Assessing Whether Zuora Inc (NYSE: ZUO) Is Over- Or Undervalued

Zuora Inc (ZUO) concluded trading on Wednesday at a closing price of $9.46, with 9.98 million shares of worth about $94.45 million changed hands on the day. Half year performance of the stock remained positive as price took a surge of 16.93% during that period and on April 17, 2024 the price saw a gain of about 11.69%. Currently the company’s common shares owned by public are about 137.79M shares, out of which, 135.36M shares are available for trading.

Stock saw a price change of 12.89% in past 5 days and over the past one month there was a price change of 4.30%. Year-to-date (YTD), ZUO shares are showing a performance of 0.64% which increased to 7.62% when we look at its performance for past 12 months. Over the period of past 52 weeks, stock dropped to lowest price of $7.05 but also hit the highest price of $12.12 during that period. The average intraday trading volume for Zuora Inc shares is 1.38 million. The stock is currently trading 8.61% above its 20-day simple moving average (SMA20), while that difference is up 9.49% for SMA50 and it goes to 5.94% higher than SMA200.

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Zuora Inc (NYSE: ZUO) currently have 137.79M outstanding shares and institutions hold larger chunk of about 74.15% of that.

The stock has a current market capitalization of $1.38B and its 3Y-monthly beta is at 1.89. It has posted earnings per share of -$0.49 in the same period. It has Quick Ratio of 2.37 while making debt-to-equity ratio of 3.02. 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 7.19% while standing at 4.09% over the month.

Analysts are in expectations that Zuora Inc (ZUO) stock would likely to be making an EPS of $ZTO Express (Cayman) Inc. in the current quarter, while forecast for next quarter EPS is $19.31 and it is $Stocks for next year. For the current quarter EPS, analysts have given the company a lowest target $Fangdd Network Group Ltd. which is $ProShares UltraShort Euro 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 $ZUORA INC ZUORA ORD SHS CLASS A in the same quarter a year ago. Stock’s fiscal year EPS is expected to rise by 21.72% while it is estimated to increase by 29.46% in next year.

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 Goldman on January 23, 2024 offering a Buy rating for the stock and assigned a target price range of between $10 and $12 to it. Coverage by Robert W. Baird stated Zuora Inc (ZUO) stock as a Neutral in their note to investors on July 13, 2023, suggesting a price target of $12 for the stock. On January 31, 2023, Lake Street Initiated their recommendations, while on October 21, 2022, Goldman Initiated their ratings for the stock with a price target of $9. Stock get a Buy rating from Needham on October 11, 2021.

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