AutoWeb Inc. (NASDAQ: AUTO): Hunting Genuine Value In Market Debris


Renaissance Technologies LLC recently announced the acquisition of new stake in AutoWeb Inc. (NASDAQ:AUTO). The institutional investor has increased its shareholding in the Communication Services company by 27.23% to 0.56 million shares with purchase of 0.12 million shares. This fresh investment now brings its stake to 4.26% valued currently at $0.77 million.

With over 4.01 million AutoWeb Inc. (AUTO) shares trading Monday and a closing price of $5.37 on the day, the dollar volume was approximately $21.56 million. The shares have shown a positive weekly performance of 55.65% and its price on 08/31/20 gained nearly 20.40%. Currently, there are 13.15M common shares owned by the public and among those 9.82M shares have been available to trade.

An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 4 analysts who have offered their price forecasts for AUTO have a consensus price objective of $5.50. The analysts have set the share’s price value over the next 12 months at a high of $10.00 and a low of $3.00 should the stock experience a downside. Incidentally, analysts’ outlook for the AutoWeb Inc. stock is 1.70 for the next 12 months. The average price target is 2.36% above its last price level and an upside to the estimated low will see the stock lose -79.0% over that period. But an upside of 46.3% will see the stock hit the forecast high price target while mean target price for the stock is $4.50.

Insiders at the company have transacted a total of 1 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 0 of these insider trades were purchases, accounting for 0 shares. Insider sales of the common stock occurred on 1 occasions, with total insider shares sold totaling 4,408 shares.

The top 3 mutual fund holders in AutoWeb Inc. are Vanguard Extended Market Index Fu, DFA US Small Cap Portfolio, and Vanguard Total Stock Market Index. Vanguard Extended Market Index Fu owns 0.15 million shares of the company’s stock, all valued at over $0.21 million. DFA US Small Cap Portfolio sold 12984.0 shares to see its total holdings shrink to 99448.0 shares valued at over $0.14 million and representing 0.76% of the shares outstanding. Vanguard Total Stock Market Index now owns shares totaling to 0.69% of the shares outstanding.

Shares of AutoWeb Inc. (NASDAQ: AUTO) opened at $4.43, down -$0.03 from a prior closing price of $4.46. However, the script later closed the day at $5.37, up 20.40%. The company’s stock has a 5-day price change of 55.65% and 411.43% over the past three months. AUTO shares are trading 117.41% year to date (YTD), with the 12-month market performance up to 111.42% higher. It has a 12-month low price of $0.50 and touched a high of $5.00 over the same period. Currently, 4.01 million shares have been traded, compared to an average intraday trading volume of 744.74K shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by 105.35%, 193.01%, and 206.10% respectively.

Institutional ownership of AutoWeb Inc. (NASDAQ: AUTO) shares accounts for 18.00% of the company’s 13.15M shares outstanding. Mutual fund holders own 4.18%, while other institutional holders and individual stakeholders account for 5.70% and 30.79% respectively.

It has a market capitalization of $76.47M and a beta (3y monthly) value of 2.03. The earnings-per-share (ttm) stands at -$0.79. Price movements for the stock have been influenced by the stock’s volatility, which stands at 27.43% over the week and 19.92% over the month.

Analysts forecast that AutoWeb Inc. (AUTO) will achieve an EPS of -$0.1 for the current quarter, -$0.08 for the next quarter and -$0.22 for 2021. The lowest estimate earnings-per-share for the quarter is -$0.23 while analysts give the company a high EPS estimate of -$0.02. Comparatively, EPS for the current quarter was -$0.13 a year ago. Earnings per share for the fiscal year are expected to increase by 61.70%, and 62.70% over the next financial year. EPS should grow at an annualized rate of 25.00% over the next five years, compared to -42.30% over the past 5-year period.

If you are looking to buy this stock, then you may note that the average analyst recommendation by 4 brokerage firm advisors rate AutoWeb Inc. (AUTO) as a “Strong Buy” at a consensus score of 1.70. Specifically, 4 Wall Street analysts polled rate the stock as a buy, while 0 of the 4 advise that investors “hold,” and 0 rated it as a “Sell.”

Looking at the support for the AUTO, a number of firms have released research notes about the stock. Barrington Research stated their Outperform rating for the stock in a research note on August 27, 2020, with the firm’s price target at $10. Lake Street coverage for the AutoWeb Inc. (AUTO) stock in a research note released on August 20, 2020 offered a Buy rating with a price target of $5. B. Riley FBR was of a view on August 20, 2020 that the stock is Buy, while B. Riley FBR gave the stock Neutral rating on March 30, 2020, issuing a price target of $4.20- $1.15. B. Riley FBR on their part issued Buy rating on March 08, 2019.


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