Zuora (NYSE:ZUO) Upgraded to Hold by Zacks Investment Research

Zuora (NYSE:ZUO) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a research report issued to clients and investors on Sunday, Zacks.com reports.

According to Zacks, “Zuora, Inc. provides cloud-based software on a subscription basis. The company’s product portfolio includes Zuora Billing, Zuora RevPro, Zuora CPQ, Zuora Insights and Zuora Collect. Its platform offers Zuora Central. Zuora, Inc. is headquartered in San Mateo, California. “

A number of other research firms also recently commented on ZUO. Needham & Company LLC set a $18.00 price objective on shares of Zuora and gave the stock a “buy” rating in a research note on Thursday, August 29th. ValuEngine upgraded shares of Zuora from a “hold” rating to a “buy” rating in a research note on Saturday, July 6th. One research analyst has rated the stock with a sell rating, two have issued a hold rating and four have given a buy rating to the stock. The company currently has a consensus rating of “Hold” and a consensus price target of $20.17.

Shares of ZUO traded up $0.28 during trading hours on Friday, reaching $14.53. The stock had a trading volume of 562,954 shares, compared to its average volume of 875,850. The company has a quick ratio of 1.92, a current ratio of 1.92 and a debt-to-equity ratio of 0.05. Zuora has a 52 week low of $13.04 and a 52 week high of $24.65. The firm has a 50-day moving average of $14.78 and a 200 day moving average of $16.36. The company has a market cap of $1.60 billion, a P/E ratio of -17.72 and a beta of 1.89.

Zuora (NYSE:ZUO) last announced its earnings results on Wednesday, August 28th. The company reported ($0.19) earnings per share for the quarter, missing the Zacks’ consensus estimate of ($0.18) by ($0.01). The company had revenue of $69.70 million during the quarter, compared to analyst estimates of $66.87 million. Zuora had a negative return on equity of 47.64% and a negative net margin of 30.81%. Zuora’s revenue for the quarter was up 20.6% on a year-over-year basis. During the same period in the previous year, the company posted ($0.13) earnings per share. As a group, equities analysts expect that Zuora will post -0.72 earnings per share for the current year.

In related news, Director Jason Pressman sold 11,008 shares of the firm’s stock in a transaction dated Monday, September 16th. The shares were sold at an average price of $15.08, for a total value of $166,000.64. Also, Director Michelangelo Volpi sold 38,377 shares of the firm’s stock in a transaction dated Wednesday, September 11th. The shares were sold at an average price of $15.82, for a total transaction of $607,124.14. Corporate insiders own 26.02% of the company’s stock.

Large investors have recently modified their holdings of the stock. Washington Capital Management Inc. acquired a new stake in Zuora in the 2nd quarter valued at about $230,000. BlackRock Inc. lifted its stake in Zuora by 312.8% in the 2nd quarter. BlackRock Inc. now owns 5,839,001 shares of the company’s stock valued at $89,455,000 after purchasing an additional 4,424,576 shares during the last quarter. JPMorgan Chase & Co. lifted its stake in Zuora by 18.4% in the 2nd quarter. JPMorgan Chase & Co. now owns 150,303 shares of the company’s stock valued at $2,259,000 after purchasing an additional 23,350 shares during the last quarter. Cubist Systematic Strategies LLC lifted its stake in Zuora by 487.1% in the 2nd quarter. Cubist Systematic Strategies LLC now owns 192,402 shares of the company’s stock valued at $2,948,000 after purchasing an additional 159,632 shares during the last quarter. Finally, Vanguard Group Inc. lifted its stake in Zuora by 22.2% in the 2nd quarter. Vanguard Group Inc. now owns 5,661,513 shares of the company’s stock valued at $86,735,000 after purchasing an additional 1,027,054 shares during the last quarter. Institutional investors and hedge funds own 51.47% of the company’s stock.

Zuora Company Profile

Zuora, Inc provides cloud-based software on a subscription basis that enables companies in various industries to launch, manage, and transform into a subscription business. The company offers Zuora Central platform that acts as an intelligent subscription management hub that automates the subscription order-to-cash process, including quoting, billing, collections, analytics, and revenue recognition.

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Analyst Recommendations for Zuora (NYSE:ZUO)

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