In a report released yesterday, Timothy Horan from Oppenheimer maintained a Buy rating on Vonage Holdings (VG), with a price target of $17. The company’s shares closed yesterday at $11.45.
Horan said:
“Business services now makes up 59% of revenue, which should reach 75% in 2020E, helped by solid growth and NewVoiceMedia (NVM). NVM is a premier cloud contact center that expands VG’s business communications suite, adds valuable cross- selling opportunities and go-to-market relationships with CRM service providers. We corrected our 3Q18E adj. EBITDA, which failed to normalize for acquisition costs. We maintain our $17 PT, based on our SoTP model and consider today’s drop a buying opportunity. However, we are lowering our 2019-20 EBITDA estimates as the company transitions away from consumer (higher-margin business) and invests for growth in business.”
According to TipRanks.com, Horan is a top 25 analyst with an average return of 16.1% and a 72.8% success rate. Horan covers the Technology sector, focusing on stocks such as Interxion Holding NV, Boingo Wireless Inc, and Zayo Group Holdings.
The word on The Street in general, suggests a Strong Buy analyst consensus rating for Vonage Holdings with a $18.33 average price target, representing a 60.1% upside. In a report issued on November 5, Robert W. Baird also reiterated a Buy rating on the stock with a $15 price target.
.
See today’s analyst top recommended stocks >>
Based on Vonage Holdings’ latest earnings release for the quarter ending September 30, the company reported a quarterly net profit of $9.59 million. In comparison, last year the company had a net profit of $10.6 million.
Based on the recent corporate insider activity of 104 insiders, corporate insider sentiment is negative on the stock. Most recently, in August 2018, Stephen Fisher, a Director at VG sold 163,951 shares for a total of $2,184,909.
TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.
Vonage Holdings Corp. engages in the provision of communication services through cloud-connected devices. It operates through the Business and Consumer segments.
