Mitel Networks (MITL) Raised to Buy at Zacks Investment Research

Zacks Investment Research upgraded shares of Mitel Networks (NASDAQ:MITL) (TSE:MNW) from a hold rating to a buy rating in a report released on Tuesday. They currently have $12.00 price objective on the communications equipment provider’s stock.

According to Zacks, “Mitel Networks is a provider of integrated communications solutions focused on the SME market. Its portfolio of IP-based communications solutions consists of IP telephony platforms, unified communications and collaboration applications and managed and network services. By integrating voice, video and data communications with business applications, Mitel enables businesses to improve their performance. Mitel involves in the market evolution to unified communications and collaboration, enabling customers to move beyond basic fixed telephony and disparate communications tools toward integrated multi-media communications and collaboration between users, wherever they may be located. Mitel’s U.S. headquarters are in Phoenix, Arizona. Global headquarters are in Ottawa, Canada, with offices, partners, and resellers worldwide. “

A number of other analysts have also recently weighed in on the stock. BidaskClub upgraded shares of Mitel Networks from a hold rating to a buy rating in a research note on Monday. ValuEngine upgraded shares of Mitel Networks from a buy rating to a strong-buy rating in a research note on Tuesday, October 2nd. Four research analysts have rated the stock with a hold rating, two have assigned a buy rating and one has assigned a strong buy rating to the stock. Mitel Networks has a consensus rating of Buy and an average target price of $12.79.

Shares of Mitel Networks stock traded up $0.01 on Tuesday, reaching $11.03. The stock had a trading volume of 294,730 shares, compared to its average volume of 896,042. The company has a current ratio of 1.05, a quick ratio of 0.87 and a debt-to-equity ratio of 1.31. Mitel Networks has a fifty-two week low of $7.13 and a fifty-two week high of $11.31. The stock has a market capitalization of $1.36 billion, a price-to-earnings ratio of -27.58 and a beta of 2.17.

Mitel Networks (NASDAQ:MITL) (TSE:MNW) last issued its quarterly earnings data on Wednesday, August 1st. The communications equipment provider reported $0.29 earnings per share for the quarter, topping the Zacks’ consensus estimate of $0.24 by $0.05. Mitel Networks had a negative net margin of 2.76% and a negative return on equity of 9.58%. The business had revenue of $324.70 million during the quarter. As a group, research analysts predict that Mitel Networks will post -0.26 earnings per share for the current year.

In related news, Director Peter Charbonneau sold 4,668 shares of the business’s stock in a transaction on Thursday, August 30th. The shares were sold at an average price of $10.98, for a total transaction of $51,254.64. Following the transaction, the director now owns 59,969 shares of the company’s stock, valued at $658,459.62. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Benjamin Ball sold 21,250 shares of the business’s stock in a transaction on Thursday, September 6th. The stock was sold at an average price of $10.97, for a total transaction of $233,112.50. Following the transaction, the director now directly owns 51,125 shares in the company, valued at approximately $560,841.25. The disclosure for this sale can be found here. Insiders have sold 43,019 shares of company stock worth $472,596 in the last ninety days. 5.60% of the stock is currently owned by insiders.

Hedge funds have recently made changes to their positions in the stock. Xact Kapitalforvaltning AB bought a new position in Mitel Networks during the second quarter worth $259,000. Sphinx Trading LP bought a new stake in Mitel Networks in the 2nd quarter valued at $274,000. Suntrust Banks Inc. bought a new stake in Mitel Networks in the 1st quarter valued at $235,000. Cubist Systematic Strategies LLC increased its holdings in Mitel Networks by 44.8% in the 2nd quarter. Cubist Systematic Strategies LLC now owns 28,702 shares of the communications equipment provider’s stock valued at $314,000 after buying an additional 8,883 shares during the period. Finally, Toronto Dominion Bank increased its holdings in Mitel Networks by 17.6% in the 2nd quarter. Toronto Dominion Bank now owns 37,319 shares of the communications equipment provider’s stock valued at $409,000 after buying an additional 5,598 shares during the period. 80.65% of the stock is currently owned by institutional investors and hedge funds.

Mitel Networks Company Profile

Mitel Networks Corporation provides cloud and on-site business communications and collaboration software, services, and solutions. It operates in two segments, Enterprise and Cloud. The Enterprise segment sells and supports products and services for premise-based customers, including its premise-based IP and TDM telephony platforms; desktop devices, and unified communications and collaborations (UCC); and contact center applications that are deployed on the customer's premise under the MiVoice brand.

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