Radcom (NASDAQ:RDCM) Stock Price Breaks Below Two Hundred Day Moving Average – Here’s Why

Radcom Ltd. (NASDAQ:RDCM)’s share price crossed below its 200-day moving average during trading on Wednesday. The stock has a 200-day moving average of $12.36 and traded as low as $10.18. Radcom shares last traded at $10.20, with a volume of 30,937 shares trading hands.

Analyst Upgrades and Downgrades

RDCM has been the topic of a number of recent analyst reports. Weiss Ratings cut Radcom from a “hold (c+)” rating to a “hold (c)” rating in a research note on Wednesday, September 9th. Zacks Research upgraded shares of Radcom from a “strong sell” rating to a “hold” rating in a research report on Monday, October 12th. Needham & Company LLC decreased their price objective on shares of Radcom from $18.00 to $14.00 and set a “buy” rating for the company in a report on Wednesday, August 12th. Finally, Wall Street Zen raised shares of Radcom from a “sell” rating to a “hold” rating in a research report on Saturday, September 12th. One analyst has rated the stock with a Buy rating and two have assigned a Hold rating to the company’s stock. According to MarketBeat, Radcom currently has a consensus rating of “Hold” and an average price target of $14.00.

Radcom Price Performance

The firm has a fifty day simple moving average of $10.21 and a two-hundred day simple moving average of $12.34. The firm has a market capitalization of $170.25 million, a P/E ratio of 24.21 and a beta of 0.76.

Radcom (NASDAQ:RDCM) last issued its earnings results on Wednesday, August 12th. The technology company reported ($0.09) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.24 by ($0.33). Radcom had a net margin of 10.47% and a return on equity of 6.51%. The firm had revenue of $11.76 million during the quarter, compared to the consensus estimate of $15.57 million. On average, research analysts anticipate that Radcom Ltd. will post -0.03 EPS for the current year.

Radcom announced that its board has approved a stock buyback plan on Thursday, September 17th that allows the company to buy back $20.00 million in shares. This buyback authorization allows the technology company to reacquire up to 11.8% of its shares through open market purchases. Share buyback plans are typically a sign that the company’s management believes its shares are undervalued.

Hedge Funds Weigh In On Radcom

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. NewEdge Advisors LLC bought a new stake in shares of Radcom in the first quarter valued at approximately $369,000. Lazard Asset Management LLC bought a new position in Radcom in the 1st quarter worth approximately $236,000. Private Advisor Group LLC boosted its holdings in Radcom by 2.1% in the 1st quarter. Private Advisor Group LLC now owns 351,019 shares of the technology company’s stock worth $4,268,000 after buying an additional 7,372 shares during the period. Janney Montgomery Scott LLC grew its stake in Radcom by 1.7% in the 1st quarter. Janney Montgomery Scott LLC now owns 327,479 shares of the technology company’s stock valued at $3,982,000 after buying an additional 5,380 shares in the last quarter. Finally, Public Employees Retirement System of Ohio purchased a new position in Radcom in the 2nd quarter valued at approximately $35,000. Institutional investors own 48.32% of the company’s stock.

About Radcom

Radcom Ltd. (NASDAQ: RDCM) is an Israel-based provider of cloud-native service assurance and network intelligence solutions for communication service providers. Founded in 1991, the company develops software that helps telecommunications operators monitor network performance, identify service issues and improve customer experience across complex, evolving networks.

Radcom’s product portfolio is designed to support 4G and 5G mobile networks, cloud-based network functions and other virtualized telecommunications environments.