PubMatic (NASDAQ:PUBM) Shares Gap Up Following Better-Than-Expected Earnings

PubMatic, Inc. (NASDAQ:PUBM) gapped up before the market opened on Wednesday after the company announced better than expected quarterly earnings. The stock had previously closed at $24.02, but opened at $25.17. PubMatic shares last traded at $24.27, with a volume of 284,861 shares trading hands.

The company reported ($0.05) EPS for the quarter, beating analysts’ consensus estimates of ($0.12) by $0.07. The business had revenue of $66.70 million during the quarter, compared to analysts’ expectations of $62.19 million. PubMatic had a net margin of 3.33% and a return on equity of 3.29%. The firm’s quarterly revenue was up 20.4% on a year-over-year basis. During the same quarter in the prior year, the company earned ($0.09) EPS.

Analyst Upgrades and Downgrades

PUBM has been the topic of a number of research reports. B. Riley began coverage on PubMatic in a report on Friday, April 19th. They issued a “buy” rating and a $27.00 price target on the stock. Royal Bank of Canada upped their price objective on PubMatic from $26.00 to $30.00 and gave the stock an “outperform” rating in a research note on Wednesday. Finally, JMP Securities raised their target price on shares of PubMatic from $18.00 to $25.00 and gave the company a “market outperform” rating in a research note on Tuesday, February 27th. Two equities research analysts have rated the stock with a hold rating and four have assigned a buy rating to the company’s stock. According to MarketBeat.com, PubMatic has an average rating of “Moderate Buy” and a consensus price target of $23.00.

Insider Transactions at PubMatic

In related news, insider Paulina Klimenko sold 2,083 shares of the stock in a transaction on Friday, February 16th. The stock was sold at an average price of $17.00, for a total value of $35,411.00. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. In other news, CEO Rajeev K. Goel sold 98,600 shares of the firm’s stock in a transaction dated Tuesday, February 27th. The shares were sold at an average price of $20.70, for a total transaction of $2,041,020.00. Following the completion of the sale, the chief executive officer now owns 7,500 shares in the company, valued at approximately $155,250. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, insider Paulina Klimenko sold 2,083 shares of PubMatic stock in a transaction dated Friday, February 16th. The stock was sold at an average price of $17.00, for a total transaction of $35,411.00. The disclosure for this sale can be found here. In the last three months, insiders sold 194,263 shares of company stock worth $4,164,043. 2.90% of the stock is owned by company insiders.

Institutional Investors Weigh In On PubMatic

Several hedge funds have recently bought and sold shares of PUBM. Guinness Atkinson Asset Management Inc lifted its holdings in PubMatic by 48.6% during the 3rd quarter. Guinness Atkinson Asset Management Inc now owns 3,032 shares of the company’s stock worth $37,000 after purchasing an additional 992 shares during the last quarter. DekaBank Deutsche Girozentrale bought a new position in PubMatic during the third quarter worth about $68,000. SG Americas Securities LLC bought a new stake in shares of PubMatic in the first quarter valued at approximately $107,000. Public Employees Retirement System of Ohio bought a new position in PubMatic in the 3rd quarter valued at about $142,000. Finally, Quantbot Technologies LP acquired a new position in PubMatic during the third quarter valued at approximately $154,000. 64.26% of the stock is currently owned by institutional investors and hedge funds.

PubMatic Stock Performance

The stock has a fifty day simple moving average of $22.67 and a two-hundred day simple moving average of $17.99. The stock has a market cap of $1.12 billion, a price-to-earnings ratio of 149.81 and a beta of 1.52.

About PubMatic

PubMatic, Inc, a technology company, engages in the provision of a cloud infrastructure platform that enables real-time programmatic advertising transactions for digital content creators, advertisers, agencies, agency trading desks, and demand side platforms worldwide. Its PubMatic SSP, a sell-side platform, used for the purchase and sale of digital advertising inventory for publishers and buyers.