Gogo (NASDAQ:GOGO) Stock Price Down 6.4% – Here’s Why

Shares of Gogo Inc. (NASDAQ:GOGO) fell 6.4% on Wednesday . The stock traded as low as $4.60 and last traded at $4.6050. 1,213,183 shares changed hands during trading, a decline of 44% from the average session volume of 2,176,169 shares. The stock had previously closed at $4.92.

Analyst Ratings Changes

A number of equities research analysts have recently commented on the stock. William Blair cut shares of Gogo from an “outperform” rating to a “market perform” rating in a research note on Tuesday, December 9th. Weiss Ratings reissued a “sell (d)” rating on shares of Gogo in a report on Monday, December 29th. Two research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the company currently has an average rating of “Hold” and an average target price of $14.83.

Gogo Price Performance

The company has a quick ratio of 1.40, a current ratio of 1.74 and a debt-to-equity ratio of 7.79. The company has a market capitalization of $701.37 million, a price-to-earnings ratio of -104.80 and a beta of 0.96. The stock’s 50-day simple moving average is $6.12 and its two-hundred day simple moving average is $9.90.

Gogo (NASDAQ:GOGO) last announced its earnings results on Thursday, November 6th. The technology company reported ($0.01) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.11 by ($0.12). The company had revenue of $223.59 million during the quarter, compared to analyst estimates of $222.23 million. Gogo had a negative net margin of 0.65% and a positive return on equity of 71.74%. The firm’s revenue for the quarter was up 122.4% compared to the same quarter last year. During the same quarter last year, the business earned $0.08 EPS. Equities research analysts predict that Gogo Inc. will post 0.41 earnings per share for the current year.

Insider Buying and Selling

In other news, insider Oakleigh Thorne purchased 170,000 shares of the stock in a transaction dated Friday, December 12th. The shares were purchased at an average cost of $5.34 per share, with a total value of $907,800.00. Following the completion of the purchase, the insider directly owned 954,098 shares of the company’s stock, valued at approximately $5,094,883.32. The trade was a 21.68% increase in their position. The transaction was disclosed in a document filed with the SEC, which is available through this link. Company insiders own 25.78% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of the business. William Blair Investment Management LLC grew its holdings in shares of Gogo by 124.8% in the second quarter. William Blair Investment Management LLC now owns 5,673,833 shares of the technology company’s stock valued at $83,292,000 after purchasing an additional 3,149,585 shares in the last quarter. Two Sigma Investments LP grew its stake in shares of Gogo by 512.6% in the third quarter. Two Sigma Investments LP now owns 1,218,005 shares of the technology company’s stock worth $10,463,000 after acquiring an additional 1,019,195 shares in the last quarter. Qube Research & Technologies Ltd purchased a new stake in shares of Gogo during the third quarter worth $6,760,000. LB Partners LLC raised its stake in shares of Gogo by 30.0% in the third quarter. LB Partners LLC now owns 3,228,979 shares of the technology company’s stock valued at $27,737,000 after acquiring an additional 745,000 shares in the last quarter. Finally, Bank of America Corp DE raised its stake in shares of Gogo by 152.6% in the third quarter. Bank of America Corp DE now owns 1,210,907 shares of the technology company’s stock valued at $10,402,000 after acquiring an additional 731,603 shares in the last quarter. 69.60% of the stock is owned by hedge funds and other institutional investors.

Gogo Company Profile

Gogo Inc is a leading provider of in-flight connectivity and entertainment solutions for commercial and business aviation. The company specializes in delivering broadband internet, voice and text services, and streaming entertainment to passengers at 35,000 feet. Gogo’s offerings include both air-to-ground (ATG) networks and satellite-based connectivity, enabling reliable in-flight internet access across a range of aircraft types.

Gogo’s ATG network spans the United States and portions of Canada, using ground towers to transmit data signals directly to equipped aircraft.