AvidXchange (NASDAQ:AVDX) Sets New 1-Year Low After Earnings Miss

AvidXchange Holdings, Inc. (NASDAQ:AVDX)’s share price hit a new 52-week low during mid-day trading on Thursday after the company announced weaker than expected quarterly earnings. The stock traded as low as $6.89 and last traded at $7.33, with a volume of 210346 shares. The stock had previously closed at $7.26.

The company reported $0.03 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.06 by ($0.03). AvidXchange had a positive return on equity of 0.74% and a negative net margin of 0.23%. The company had revenue of $115.44 million for the quarter, compared to the consensus estimate of $114.98 million.

Wall Street Analyst Weigh In

A number of research firms have recently commented on AVDX. Piper Sandler upped their price objective on shares of AvidXchange from $9.00 to $10.00 and gave the company a “neutral” rating in a research note on Thursday, November 7th. JPMorgan Chase & Co. decreased their price target on AvidXchange from $10.00 to $9.00 and set a “neutral” rating for the company in a report on Thursday. BTIG Research assumed coverage on AvidXchange in a research report on Wednesday, December 11th. They issued a “buy” rating and a $14.00 price objective for the company. The Goldman Sachs Group cut their target price on AvidXchange from $9.50 to $7.00 and set a “sell” rating on the stock in a research report on Thursday. Finally, Barclays lifted their target price on AvidXchange from $11.00 to $13.00 and gave the stock an “overweight” rating in a report on Monday, November 18th. Two investment analysts have rated the stock with a sell rating, eight have given a hold rating and five have assigned a buy rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus price target of $10.47.

Insider Activity at AvidXchange

In other AvidXchange news, Director Teresa Mackintosh sold 13,316 shares of the firm’s stock in a transaction on Friday, December 6th. The shares were sold at an average price of $11.44, for a total value of $152,335.04. Following the transaction, the director now directly owns 47,388 shares of the company’s stock, valued at approximately $542,118.72. This trade represents a 21.94 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Michael Praeger sold 42,377 shares of the business’s stock in a transaction dated Monday, December 2nd. The stock was sold at an average price of $11.40, for a total transaction of $483,097.80. Following the sale, the chief executive officer now directly owns 10,381,033 shares of the company’s stock, valued at approximately $118,343,776.20. The trade was a 0.41 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders sold 80,693 shares of company stock valued at $916,683. 10.40% of the stock is owned by company insiders.

Institutional Trading of AvidXchange

Institutional investors and hedge funds have recently modified their holdings of the stock. Blue Trust Inc. grew its holdings in AvidXchange by 90.1% during the fourth quarter. Blue Trust Inc. now owns 2,697 shares of the company’s stock worth $28,000 after buying an additional 1,278 shares in the last quarter. Point72 DIFC Ltd purchased a new position in AvidXchange during the 3rd quarter worth $37,000. Allspring Global Investments Holdings LLC bought a new stake in shares of AvidXchange in the 3rd quarter worth $38,000. R Squared Ltd purchased a new stake in shares of AvidXchange in the fourth quarter valued at about $41,000. Finally, Quarry LP lifted its position in shares of AvidXchange by 126.6% during the fourth quarter. Quarry LP now owns 5,518 shares of the company’s stock valued at $57,000 after purchasing an additional 3,083 shares in the last quarter. 80.58% of the stock is owned by hedge funds and other institutional investors.

AvidXchange Trading Up 1.4 %

The company has a debt-to-equity ratio of 0.11, a current ratio of 1.32 and a quick ratio of 1.32. The firm’s fifty day moving average is $10.09 and its two-hundred day moving average is $9.41. The firm has a market capitalization of $1.51 billion, a PE ratio of 461.00 and a beta of 1.22.

AvidXchange Company Profile

AvidXchange Holdings, Inc provides accounts payable (AP) automation software and payment solutions for middle market businesses and their suppliers in North America. The company offers AP automation software, a SaaS-based solution that automates and digitizes capture, review, approval, and payment of invoices for buyers; the AvidPay network that connects two-sided payments with buyers and suppliers; and the AvidXchange Supplier Hub, which provides supplier insights to cash flow, tools for in-network invoices and payments, and early payment feature.