Zuora Inc. (NYSE: ZUO) Stock In Prove Me State


The Vanguard Group, Inc. has recently announced that it has increased stake in Zuora Inc. (NYSE:ZUO) by 20.26%. After grabbing 8.54 million shares, the institutional investor is now in possession of 1.44 million shares of the Technology Company. The new investment brought the stake of investor firm to 8.55% having worth around $99.43 million. Moreover, BlackRock Fund Advisors increased its share by 0.69 million to have a control over 5.88 million shares. And Brown Advisory LLC raised its holdings to 0.24 million shares by acquiring 4.68 million shares or 4.69% of the stake.

Zuora Inc. (ZUO) concluded trading on 08/26/20 at a closing price of $13.09, with 3.34 million shares of worth about $43.77 million changed hands on the day. Weekly performance of the stock remained positive as price took a surge of 11.21% during that period and on Wednesday the price saw a gain of about 11.31%. Currently the company’s common shares owned by public are about 115.14M shares, out of which, 98.79M shares are available for trading.

A deeper look into what the analysts at Wall Street are thinking about the price target of this stock provides us with the following: 6 analysts are covering the ZUO stock and their offered price forecasts bring an average price target of $13.50. Over the next 12 months, analysts forecasted that the stock’s price could jump as high as $19.00 and could fall to a lowest price of $11.00. Analysts also issued an outlook of 2.90 for the Zuora Inc. stock for next 12 months. The stock’s current price level is 8.14% above of average price target set by the analysts, while a rise to estimated low would result in loss of -19.0 for the stock. However, touching the estimated high of $19.00 would mean a gain of 31.11% for the stock.

According to filings with the U.S. Securities and Exchange Commission (SEC), insiders took part in trade of the company’s stock for 53 times over the past 12 months. They bought 5,037,704 shares in 28 of the transactions. In 25 selling transactions, insiders dumped 3,285,067 shares.

Vanguard Total Stock Market Index, First Trust Cloud Computing ETF, and Vanguard Small Cap Index Fund are the top 3 mutual funds which are holding stakes in Zuora Inc. Vanguard Total Stock Market Index is currently holding 2.73 million shares of worth totaling $31.73 million. The company recently came selling 5881.0 shares which brought its stake up to 2.73% of the company’s outstanding shares. Vanguard Small Cap Index Fund, after selling 2.35 million shares, have now control over 2.35% of the stake in the company. It holds 25900.0 shares of worth $27.32 million.

Zuora Inc. (NYSE: ZUO) started trading at $11.87, above $0.11 from concluding price of the previous day. However, the stock finished the trading on the day at a closing price of $13.09, or with a gain of 11.31%. Stock saw a price change of 11.21% in past 5 days and over the past one month there was a price change of 15.03%. Year-to-date (YTD), ZUO shares are showing a performance of -8.65% which decreased to -6.50% when we look at its performance for past 12 months. Over the period of past 52 weeks, stock dropped to lowest price of $6.21 but also hit the highest price of $16.59 during that period. While comparing its average daily trading volume of 1.65 million shares, we see that about 3.34 million changed hands on the day. The stock is currently trading 11.44% above its 20-day simple moving average (SMA20), while that difference is up 7.35% for SMA50 and it goes to 4.00% higher than SMA200.

The Vanguard Group, Inc. acquired 8.54 million shares of Zuora Inc. having value of about $99.43 million. Data submitted at the U.S SEC by The Vanguard Group, Inc. revealed that the firm now holds 1.44 million shares in the company valued at close to $18839651.6, or have control over 20.26% stake in the company. Zuora Inc. (NYSE: ZUO) currently have 115.14M outstanding shares and institutions hold larger chunk of about 61.70% of that. Holding of mutual funds in the company is about 31.32% while other institutional holders and individual stake holders have control over 9.60% and 28.87% of the stake respectively.

The stock has a current market capitalization of $1.56B. It has posted earnings per share of -$0.71 in the same period. It has Quick Ratio of 1.60 while making debt-to-equity ratio of 0.06. Volatility of a stock is a metric used to know how much the price of that stock is under influence and for ZUO, volatility over the week remained 5.20% while standing at 4.12% over the month.

Analysts are in expectations that Zuora Inc. (ZUO) stock would likely to be making an EPS of -$0.07 in the current quarter, while forecast for next quarter ESPS is -$0.05 and it is -$0.1 for next year. For the current quarter EPS, analysts have given the company a lowest target -$0.07 which is -$0.06 at the higher side of the target for the same. When we compare those targets with actual EPS, we find that company posted an EPS of -$0.09 in the same quarter a year ago. Stock’s fiscal year EPS is expected to rise by 5.80% while it is estimated to increase by 54.50% in next year.

Analysts at 6 brokerage firms have issued recommendations for the Zuora Inc. (ZUO)’s stock and average of those rates the stock at a “Moderate Buy” and assign it a score of 2.90. Out of those 6 Wall Street analysts, 1 recommended a “Buy” rating, while 3 were in favor recommending the stock as a “Hold” and 2 analyst recommended the stock as “Sell”.

Digging deeper we find that several firms have released their research notes about the support levels of the stock. Most recent of them is a note released by Northland Capital on June 16, 2020 offering a Market perform rating for the stock and assigned a target price of $14.50 to it. Coverage by Canaccord Genuity stated Zuora Inc. (ZUO) stock as a Buy in their note to investors on May 22, 2020, suggesting a price target of $15 for the stock. On May 14, 2020, Jefferies Downgrade their recommendations, while on April 14, 2020, Morgan Stanley Downgrade their ratings for the stock with a price target of $8.50. Stock get a Hold rating from Needham on March 13, 2020.


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