ORBCOMM (NASDAQ:ORBC) Downgraded to “Sell” at Zacks Investment Research

Zacks Investment Research downgraded shares of ORBCOMM (NASDAQ:ORBC) from a hold rating to a sell rating in a research report sent to investors on Wednesday, Zacks.com reports.

According to Zacks, “ORBCOMM INC., is a leading global satellite data communications company, focused on Machine-to-Machine communications. Its customers include General Electric, Caterpillar Inc., Volvo Group and Komatsu Ltd. among other industry leaders. By means of a global network of twenty nine low-earth orbit satellites and accompanying ground infrastructure, ORBCOMM’s low-cost and reliable two-way data communications products and services track, monitor and control mobile and fixed assets in four core markets: commercial transportation; heavy equipment; industrial fixed assets; and marine/homeland security. The company’s products are installed on trucks, containers, marine vessels, locomotives, backhoes, pipelines, oil wells, utility meters, storage tanks and other assets. ORBCOMM is headquartered in Fort Lee, New Jersey and has a Network Control Center in Dulles, Virginia. “

Separately, BidaskClub raised ORBCOMM from a hold rating to a buy rating in a research note on Saturday, July 27th. Two analysts have rated the stock with a sell rating, two have issued a hold rating and four have issued a buy rating to the company’s stock. The company presently has a consensus rating of Hold and an average target price of $9.25.

ORBC stock traded down $0.26 on Wednesday, reaching $5.16. The company had a trading volume of 746,754 shares, compared to its average volume of 1,365,084. ORBCOMM has a 1 year low of $5.01 and a 1 year high of $11.25. The company has a current ratio of 3.04, a quick ratio of 2.42 and a debt-to-equity ratio of 0.99. The firm’s fifty day moving average price is $7.25. The company has a market capitalization of $432.27 million, a P/E ratio of -15.64 and a beta of 0.99.

ORBCOMM (NASDAQ:ORBC) last posted its earnings results on Wednesday, July 31st. The technology company reported ($0.08) earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of ($0.08). ORBCOMM had a negative return on equity of 8.16% and a negative net margin of 7.71%. The firm had revenue of $67.10 million for the quarter, compared to analyst estimates of $67.40 million. During the same quarter in the prior year, the company earned ($0.09) EPS. ORBCOMM’s revenue was down 5.2% on a year-over-year basis. As a group, equities analysts anticipate that ORBCOMM will post -0.22 EPS for the current year.

A number of hedge funds have recently bought and sold shares of the stock. Formula Growth Ltd. lifted its stake in shares of ORBCOMM by 178.0% during the 1st quarter. Formula Growth Ltd. now owns 586,481 shares of the technology company’s stock worth $3,976,000 after purchasing an additional 375,481 shares during the period. Granite Investment Partners LLC lifted its stake in shares of ORBCOMM by 24.3% during the 1st quarter. Granite Investment Partners LLC now owns 1,632,005 shares of the technology company’s stock worth $11,065,000 after purchasing an additional 319,230 shares during the period. Portsea Asset Management LLP lifted its stake in shares of ORBCOMM by 4.1% during the 1st quarter. Portsea Asset Management LLP now owns 7,560,464 shares of the technology company’s stock worth $51,260,000 after purchasing an additional 296,549 shares during the period. Connors Investor Services Inc. lifted its stake in shares of ORBCOMM by 99.8% during the 1st quarter. Connors Investor Services Inc. now owns 423,436 shares of the technology company’s stock worth $2,871,000 after purchasing an additional 211,478 shares during the period. Finally, FMR LLC lifted its stake in shares of ORBCOMM by 25.0% during the 4th quarter. FMR LLC now owns 1,047,947 shares of the technology company’s stock worth $8,656,000 after purchasing an additional 209,600 shares during the period. 86.90% of the stock is currently owned by hedge funds and other institutional investors.

ORBCOMM Company Profile

ORBCOMM Inc provides Internet of Things solutions in the United States, South America, Japan, Europe, and internationally. The company offers network connectivity, devices, device management, and Web reporting applications that are designed to track, monitor, control, and enhance security for various assets, such as trailers, trucks, rail cars, sea containers, power generators, fluid tanks, marine vessels, diesel or electric powered generators, oil and gas wells, pipeline monitoring equipment, irrigation control systems, and utility meters in transportation and supply chain, heavy equipment, fixed asset monitoring, and maritime industries, as well as for governments.

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