8×8 Inc. (EGHT:NYE) Analysts rate with a Hold rating, $16

STA Research
by: STA Research
8x8 inc stock

Based on the 8×8 Inc. stock forecasts from 11 analysts, the average analyst target price for 8×8 Inc. is USD 16.05 over the next 12 months. 8×8 Inc.’s average analyst rating is Hold. Stock Target Advisor’s own stock analysis of 8×8 Inc. is Bearish, based on 1 positive signal and 7 negative signals. At the last closing, 8×8 Inc.’s stock price was USD 7.82. 8×8 Inc.’s stock price has changed by -1.83% over the past week, -3.83% over the past month and -67.87% over the last year.

Analysts respond to Earnings:

Needham & Company cut the target to $13 from $22.

Craig Hallum lowered the target to $10 from $20

Evercore ISI cuts the target to $18 from $30.

BTIG Research lowered the target to $16 from $36.
USD 36 » USD 16

Mizuho Securities reduces to $10 from $15.

B. Riley upgraded the stock to Buy from Neutral, with a $13.50 target on the stock.

8×8, Inc. delivers Software-as-a-Service phone, video, chat, contact centre, and enterprise-class application programmable interface (API) solutions for small and mid-size businesses, mid-market and larger corporations, government agencies, and other organizations throughout the world. It provides services such as unified communications, team collaboration, video conferencing, contact centre, data and analytics, communication APIs, and more. The company was founded in 1987 and is based in Campbell, California.

 

What we like:

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

 

What we don’t like:

Low market capitalization

This is among the smaller entities in its sectors with below median market capitalization. That may make it less stable in the long run unless it has a unique technology or market that can help it grow or acquire in the future.

Poor risk-adjusted returns

This company is delivering below median risk-adjusted returns to its peers. Even if it is outperforming on returns, the returns are unpredictable. Proceed with caution.

Below median dividend returns

The company’s average income yield over the past 5 years has been low compared to its peers. However, it is not a problem if you are not looking for income.

Overpriced compared to book value

The stock is trading high compared to its peers’ median on a price to book value basis.

Overpriced on a cash flow basis

The stock is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering buying.

Low Earnings Growth

This stock has shown below median earnings growth in the previous 5 years compared to its sector

Low Revenue Growth

This stock has shown below median revenue growth in the previous 5 years compared to its sector.

 

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