The stock of Harmonic Inc. (NASDAQ:HLIT) increased by $0.38 on Wednesday to $10.60, up 3.67 percent. The last five days have seen an average of 1,358,225 shares of common stock traded. 24 times new highs were reached in the current year, with a fall of -$2.49. The average number of shares traded over the last 20 days was 1,935,846, while the average volume over the last 50 days totaled 1,802,334.
HLIT stock dropped -8.90% since last month. On 08/09/23, the company’s shares reached a one-month low of $9.96. The stock touched a high of $18.43 on 06/21/23, after rallying from a low of $9.96 in 52 weeks. The price of HLIT stock has declined by -19.12% or -$2.49 this year, reaching a new high 24 times. Still, the stock price is down -42.51% from the 52-week high.
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Insider Transactions
HLIT stock investors should be aware that Harmonic Inc. (HLIT) stock had its last reported insider trading activity 259 days ago on Dec 14. On Dec 14, President and CEO HARSHMAN PATRICK sold 15,179 shares at $14.19 each. This transaction resulted in the insider making $215,388. On Dec 13, HARSHMAN PATRICK sold 69,090 shares at a price of US$13.35. After the transaction, the insider now owns 474,780 shares. SVP & GM, Broadband Business Ben-Natan Nimrod had earlier sold 50,000 shares on Nov 30 for $14.90 a share. The transaction was completed for $745,200.
Valuation Metrics
Harmonic Inc. (HLIT) has a trailing price-to-earnings (P/E) ratio of 56.96. Beta for the stock is 0.89. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 1.88, the price-to-book (PB) ratio of 3.44.
Financial Health
For the three months ended June 29, Harmonic Inc.’s quick ratio was 0.80, while its current ratio was 1.20, indicating its inability to pay off its debt. The company’s long-term debt to equity ratio for the quarter ending June 29 is 0.03, and the total debt to equity ratio is 0.38. As far as profitability goes, gross margin for the trailing twelve months is 52.70% percent. Harmonic Inc.’s EBITDA margin for the year ended June 29 was 9.87%, whereas its operating margin stood at 7.70% for the same period. Based on annual data, it had gross profit of $315.88 million and revenue of $624.96 million.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. HLIT’s return on assets (ROA) during the last 12 months has been 3.10%. There was a 6.40% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was 6.60%.
Earnings Surprise
According to Harmonic Inc.’s quarterly financial report for the quarter that ended June 29. A lower net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $155.94 million, while revenues fell by -0.97% to $157.65 million. It was predicted that Harmonic Inc.’s quarterly earnings would be $0.12, but it ended up being $0.13, beating the consensus by -7.70%. EBITDA was $13.68 million for the quarter. At the end of Harmonic Inc.’s most recent quarter ended June 29, its liabilities totaled 347.55 million, while its total debt was $158.0 million. Equity owned by shareholders amounts to $111.92 million.
Technical Picture
Here’s a quick look at Harmonic Inc.’s (HLIT) price momentum from a technical perspective. As of 29 August, the RSI 9-day stood at 45.30%, suggesting the stock is Neutral, with a 38.65% historical volatility rate.
The stochastic %K and %D were 36.43% and 22.49% respectively, while the average true range (ATR) was 0.40. Based on the 14-day stochastic reading of 70.37%, the RSI (14) reading is 37.98%. On the 9-day MACD Oscillator, the stock is at -0.04, and the 14-day reading is at -0.03.
Analyst Ratings
In its most recent analyst report, Raymond James raised its rating on Harmonic Inc. (NASDAQ: HLIT) to a Strong buy. Prior to this, analysts firm rated the stock as an Outperform. Analysts have assigned Harmonic Inc. (HLIT) an Buy rating. HLIT is a stock that is recommended for selling by 0 brokerage firms, while 0 companies recommend holding. The stock is underweighted by 0 analysts. Among the analysts who rate the stock, 1 rate it overweight and 5 others recommend it as a buy.
What is HLIT’s price target for the next 12 months?
The current consensus forecast for the stock is between $16.00 and $20.00, with a median target price of $18.00. In analyzing these forecasts, the average price target given by analysts for Harmonic Inc. (HLIT) is $18.33.
