Boingo Wireless Inc. (NASDAQ:WIFI) shares traded lower over the last trading session, losing -0.37% on 07/06/20. The shares fell to a low of $13.32 before closing at $13.53. Intraday shares traded counted 0.28 million, which was 45.8% higher than its 30-day average trading volume of 518.92K. WIFI’s previous close was $13.58 while the outstanding shares total 44.27M. The firm has a beta of 1.15. The stock’s Relative Strength Index (RSI) is 53.14, with weekly volatility at 4.93% and ATR at 0.77. The WIFI stock’s 52-week price range has touched low of $6.66 and a $19.58 high.
Investors have identified the Telecom Services company Boingo Wireless Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $606.41 million, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Boingo Wireless Inc. (WIFI) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For WIFI, the company has in raw cash 145.92 million on their books with 3.56 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 221646000 million total, with 159714000 million as their total liabilities.
WIFI were able to record -3.56 million as free cash flow during the third quarter of the year, this saw their quarterly net cash flow reduce by 105.52 million. In cash movements, the company had a total of 19.03 million as operating cash flow.
Potential earnings growth for Boingo Wireless Inc. (WIFI)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the third quarter of the year, Boingo Wireless Inc. recorded a total of 59.89 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with -11.0% coming in sequential stages and their sales for the third quarter reducing by -6.96%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 42.05 million trying to sell their products during the last quarter, with the result yielding a gross income of 17.84 million. This allows shareholders to hold on to 44.27M with the revenue now reading -0.10 cents per share. This is a figure that is close to analyst’s prediction for their fourth quarter (-0.07 cents a share).
Having a look at the company’s valuation, the company is expected to record -0.23 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on WIFI sounds very interesting.
Is the stock of WIFI attractive?
In related news, Chief Financial Officer, Hovenier Peter sold 423 shares of the company’s stock in a transaction that recorded on Feb 21. The sale was performed at an average price of 15.00, for a total value of 6,345. As the sale deal closes, the Chief Financial Officer, Hovenier Peter now sold 4,577 shares of the company’s stock, valued at 68,655. Also, Chief Technology Officer, Peterson Derek sold 10,715 shares of the company’s stock in a deal that was recorded on Sep 12. The shares were price at an average price of 14.02 per share, with a total market value of 150,224. Following this completion of acquisition, the Chief Executive Officer, Finley Michael now holds 10,000 shares of the company’s stock, valued at 110,000. In the last 6 months, insiders have changed their ownership in shares of company stock by 4.20%.
8 out of 9 analysts covering the stock have rated it a Buy, while 1 have maintained a Hold recommendation on Boingo Wireless Inc.. 0 analysts has assigned a Sell rating on the WIFI stock. The 12-month mean consensus price target for the company’s shares has been set at $20.06.