Zuora (ZUO) Lifted to “Hold” at Zacks Investment Research

Zacks Investment Research upgraded shares of Zuora (NYSE:ZUO) from a sell rating to a hold rating in a report issued on Saturday.

According to Zacks, “Zuora, Inc. provides cloud-based software on a subscription basis. The company’s product portfolio includes Zuora Billing, Zuora RevPro, Zuora CPQ, Zuora Insights and Zuora Collect. Its platform offers Zuora Central. Zuora, Inc. is headquartered in San Mateo, California. “

Several other equities analysts also recently commented on the stock. FBN Securities started coverage on shares of Zuora in a report on Tuesday, October 16th. They set an outperform rating on the stock. Morgan Stanley cut their price target on shares of Zuora from $26.00 to $24.00 and set an equal weight rating on the stock in a report on Tuesday, October 23rd. Finally, Needham & Company LLC upgraded shares of Zuora from a buy rating to a strong-buy rating and set a $27.00 price target on the stock in a report on Thursday, December 20th. Four investment analysts have rated the stock with a hold rating, two have given a buy rating and one has assigned a strong buy rating to the company. The stock has an average rating of Buy and an average price target of $27.00.

NYSE:ZUO traded up $0.38 during mid-day trading on Friday, hitting $21.14. 2,240,843 shares of the stock traded hands, compared to its average volume of 1,075,923. Zuora has a 52 week low of $15.56 and a 52 week high of $37.78. The company has a current ratio of 1.98, a quick ratio of 1.98 and a debt-to-equity ratio of 0.07.

Zuora (NYSE:ZUO) last issued its quarterly earnings results on Thursday, November 29th. The company reported ($0.17) EPS for the quarter, missing the consensus estimate of ($0.13) by ($0.04). The firm had revenue of $61.60 million for the quarter, compared to the consensus estimate of $58.96 million. Zuora had a negative net margin of 32.02% and a negative return on equity of 54.38%. The company’s revenue for the quarter was up 32.8% on a year-over-year basis. Sell-side analysts anticipate that Zuora will post -0.8 earnings per share for the current year.

In other Zuora news, SVP Jennifer Pileggi sold 10,000 shares of the company’s stock in a transaction dated Tuesday, January 8th. The shares were sold at an average price of $19.67, for a total value of $196,700.00. The sale was disclosed in a filing with the SEC, which is available through this link. Also, President Marc Diouane sold 130,500 shares of the company’s stock in a transaction dated Thursday, December 6th. The stock was sold at an average price of $18.03, for a total transaction of $2,352,915.00. The disclosure for this sale can be found here. Insiders sold a total of 1,222,667 shares of company stock worth $22,684,804 over the last 90 days.

A number of hedge funds have recently modified their holdings of ZUO. Tower Research Capital LLC TRC bought a new position in shares of Zuora during the second quarter valued at approximately $147,000. Virtu Financial LLC bought a new position in shares of Zuora during the fourth quarter valued at approximately $203,000. Creative Financial Designs Inc. ADV bought a new position in shares of Zuora during the third quarter valued at approximately $261,000. Cubist Systematic Strategies LLC bought a new position in shares of Zuora during the second quarter valued at approximately $308,000. Finally, Berman Capital Advisors LLC bought a new position in shares of Zuora during the third quarter valued at approximately $272,000. Institutional investors and hedge funds own 22.00% of the company’s stock.

Zuora Company Profile

Zuora, Inc provides cloud-based software on a subscription basis that enables companies in various industries to launch, manage, and transform into a subscription business. The company offers Zuora Central platform that acts as an intelligent subscription management hub that automates the subscription order-to-cash process, including quoting, billing, collections, analytics, and revenue recognition.

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