Netskope (NASDAQ:NTSK) Shares Down 6.3% Following Analyst Downgrade

Netskope Inc. (NASDAQ:NTSK) dropped 6.3% on Wednesday after Mizuho downgraded the stock from a strong-buy rating to a hold rating. The stock traded as low as $14.55 and last traded at $14.4040. Approximately 229,726 shares changed hands during trading, a decline of 95% from the average daily volume of 4,624,096 shares. The stock had previously closed at $15.37.

NTSK has been the topic of a number of other reports. Royal Bank Of Canada boosted their price target on Netskope from $13.00 to $18.00 and gave the stock an “outperform” rating in a report on Friday, August 14th. KeyCorp increased their price objective on shares of Netskope from $14.00 to $16.00 and gave the company an “overweight” rating in a report on Thursday, July 16th. BMO Capital Markets reduced their price objective on shares of Netskope from $14.00 to $13.00 and set an “outperform” rating on the stock in a research report on Thursday, June 4th. Piper Sandler lowered their target price on shares of Netskope from $21.00 to $18.00 and set an “overweight” rating on the stock in a report on Thursday, June 4th. Finally, Weiss Ratings restated a “sell (e+)” rating on shares of Netskope in a research report on Wednesday, July 8th. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus target price of $17.79.

Insider Transactions at Netskope

In other news, Director William J.G. Griffith purchased 610,291 shares of the business’s stock in a transaction on Wednesday, July 8th. The stock was acquired at an average price of $11.82 per share, for a total transaction of $7,213,639.62. Following the acquisition, the director directly owned 610,291 shares of the company’s stock, valued at $7,213,639.62. This represents a ∞ increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, major shareholder Lightspeed Venture Partners Se sold 1,313,827 shares of Netskope stock in a transaction that occurred on Friday, June 12th. The stock was sold at an average price of $9.19, for a total value of $12,074,070.13. Following the completion of the sale, the insider directly owned 336,173 shares in the company, valued at approximately $3,089,429.87. The trade was a 79.63% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders purchased 1,833,380 shares of company stock valued at $21,960,909 and sold 3,529,696 shares valued at $33,002,807. Insiders own 25.52% of the company’s stock.

Hedge Funds Weigh In On Netskope

Institutional investors have recently bought and sold shares of the business. Envestnet Asset Management Inc. purchased a new position in shares of Netskope in the 3rd quarter worth $249,000. Legal & General Group Plc purchased a new stake in shares of Netskope during the 3rd quarter valued at about $1,677,000. Franklin Resources Inc. purchased a new stake in shares of Netskope during the 3rd quarter valued at about $17,460,000. Invesco Ltd. bought a new position in shares of Netskope in the 3rd quarter valued at about $10,327,000. Finally, Squarepoint Ops LLC bought a new position in shares of Netskope in the 3rd quarter valued at about $14,774,000.

Netskope Trading Down 2.2%

The company has a market cap of $5.81 billion and a PE ratio of -71.90. The company has a debt-to-equity ratio of 4.06, a current ratio of 2.17 and a quick ratio of 2.16. The company has a 50-day moving average of $12.32 and a 200 day moving average of $11.15.

Netskope (NASDAQ:NTSK) last issued its quarterly earnings data on Wednesday, June 3rd. The company reported ($0.06) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.07) by $0.01. The company had revenue of $201.59 million for the quarter. The company’s quarterly revenue was up 27.8% compared to the same quarter last year. Netskope has set its Q2 2027 guidance at -0.070–0.060 EPS and its FY 2027 guidance at -0.180–0.180 EPS. Analysts predict that Netskope Inc. will post -0.88 earnings per share for the current year.

About Netskope

We are redefining security and networking for the era of cloud and AI. The cloud and AI have completely revolutionized work. We are more dispersed, more productive, and more automated than ever before, and the rate of change is only accelerating. Not since the internet has there been such a transformative tectonic shift. But, with it has come collateral damage-traditional security and networking are now broken. We founded Netskope to address this revolution. We built Netskope One, our unified, cloud-native platform from the ground up to solve the challenge of securing and accelerating the digital interactions of enterprises in this new era.