Scotiabank Estimates SolarWinds’ FY2024 Earnings (NYSE:SWI)

SolarWinds Co. (NYSE:SWI) – Equities researchers at Scotiabank issued their FY2024 earnings per share estimates for shares of SolarWinds in a research report issued to clients and investors on Wednesday, January 8th. Scotiabank analyst P. Colville anticipates that the software maker will post earnings of $0.75 per share for the year. The consensus estimate for SolarWinds’ current full-year earnings is $0.74 per share. Scotiabank also issued estimates for SolarWinds’ FY2025 earnings at $0.63 EPS.

SolarWinds (NYSE:SWI) last announced its quarterly earnings results on Thursday, October 31st. The software maker reported $0.27 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.25 by $0.02. SolarWinds had a return on equity of 7.96% and a net margin of 4.93%. The business had revenue of $200.03 million during the quarter, compared to the consensus estimate of $194.03 million. During the same quarter in the prior year, the company posted $0.11 earnings per share. SolarWinds’s revenue was up 5.5% compared to the same quarter last year.

A number of other equities research analysts also recently issued reports on SWI. Robert W. Baird upped their price objective on shares of SolarWinds from $14.00 to $15.00 and gave the stock a “neutral” rating in a research report on Friday, November 1st. Wedbush initiated coverage on SolarWinds in a research note on Thursday, December 19th. They issued an “outperform” rating and a $20.00 price objective on the stock. Five investment analysts have rated the stock with a hold rating and one has assigned a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus price target of $15.00.

SolarWinds Stock Performance

Shares of SWI stock opened at $13.80 on Monday. The company has a debt-to-equity ratio of 0.88, a current ratio of 0.71 and a quick ratio of 0.71. The firm has a 50-day moving average of $13.91 and a 200-day moving average of $12.94. SolarWinds has a one year low of $10.14 and a one year high of $14.94. The company has a market cap of $2.35 billion, a P/E ratio of 62.73 and a beta of 0.94.

Insiders Place Their Bets

In related news, CEO Sudhakar Ramakrishna sold 200,000 shares of the firm’s stock in a transaction that occurred on Thursday, November 7th. The stock was sold at an average price of $13.68, for a total transaction of $2,736,000.00. Following the transaction, the chief executive officer now directly owns 2,212,171 shares in the company, valued at $30,262,499.28. This trade represents a 8.29 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Jason Bliss sold 135,000 shares of the business’s stock in a transaction that occurred on Monday, November 4th. The shares were sold at an average price of $13.02, for a total value of $1,757,700.00. Following the completion of the sale, the insider now owns 838,789 shares of the company’s stock, valued at $10,921,032.78. The trade was a 13.86 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 351,000 shares of company stock valued at $4,703,780. 1.95% of the stock is currently owned by corporate insiders.

Institutional Trading of SolarWinds

A number of institutional investors and hedge funds have recently added to or reduced their stakes in SWI. State Street Corp lifted its stake in shares of SolarWinds by 57.5% in the 3rd quarter. State Street Corp now owns 2,193,026 shares of the software maker’s stock valued at $28,619,000 after purchasing an additional 800,467 shares during the period. Dimensional Fund Advisors LP raised its holdings in SolarWinds by 8.7% in the second quarter. Dimensional Fund Advisors LP now owns 5,776,309 shares of the software maker’s stock worth $69,603,000 after purchasing an additional 461,061 shares in the last quarter. 272 Capital LP purchased a new position in SolarWinds during the second quarter valued at $5,032,000. Principal Financial Group Inc. purchased a new position in SolarWinds during the third quarter valued at $3,673,000. Finally, AQR Capital Management LLC boosted its holdings in shares of SolarWinds by 48.5% during the 2nd quarter. AQR Capital Management LLC now owns 825,829 shares of the software maker’s stock valued at $9,869,000 after buying an additional 269,578 shares in the last quarter. Hedge funds and other institutional investors own 93.96% of the company’s stock.

About SolarWinds

SolarWinds Corporation provides information technology (IT) management software products in the United States and internationally. It provides a suite of network management software that offers real-time visibility into network utilization and bandwidth, as well as the ability to detect, diagnose, and resolve network performance problems; and a suite of infrastructure management products, which monitors and analyzes the performance of applications and their supporting infrastructure, including servers, physical, virtual and cloud infrastructure, storage, and databases.