Avid Technology Inc. (NASDAQ:AVID) finished Wednesday with a subtraction of -$0.39 to close at $26.55, a downside of -1.45 percent. An average of 1,248,600 shares of common stock have been traded in the last five days. There was a gain of $3.47 in the past week, and it reached a new high 17 times over the past 12 months. The last 20 days have seen an average of 631,140 shares traded, while the 50-day average volume stands at 524,548.
AVID stock has decreased by -3.24% in the last month. The company shares reached their 1-month lowest point of $22.55 on 08/03/23. With the stock rallying to its 52-week high on 04/11/23, shares of the company touched a low of $19.78 and a high of $33.41 in 52 weeks. It has reached a new high 15 times so far this year and lost -0.15% or -$0.04 in price. In spite of this, the price is down -20.53% from the 52-week high.
Insider Transactions
AVID stock investors should be aware that Avid Technology Inc. (AVID) stock had its last reported insider trading activity 157 days ago on Mar 06. In this transaction, the insider spent $45,735. SVP & GM Video & Media, CLAMAN TIMOTHY, disposed of 4,462 shares at a price of $27.30 on Dec 12. The insider now owns more than $121,813 worth of shares. Prior to that, Chief Revenue Officer & SVP CORDINER TOM J. A. went on to Sale 29,978 shares at $27.90 each on Nov 22. An amount of $836,383 was transacted.
Valuation Metrics
Avid Technology Inc. (AVID) has a trailing price-to-earnings (P/E) ratio of 26.66. The stock’s beta is 1.16. Other valuation ratios to consider include the trailing price-to-sales (P/S) ratio at 2.81, and the price-to-cash flow ratio at 53.91.
Financial Health
The quick ratio of Avid Technology Inc. for the three months ended March 30 was 0.70, and the current ratio was 0.90, indicating that the company is not able to meet its debt obligations. Avid Technology Inc.’s EBITDA margin for the year ending March 30 is 15.35%, while its operating margin for the same period stands at 10.60%. Its gross profit as reported stood at $274.44 million compared to revenue of $417.41 million.
For investors, determining the potential profitability of the investment also depends on the performance of the company’s management. In the past 12 months, Avid Technology Inc.’s return on assets was 16.90%.
Earnings Surprise
For the three-month period that ended March 30, Avid Technology Inc. had $170.69 million in total debt. In the quarter under review, the net income was down than the previous quarter. The company posted a net income of -$0.38 million in the quarter, while revenues of $25.26 million were grew 2886.84%. The analyst consensus anticipated Avid Technology Inc.’s latest quarter earnings to come in at $0.25 per share, but it turned out to be $0.15, a -40.00% surprise. For the quarter, EBITDA amounted to $5.79 million. Shareholders own equity worth $43.91 million.
Technical Picture
From a technical analysis perspective, let’s take a brief look at Avid Technology Inc. (AVID) price momentum. RSI 9-day as of the close on 09 August was 59.46%, suggesting the stock is Neutral, with historical volatility in this time frame at 88.15%.
As of today, AVID’s price is $27.05 +15.03% or $3.47 from its 5-day moving average. AVID is currently trading -5.75% lower than its 20-day SMA and -9.35% lower than its 100-day SMA. However, the stock’s current price level is +10.35% above the SMA50 and +2.51% above the SMA200.
The stochastic %K and %D were 72.30% and 80.39%, respectively, and the average true range (ATR) was 1.49. With the 14-day stochastic at 56.98% and the average true range at 1.31, the RSI (14) stands at 57.28%. The stock has reached 1.39 on the 9-day MACD Oscillator while the 14-day reading was at 1.86.
Analyst Ratings
Truist launched coverage on Avid Technology Inc. (NASDAQ: AVID) in its analyst report released on March 06, 2023. The firm assigned the stock a Buy rating.
