Zuora (NYSE:ZUO) Sees Large Volume Increase – Should You Buy?

Zuora, Inc. (NYSE:ZUO) saw unusually-high trading volume on Friday . Approximately 2,277,776 shares traded hands during mid-day trading, an increase of 44% from the previous session’s volume of 1,576,674 shares.The stock last traded at $9.95 and had previously closed at $9.96.

Analysts Set New Price Targets

ZUO has been the subject of a number of research analyst reports. Lake Street Capital reaffirmed a “hold” rating and set a $10.00 target price on shares of Zuora in a research report on Friday. Needham & Company LLC reaffirmed a “buy” rating and issued a $15.00 price objective on shares of Zuora in a research note on Thursday, August 22nd. Canaccord Genuity Group reiterated a “buy” rating and set a $13.00 target price on shares of Zuora in a report on Thursday, August 22nd. Finally, Craig Hallum lowered shares of Zuora from a “buy” rating to a “hold” rating and reduced their price target for the company from $12.00 to $10.00 in a report on Monday, July 8th. Four research analysts have rated the stock with a hold rating and three have issued a buy rating to the company’s stock. Based on data from MarketBeat, Zuora currently has an average rating of “Hold” and a consensus price target of $11.43.

Zuora Trading Down 0.5 %

The firm has a market capitalization of $1.45 billion, a PE ratio of -23.05 and a beta of 1.72. The company has a quick ratio of 2.77, a current ratio of 2.77 and a debt-to-equity ratio of 1.90. The company’s 50-day simple moving average is $8.77 and its 200 day simple moving average is $9.22.

Zuora (NYSE:ZUO) last posted its quarterly earnings data on Wednesday, August 21st. The company reported $0.19 EPS for the quarter, topping the consensus estimate of $0.10 by $0.09. The firm had revenue of $115.40 million during the quarter, compared to analyst estimates of $112.63 million. Zuora had a negative net margin of 10.60% and a negative return on equity of 12.54%. Zuora’s revenue was up 6.8% on a year-over-year basis. During the same quarter in the previous year, the business posted ($0.12) EPS. As a group, sell-side analysts expect that Zuora, Inc. will post -0.06 EPS for the current year.

Insider Activity at Zuora

In other Zuora news, CFO Todd Mcelhatton sold 51,879 shares of the firm’s stock in a transaction dated Thursday, October 3rd. The stock was sold at an average price of $8.34, for a total value of $432,670.86. Following the completion of the sale, the chief financial officer now owns 356,875 shares of the company’s stock, valued at approximately $2,976,337.50. This trade represents a 0.00 % 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 the SEC website. In other Zuora news, CEO Tien Tzuo sold 63,873 shares of the business’s stock in a transaction that occurred on Thursday, October 3rd. The shares were sold at an average price of $8.34, for a total transaction of $532,700.82. Following the sale, the chief executive officer now owns 63,312 shares of the company’s stock, valued at approximately $528,022.08. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CFO Todd Mcelhatton sold 51,879 shares of the firm’s stock in a transaction on Thursday, October 3rd. The stock was sold at an average price of $8.34, for a total transaction of $432,670.86. Following the completion of the transaction, the chief financial officer now directly owns 356,875 shares of the company’s stock, valued at approximately $2,976,337.50. This represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 221,081 shares of company stock valued at $1,857,391 in the last ninety days. Corporate insiders own 8.62% of the company’s stock.

Institutional Investors Weigh In On Zuora

A number of large investors have recently made changes to their positions in ZUO. Point72 Asia Singapore Pte. Ltd. acquired a new stake in Zuora during the 2nd quarter worth about $44,000. CWM LLC raised its stake in shares of Zuora by 25.0% in the second quarter. CWM LLC now owns 7,945 shares of the company’s stock worth $79,000 after purchasing an additional 1,590 shares during the last quarter. Quent Capital LLC acquired a new stake in shares of Zuora during the first quarter worth about $83,000. Canada Pension Plan Investment Board purchased a new stake in Zuora in the second quarter valued at approximately $85,000. Finally, Williams Financial LLC purchased a new stake in Zuora in the second quarter valued at approximately $119,000. 83.02% of the stock is owned by hedge funds and other institutional investors.

About Zuora

Zuora, Inc provides a monetization suite for modern businesses to help companies launch and scale new services and operate dynamic customer-centric business models. The company offers Zuora Billing that allows customers to deploy various pricing and packaging strategies to monetize their recurring revenue streams, bill customers, calculate prorations when subscriptions change, and automate billing and payment operations; Zuora Revenue, a revenue recognition and automation solution that accounting teams use to manage their complex revenue streams; Zuora Payments to provide payment orchestration services for companies looking to operate globally; and Zephr, a digital subscriber experience platform that helps companies orchestrate dynamic experiences that increase conversion, reduce churn, and nurture ongoing subscriber relationships.