PubMatic (NASDAQ:PUBM) Reaches New 1-Year High – Should You Buy?

Shares of PubMatic, Inc. (NASDAQ:PUBM) hit a new 52-week high on Thursday . The company traded as high as $19.19 and last traded at $17.7760, with a volume of 266868 shares. The stock had previously closed at $16.85.

Analysts Set New Price Targets

Several equities analysts recently commented on PUBM shares. Citigroup reaffirmed an “outperform” rating on shares of PubMatic in a research report on Friday, August 7th. Scotiabank upgraded shares of PubMatic from a “sector perform” rating to a “sector outperform” rating and upped their price target for the company from $8.00 to $21.00 in a research note on Friday, August 7th. Weiss Ratings downgraded shares of PubMatic from a “sell (d)” rating to a “sell (d-)” rating in a research note on Tuesday, August 11th. Rosenblatt Securities boosted their price objective on shares of PubMatic from $21.00 to $23.00 and gave the company a “buy” rating in a report on Friday, August 7th. Finally, Lake Street Capital reissued a “buy” rating and issued a $20.00 target price on shares of PubMatic in a research report on Friday, August 7th. Ten analysts have rated the stock with a Buy rating, one has given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $18.25.

PubMatic Price Performance

The company’s fifty day moving average is $15.27 and its 200-day moving average is $11.89. The stock has a market cap of $794.44 million, a PE ratio of -58.09 and a beta of 1.58.

PubMatic (NASDAQ:PUBM) last posted its quarterly earnings results on Thursday, August 6th. The company reported ($0.03) EPS for the quarter, beating the consensus estimate of ($0.18) by $0.15. The company had revenue of $78.59 million for the quarter, compared to analyst estimates of $68.95 million. PubMatic had a negative net margin of 4.66% and a negative return on equity of 5.41%. Analysts expect that PubMatic, Inc. will post -0.09 EPS for the current year.

Insider Activity

In related news, CFO Steven Pantelick sold 19,716 shares of PubMatic stock in a transaction that occurred on Thursday, August 13th. The stock was sold at an average price of $17.31, for a total transaction of $341,283.96. Following the completion of the transaction, the chief financial officer directly owned 10,353 shares in the company, valued at approximately $179,210.43. This trade represents a 65.57% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, General Counsel Andrew Woods sold 38,331 shares of the business’s stock in a transaction that occurred on Monday, August 10th. The shares were sold at an average price of $17.96, for a total value of $688,424.76. Following the completion of the transaction, the general counsel directly owned 39,761 shares of the company’s stock, valued at $714,107.56. The trade was a 49.08% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 538,626 shares of company stock valued at $8,664,396 over the last 90 days. Company insiders own 27.78% of the company’s stock.

Institutional Trading of PubMatic

A number of hedge funds have recently added to or reduced their stakes in the company. WINTON GROUP Ltd increased its holdings in PubMatic by 28.0% in the second quarter. WINTON GROUP Ltd now owns 16,900 shares of the company’s stock valued at $222,000 after buying an additional 3,700 shares in the last quarter. Squarepoint Ops LLC increased its stake in shares of PubMatic by 168.8% in the 2nd quarter. Squarepoint Ops LLC now owns 62,137 shares of the company’s stock valued at $815,000 after purchasing an additional 39,023 shares in the last quarter. Public Employees Retirement System of Ohio purchased a new position in shares of PubMatic in the 2nd quarter valued at about $872,000. Pinnacle Holdings LLC acquired a new position in PubMatic in the 2nd quarter worth about $2,076,000. Finally, Bank of New York Mellon Corp purchased a new position in PubMatic during the second quarter worth approximately $1,595,000. 64.26% of the stock is owned by hedge funds and other institutional investors.

About PubMatic

PubMatic, Inc (NASDAQ: PUBM) operates a cloud infrastructure platform that helps digital publishers and app developers manage and monetize advertising inventory. Its sell-side platform connects publishers with advertisers, agencies and demand-side platforms, enabling automated buying and selling of digital advertising.

The company’s solutions support advertising across the open internet, including websites, mobile applications, connected television, online video and digital out-of-home environments.