Compass Point has recently initiated AvidXchange Holdings Inc (AVDX) stock to Neutral rating, as announced on September 4, 2024, according to Finviz. Earlier, on August 20, 2024, JP Morgan had reduced the stock from a Overweight to Neutral, setting a price target of $9 for AVDX stock. UBS also reduced Neutral rating with a price target of $10. Additionally, Goldman reduced Sell rating on April 15, 2024, with a target price of $11.50. Keefe Bruyette analysts, in their report published on April 9, 2024, also initiated Mkt Perform rating for AvidXchange Holdings Inc’s stock. Analyst ratings are significant because they provide insights into stock performance expectations, influencing investor decisions and market sentiment.
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AvidXchange Holdings Inc (AVDX) Stock Trading Recap
On Tuesday, AvidXchange Holdings Inc (AVDX) stock saw a decline, ending the day at $7.88 which represents a decrease of $-0.23 or -2.84% from the prior close of $8.11. The stock opened at $8.11 and touched a low of $7.79 during the day, reaching a high of $8.11. The volume of shares traded was 1.66 million falling short of the average volume of 2.52 million.
AVDX Stock Performance and Moving Averages
In recent trading, AvidXchange Holdings Inc (AVDX) stock price has shown some volatility, fluctuating -4.02% over the last five trades and -2.35% over the past 30 trades. This represents a notable shift from earlier in the year. Over the last six months, the stock has risen by -36.04%, and it has plunged by -35.20% in the previous three months. Currently, AVDX is trading at -0.49%, -8.44%, and -28.36% relative to its 20-Day, 50-Day, and 200-Day Simple Moving Averages, respectively.
As of the latest trading close, AVDX, a Technology sector stock, is trading -41.89% below its 52-week high but remains 14.53% above its 52-week low. The Average True Range (ATR) (14 days) of 0.26 highlights the stock’s average volatility, providing insight into how much the price typically fluctuates. This measure is crucial for understanding potential price swings and assessing overall market risk.
AvidXchange Holdings Inc’s Profitability and Valuation Ratios
AvidXchange Holdings Inc’s profitability metrics reveal strong financial health. The company currently boasts an operating margin of -4.61% and a profit margin of -3.18%, with a gross margin of -36.04%. The profit margin, also known as the revenue ratio or gross profit ratio, measures how efficiently a company converts sales into net income; higher margins indicate greater profitability.
In terms of valuation, AvidXchange Holdings Inc’s market capitalization stands at $1.64 billion. Market cap represents the total value of all outstanding shares and is a key indicator of a company’s market value. The forward P/E ratio, which uses projected earnings for the next financial year, is 23.89. Additionally, the Price-to-Sales Ratio is 3.96, reflecting the market’s valuation of the company’s sales, while the Price-to-Book Ratio is 2.39, comparing the market value to the company’s book value.
Understanding Insider Trading
Investors often prefer to invest in shares held by company insiders, as management is typically more aligned with the company’s success and shareholder interests. Currently, insiders own just 23.12% of AvidXchange Holdings Inc (AVDX)’s shares, while financial institutions hold 75.77%.
Notable insider trades include Wilhite Joel, See Remarks at AvidXchange Holdings Inc (AVDX), who sold 19358 shares on Aug 30 ’24, at $8.15 each, totaling $0.16 million. On Aug 27 ’24, Wilhite Joel, See Remarks, sold 18028 shares for $7.98 each, amounting to $0.14 million. Additionally, on Aug 27 ’24, Praeger Michael sold 37225 shares at $7.98 each, generating $0.30 million.
