating to a “strong sell” rating in a report on Thursday, July 30th. Finally, Morgan Stanley raised their price objective on shares of Kornit Digital from $17.00 to $18.00 and gave the company an “equal weight” rating in a research report on Tuesday, June 23rd. Two analysts have rated the stock with a Buy rating, two have given a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat.com, Kornit Digital presently has a consensus rating of “Hold” and an average price target of $21.00.

Institutional Trading of Kornit Digital

Large investors have recently modified their holdings of the business. CIBC Private Wealth Group LLC grew its holdings in shares of Kornit Digital by 1,359.8% during the third quarter. CIBC Private Wealth Group LLC now owns 1,927 shares of the industrial products company’s stock worth $26,000 after purchasing an additional 1,795 shares in the last quarter. Johnson Financial Group Inc. purchased a new stake in Kornit Digital in the third quarter valued at approximately $27,000. Raymond James Financial Inc. bought a new stake in Kornit Digital during the second quarter valued at approximately $31,000. State of Tennessee Department of Treasury purchased a new position in Kornit Digital in the 2nd quarter worth approximately $35,000. Finally, Quadrature Capital Ltd purchased a new position in Kornit Digital in the 4th quarter worth approximately $144,000. Institutional investors own 92.76% of the company’s stock.

Kornit Digital Trading Down 0.7%

The stock’s fifty day moving average price is $15.86 and its 200 day moving average price is $15.39. The stock has a market cap of $750.47 million, a P/E ratio of -44.64 and a beta of 1.72.

Kornit Digital Company Profile

Kornit Digital Ltd. (NASDAQ: KRNT) is a global technology company specializing in digital textile printing solutions. Headquartered in Rosh Ha’Ayin, Israel, Kornit develops and manufactures an integrated ecosystem of industrial inkjet printers, proprietary NeoPigment inks and pretreatment systems. Its product portfolio addresses a range of applications including direct-to-garment, direct-to-fabric, digital embellishment and hybrid manufacturing, enabling businesses to produce custom apparel, sportswear, fashion and home textiles on demand.

The company’s flagship offerings include the Avalanche and Atlas series for high-volume production, as well as the Storm and Helix lines designed for mid-to-large scale operations.