PubMatic (NASDAQ:PUBM) Shares Down 8.7% – Here’s Why

PubMatic, Inc. (NASDAQ:PUBM)’s share price dropped 8.7% on Tuesday. The company traded as low as $17.17 and last traded at $17.38. 134,834 shares traded hands during mid-day trading, a decline of 80% from the average daily volume of 672,435 shares. The stock had previously closed at $19.03.

Wall Street Analysts Forecast Growth

A number of analysts have weighed in on the stock. UBS Group reaffirmed a “buy” rating on shares of PubMatic in a research note on Tuesday. Weiss Ratings reiterated a “sell (d-)” rating on shares of PubMatic in a research note on Wednesday, November 4th. Lake Street Capital reiterated a “buy” rating and issued a $20.00 price target on shares of PubMatic in a research note on Friday, August 7th. Scotiabank raised PubMatic from a “sector perform” rating to a “sector outperform” rating and raised their price objective for the company from $8.00 to $21.00 in a report on Friday, August 7th. Finally, Citizens Jmp boosted their price objective on PubMatic from $12.00 to $20.00 and gave the stock a “market outperform” rating in a research report on Friday, August 7th. Twelve equities research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $21.00.

PubMatic Trading Up 8.0%

The firm’s 50-day moving average is $17.48 and its 200 day moving average is $12.46. The firm has a market capitalization of $834.02 million, a price-to-earnings ratio of -366.13 and a beta of 1.59.

Insider Activity

In related news, General Counsel Andrew Woods sold 10,079 shares of the business’s stock in a transaction on Monday, October 5th. The shares were sold at an average price of $18.65, for a total value of $187,973.35. Following the sale, the general counsel owned 39,761 shares of the company’s stock, valued at $741,542.65. The trade was a 20.22% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Chairman Amar K. Goel sold 10,795 shares of the stock in a transaction on Monday, October 5th. The shares were sold at an average price of $18.66, for a total value of $201,434.70. Following the completion of the sale, the chairman owned 35,580 shares of the company’s stock, valued at $663,922.80. The trade was a 23.28% 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. In the last three months, insiders have sold 319,399 shares of company stock valued at $5,748,679. 27.78% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the stock. Renaissance Technologies LLC grew its position in shares of PubMatic by 26.3% in the 1st quarter. Renaissance Technologies LLC now owns 1,540,533 shares of the company’s stock valued at $12,602,000 after buying an additional 321,200 shares during the last quarter. Boston Partners bought a new position in shares of PubMatic during the third quarter worth about $20,230,000. Quantinno Capital Management LP raised its position in shares of PubMatic by 248.0% during the first quarter. Quantinno Capital Management LP now owns 206,815 shares of the company’s stock worth $1,692,000 after acquiring an additional 147,386 shares during the last quarter. Arrowstreet Capital Limited Partnership bought a new stake in PubMatic in the first quarter valued at approximately $1,687,000. Finally, Avestar Capital LLC boosted its holdings in PubMatic by 250.3% in the third quarter. Avestar Capital LLC now owns 192,688 shares of the company’s stock valued at $3,609,000 after acquiring an additional 137,688 shares during the last quarter. 64.26% of the stock is owned by institutional investors.

PubMatic Company Profile

PubMatic is a digital advertising technology company that operates a sell-side platform for publishers and app developers. Its cloud-based platform helps clients manage and monetize advertising inventory by connecting it with demand from advertisers and media buyers through programmatic advertising. The company’s services support advertising across web, mobile app, video and connected TV environments. Its tools include real-time bidding, inventory management, audience and data solutions, and analytics designed to help publishers optimize advertising revenue and give buyers access to digital audiences.