SolarWinds (NYSE:SWI) Share Price Crosses Above 200 Day Moving Average – Should You Sell?

Shares of SolarWinds Co. (NYSE:SWI) crossed above its 200-day moving average during trading on Friday . The stock has a 200-day moving average of $12.91 and traded as high as $13.90. SolarWinds shares last traded at $13.80, with a volume of 391,715 shares changing hands.

Analyst Ratings Changes

A number of equities research analysts have issued reports on SWI shares. Wedbush started coverage on shares of SolarWinds in a report on Thursday, December 19th. They set an “outperform” rating and a $20.00 target price on the stock. Robert W. Baird boosted their target price on shares of SolarWinds from $14.00 to $15.00 and gave the company a “neutral” rating in a report on Friday, November 1st. Five investment analysts have rated the stock with a hold rating and one has assigned a buy rating to the company. According to data from MarketBeat.com, SolarWinds has a consensus rating of “Hold” and an average target price of $15.00.

SolarWinds Price Performance

The firm’s 50-day moving average is $13.91 and its 200-day moving average is $12.93. The company has a market capitalization of $2.35 billion, a PE ratio of 62.73 and a beta of 0.94. The company has a quick ratio of 0.71, a current ratio of 0.71 and a debt-to-equity ratio of 0.88.

SolarWinds (NYSE:SWI) last posted its quarterly earnings results on Thursday, October 31st. The software maker reported $0.27 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.25 by $0.02. SolarWinds had a net margin of 4.93% and a return on equity of 7.96%. The business had revenue of $200.03 million during the quarter, compared to analyst estimates of $194.03 million. During the same period in the prior year, the business posted $0.11 earnings per share. The company’s revenue was up 5.5% on a year-over-year basis. Equities analysts predict that SolarWinds Co. will post 0.74 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, insider Jason Bliss sold 135,000 shares of SolarWinds stock in a transaction that occurred on Monday, November 4th. The shares were sold at an average price of $13.02, for a total transaction of $1,757,700.00. Following the completion of the transaction, the insider now directly owns 838,789 shares in the company, valued at approximately $10,921,032.78. This trade represents a 13.86 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director William G. Bock sold 16,000 shares of the firm’s stock in a transaction that occurred on Tuesday, November 5th. The shares were sold at an average price of $13.13, for a total transaction of $210,080.00. Following the sale, the director now directly owns 88,857 shares of the company’s stock, valued at $1,166,692.41. This trade represents a 15.26 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 351,000 shares of company stock worth $4,703,780 over the last three months. Company insiders own 1.95% of the company’s stock.

Institutional Investors Weigh In On SolarWinds

Institutional investors and hedge funds have recently made changes to their positions in the company. Barclays PLC grew its position in SolarWinds by 170.1% in the 3rd quarter. Barclays PLC now owns 94,530 shares of the software maker’s stock worth $1,233,000 after purchasing an additional 59,532 shares during the period. Brandes Investment Partners LP grew its position in shares of SolarWinds by 12.3% during the 2nd quarter. Brandes Investment Partners LP now owns 371,636 shares of the software maker’s stock valued at $4,424,000 after acquiring an additional 40,643 shares during the period. State Street Corp grew its position in shares of SolarWinds by 57.5% during the 3rd quarter. State Street Corp now owns 2,193,026 shares of the software maker’s stock valued at $28,619,000 after acquiring an additional 800,467 shares during the period. Principal Financial Group Inc. purchased a new position in shares of SolarWinds during the 3rd quarter valued at $3,673,000. Finally, 272 Capital LP purchased a new position in shares of SolarWinds during the 2nd quarter valued at $5,032,000. Institutional investors own 93.96% of the company’s stock.

SolarWinds Company Profile

SolarWinds Corporation provides information technology (IT) management software products in the United States and internationally. It provides a suite of network management software that offers real-time visibility into network utilization and bandwidth, as well as the ability to detect, diagnose, and resolve network performance problems; and a suite of infrastructure management products, which monitors and analyzes the performance of applications and their supporting infrastructure, including servers, physical, virtual and cloud infrastructure, storage, and databases.