Glu Mobile Inc. (NASDAQ:GLUU) has been downgraded by ROTH Capital on October 08 which now rates the stock as Neutral compared with Buy rating suggested in the past. Analysts at Piper Jaffray, started covering the stock on June 15 with a Overweight rating. Brokerage firm The Benchmark Company, looks cautious as they stick to prior recommendation of Buy, in a call on May 02. However, they did change the target price from $6 to $7.
Glu Mobile Inc. (GLUU) hit an intraday high Tuesday at $7.7. The shares finished at $7.21, after trading as low as $7.17 earlier in the session. It dropped -3.87% in recent trade and currently has a stock-market value of $1.02B. Trading activity significantly improved as the volume at ready counter increased to 3,566,113 shares versus 2,660,020 in average daily trading volume over the past 20 days. So far this year, the volume has averaged about 2,309,152 shares. The stock is now 138.74% above against its bear-market low of $3.02 on February 09, 2018. It has retreated -16.78% since it’s 52-week high of $8.42 reached in November. Now the market price is up 84.4% on the year and up 98.08% YTD.
GLUU’s 50 day simple moving average (SMA 50) price is $6.94 and its 200-day simple moving average (SMA 200) price is $5.89. The company’s stock currently has a total float of 113.12M shares. Its weekly volatility is hovering around 5.14% and felt 6.25% volatility in price over a month. On the upside, the share price will test short term resistance at around $7.55. On a downside, the stock is likely to find some support, which begins at $7.02. The failure to get near-term support could push it to $6.83.
Separately, it has been reported that multiple insider activity took place at Glu Mobile Inc. (GLUU). Chief Revenue Officer Akhavan Chris sold 39,903 shares in transaction occurred on 2018/11/07. After making this transaction, the Chief Revenue Officer owns a direct stake of 322,815 shares. On 2018/11/05 De Masi Niccolo, Executive Chairman at GLUU, dumped 89,310 shares at an average price of $7.01 per share. The selling total is valued at $5,527,683.
Director, Mather Ann had divested 100,000 shares for $53,666 through a trade on 2018/10/08. Following this activity, the insider holds 631,000 shares worth $386,932 as of recent close. Wall Street’s most bullish Glu Mobile Inc. (NASDAQ:GLUU) analysts are predicting the share price to blow past $8 per share during the next 12 months. The current median share price forecast by them is $8, suggesting that the stock could increase 10.96% in that time frame. The average price target of $7.75 calls for a nearly 7.49% increase in the stock price.
Moreover, it trades for 20.9 times the next 12 months of expected earnings. Also, it is trading at rather expensive levels at just over 5.96x price/book and 2.91x price/sales. Compared to others, Glu Mobile Inc. is in a different league with regards to profitability, having net margins of -14.7%. To put some perspective around this, the industry’s average net margin is 11.7%. GLUU’s ROE is -31.5%, which is also considerably worse than the industry’s ROE of 15.39%. It’s also very liquid in the near term, with a current ratio of 1.3. The stock has a debt/capital of 0.
Shares of Glu Mobile Inc. (GLUU) have gained 8.1% since the company’s last earnings report. Over the past 12 fiscal quarters, Glu Mobile Inc. (NASDAQ:GLUU) has topped consensus earnings estimates in 4 quarters (33%), missed earnings in 8 quarters (66%), whereas at 0 occasion EPS met analyst expectations. GLUU last reported earnings on November 06, 2018 when it released Sep-18 results that receded expectations. The company raked in $0.05 per share, -99.8% change on the same period last year. That was worse than consensus for $0.07. Revenue for the recent quarter stood at $100.7 million, up 18% on last year and above the $96.14 million predicted by analysts. For this quarter, Wall Street analysts forecast revenue in a range of $95 million to $97.59 million, which should be compared with $85.35 million generated last year. EPS is seen in a range of $0.06 to $0.07, against the $0.02 reported a year ago.