Alkami Technology (NASDAQ:ALKT) Cut to “Underweight” at JPMorgan Chase & Co.

JPMorgan Chase & Co. lowered shares of Alkami Technology (NASDAQ:ALKT) from an overweight rating to an underweight rating in a report issued on Thursday, Marketbeat Ratings reports. The brokerage currently has $14.00 target price on the stock, down from their previous target price of $24.00.

Other research analysts have also recently issued reports about the stock. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Alkami Technology in a research report on Wednesday, September 2nd. Citigroup reissued a “market outperform” rating on shares of Alkami Technology in a research note on Thursday. Finally, Needham & Company LLC lifted their target price on shares of Alkami Technology from $22.00 to $25.00 and gave the company a “buy” rating in a report on Monday, August 24th. Three equities research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of “Hold” and a consensus price target of $22.00.

Alkami Technology Stock Performance

NASDAQ:ALKT opened at $13.80 on Thursday. The company has a market cap of $1.48 billion, a P/E ratio of -32.86 and a beta of 0.61. The firm’s 50 day moving average is $18.92 and its two-hundred day moving average is $17.54. Alkami Technology has a fifty-two week low of $13.69 and a fifty-two week high of $25.96. The company has a quick ratio of 2.13, a current ratio of 2.13 and a debt-to-equity ratio of 0.98.

Alkami Technology (NASDAQ:ALKT) last released its quarterly earnings data on Wednesday, July 29th. The company reported ($0.08) EPS for the quarter, missing analysts’ consensus estimates of $0.15 by ($0.23). The firm had revenue of $129.84 million for the quarter, compared to analyst estimates of $128.70 million. Alkami Technology had a negative return on equity of 7.68% and a negative net margin of 9.21%.The company’s quarterly revenue was up 15.8% on a year-over-year basis. During the same quarter in the previous year, the company earned ($0.13) earnings per share. Analysts expect that Alkami Technology will post 0.15 EPS for the current year.

Hedge Funds Weigh In On Alkami Technology

Several institutional investors and hedge funds have recently made changes to their positions in the business. Legal & General Group Plc acquired a new position in Alkami Technology during the 2nd quarter worth $967,000. Irenic Capital Management LP bought a new stake in shares of Alkami Technology in the 4th quarter worth about $48,596,000. Bank of America Corp DE raised its stake in shares of Alkami Technology by 5.7% in the 1st quarter. Bank of America Corp DE now owns 1,132,794 shares of the company’s stock valued at $17,751,000 after purchasing an additional 61,501 shares in the last quarter. Praesidium Investment Management Company LLC lifted its position in shares of Alkami Technology by 13.4% during the fourth quarter. Praesidium Investment Management Company LLC now owns 2,287,096 shares of the company’s stock worth $52,763,000 after purchasing an additional 269,524 shares during the last quarter. Finally, Janus Henderson Group PLC lifted its position in shares of Alkami Technology by 20.2% during the first quarter. Janus Henderson Group PLC now owns 3,855,334 shares of the company’s stock worth $60,413,000 after purchasing an additional 646,898 shares during the last quarter. 54.97% of the stock is currently owned by hedge funds and other institutional investors.

Alkami Technology News Roundup

Here are the key news stories impacting Alkami Technology this week:

• Positive Sentiment: Provident Bank launched Alkami’s MANTL Business and Retail Account Opening products across its 135-branch network. The deployment provides a customer-validation signal and could support future platform adoption and recurring revenue. Provident Bank MANTL launch
• Positive Sentiment: Citizens JMP reaffirmed a “market outperform” rating and assigned a $24 price target, implying substantial potential upside from recent trading levels. Citizens JMP rating
• Neutral Sentiment: Valuation commentary is mixed: one analysis argues ALKT could be approximately 33% undervalued now that the deal review has ended, while another says the stock is near fair value. This suggests upside may depend on execution rather than a takeover.
• Neutral Sentiment: Reports describe conflicting analyst sentiment toward Alkami and other technology companies, highlighting uncertainty over the company’s standalone growth outlook. Conflicting analyst sentiment
• Negative Sentiment: Jana Partners’ push for a sale failed after Alkami chose to remain independent. The loss of a possible buyout catalyst sent shares to levels last seen in May 2023. Jana Partners and Alkami sale review
• Negative Sentiment: JPMorgan downgraded Alkami from “overweight” to “underweight” and cut its price target from $24 to $14, materially weakening near-term investor confidence. JPMorgan downgrade

About Alkami Technology

Alkami Technology, Inc provides cloud-based digital banking solutions for financial institutions in the United States. Its platform is designed primarily for community, regional and other banks and credit unions seeking to deliver online and mobile banking experiences to consumers and businesses.

The company’s products and services include digital account access, account opening, money movement and payments, card management, financial wellness tools, data and analytics, marketing and customer engagement capabilities, and solutions for commercial banking.