New Relic Inc. (NYSE:NEWR) saw an upside of 0.21% to close Friday at $84.31 after adding $0.18 on the day. The 5-day average trading volume is 961,560 shares of the company’s common stock. It has gained $84.47 in the past week and touched a new high 1 time within the past 5 days. An average of 2,688,595 shares of the company has been traded in the last 20 days, and the 50-day average volume stands at 1,428,586.
NEWR’s 1-month performance is 18.26% or $11.77 on its low of $70.07 reached on 07/24/23. The company’s shares have touched a 52-week low of $50.24 and high of $86.00, with the stock’s rally to the 52-week high happening on 05/17/23. YTD, NEWR has achieved 49.35% or $27.86 and has reached a new high 12 times. However, the current price is down -1.97% from the 52-week high price.
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Insider Transactions
NEWR stock investors last saw insider trading activity on Aug 16.Staples William (CEO) most recently sold 8,658 shares at $84.04 per share on Aug 16. This transaction cost the insider $727,595. Chief Financial Officer, Barter David, sold 4,020 shares at a price of $84.03 on Aug 16. Then, on Aug 16, Chief Revenue Officer Dodds Mark sold 2,920 shares at a price of $84.04 per share. This transaction amounted to $245,386.
Valuation Metrics
NEWR stock has a beta of 0.86. Moving on to other valuation ratios, the trailing price-to-sales (P/S) ratio is 6.21 while the price-to-book (PB) in the most recent quarter is 16.63, with the price to cash flow ratio at 85.72.
New Relic Inc.’s quick ratio for the period ended June 29 was 1.40, with the current ratio over the same period at 1.40. In terms of profitability, the gross margin trailing 12 months is 75.20%. The trailing 12-month EBITDA margin is -8.53% while for the period ending June 29, New Relic Inc.’s operating margin was -17.10%. The firm’s gross profit as reported stood at $679.24 million against revenue of $925.63 million.
Earnings Surprise
For the quarterly period ending June 29 this year, Net income and sales went up compared to those figures reported in the previous quarter. Net income shrunk -34.22% to -$37.43 million, while revenue of -$57.23 million was -52.9% off the previous quarter. Analysts expected NEWR to announce $0.31 per share in earnings in its latest quarter, but it posted $0.43, representing a 38.70% surprise. EBITDA for the quarter stood at more than -$20.87 million. NEWR stock balance sheet for the quarter ending June 29 shows that total liabilities totaled 538.4 million, with total debt at $44.84 million. Shareholders hold equity totaling $70.22 million.
Let’s look briefly at New Relic Inc. (NEWR) price momentum from a technical analysis perspective. The 9-day relative strength index as at close on 18 August was 79.65% to suggest the stock is trending Overbought, with historical volatility in this time period at 2.85%.
The stock’s 5-day moving average is $84.09, reflecting a +0.56% or $0.47 change from its current price. NEWR is currently trading +18.38% above its 20-day SMA, +20.91% above its 100-day SMA. However, the stock’s current price level is away from the SMA50 by +23.60% and SMA200 by+42.32%.
Stochastic %K and %D was 67.63% and 79.94% and the average true range (ATR) pointed at 0.89. The RSI (14) points at 75.41%, while the 14-day stochastic is at 63.11% with the period’s ATR at 1.19. The stock’s 9-day MACD Oscillator is pointing at 0.14 and 0.09 on the 14-day charts.
Analyst Ratings
In the most recent analyst report for New Relic Inc. (NYSE: NEWR), RBC Capital Mkts upgraded it to an Outperform rating. They previously had a Sector perform rating on the stock. Analysts offering their rating for NEWR stock have a consensus rating for the stock as Hold. Currently, 0 brokerage advisors rate NEWR as a “sell,”, while 15 advise that investors “Hold.” 0 analysts have rated the stock as underweight. 0 rates the stock as overweight while 2 have offered a “buy” rating.
What is NEWR’s price target for the next 12 months?
Analysts have a consensus price target ranging from a low of $75.00 and a high of $95.00, with their median price target at $87.00. Looking at these predictions, the average price target given by analysts is for New Relic Inc. (NEWR) stock is $87.09.
