New Relic (NYSE:NEWR) Cut to Sell at Zacks Investment Research

Zacks Investment Research lowered shares of New Relic (NYSE:NEWR) from a hold rating to a sell rating in a report issued on Tuesday morning, Zacks.com reports.

According to Zacks, “New Relic, Inc. is a software analytics company. The Company offers solution which includes application development, production monitoring, real-time analytics, mobile application management and digital transformation. Its products include new relic APM, new relic mobile, new relic insights, new relic services, new relic browser and new relic platform. New Relic, Inc. is based in San Francisco, United States. “

NEWR has been the topic of a number of other research reports. Morgan Stanley dropped their price target on New Relic from $104.00 to $84.00 and set an overweight rating on the stock in a research report on Wednesday, August 21st. ValuEngine cut New Relic from a buy rating to a hold rating in a report on Thursday, August 8th. First Analysis cut New Relic from a strong-buy rating to a neutral rating and set a $80.00 price objective on the stock. in a report on Wednesday, August 7th. DA Davidson set a $95.00 price objective on New Relic and gave the stock a buy rating in a report on Thursday, August 29th. Finally, Needham & Company LLC set a $120.00 price objective on New Relic and gave the stock a buy rating in a report on Wednesday, August 7th. Two analysts have rated the stock with a sell rating, seven have issued a hold rating and ten have assigned a buy rating to the company’s stock. New Relic presently has a consensus rating of Hold and a consensus target price of $96.67.

Shares of NYSE NEWR traded up $0.06 during trading on Tuesday, reaching $59.44. 4,193 shares of the stock traded hands, compared to its average volume of 1,163,089. New Relic has a 52-week low of $54.83 and a 52-week high of $113.34. The company has a debt-to-equity ratio of 1.32, a current ratio of 2.88 and a quick ratio of 2.88. The company has a 50-day moving average of $67.64 and a 200-day moving average of $90.75. The stock has a market capitalization of $3.47 billion, a P/E ratio of -191.81 and a beta of 0.96.

New Relic (NYSE:NEWR) last issued its quarterly earnings results on Tuesday, August 6th. The software maker reported ($0.16) EPS for the quarter, beating analysts’ consensus estimates of ($0.18) by $0.02. New Relic had a negative return on equity of 8.55% and a negative net margin of 9.93%. The firm had revenue of $141.01 million for the quarter, compared to analysts’ expectations of $139.73 million. During the same quarter in the prior year, the firm earned $0.15 EPS. The business’s revenue for the quarter was up 30.3% compared to the same quarter last year. Analysts expect that New Relic will post -0.68 earnings per share for the current fiscal year.

In other New Relic news, CTO James R. Gochee sold 4,000 shares of the company’s stock in a transaction dated Thursday, September 12th. The stock was sold at an average price of $60.34, for a total value of $241,360.00. Following the transaction, the chief technology officer now directly owns 124,823 shares in the company, valued at approximately $7,531,819.82. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Lewis Cirne sold 500 shares of the company’s stock in a transaction dated Friday, July 5th. The stock was sold at an average price of $91.50, for a total value of $45,750.00. The disclosure for this sale can be found here. Insiders have sold a total of 114,054 shares of company stock worth $9,166,488 in the last three months. 17.40% of the stock is currently owned by insiders.

Hedge funds and other institutional investors have recently made changes to their positions in the business. Cornerstone Advisors Inc. increased its stake in New Relic by 58.4% in the 1st quarter. Cornerstone Advisors Inc. now owns 358 shares of the software maker’s stock worth $35,000 after acquiring an additional 132 shares during the last quarter. Evolution Wealth Advisors LLC bought a new position in shares of New Relic during the 1st quarter valued at about $42,000. Point72 Hong Kong Ltd bought a new position in shares of New Relic during the 2nd quarter valued at about $55,000. Flinton Capital Management LLC increased its position in shares of New Relic by 51.9% during the 2nd quarter. Flinton Capital Management LLC now owns 656 shares of the software maker’s stock valued at $57,000 after purchasing an additional 224 shares during the last quarter. Finally, Victory Capital Management Inc. increased its position in shares of New Relic by 255.8% during the 1st quarter. Victory Capital Management Inc. now owns 587 shares of the software maker’s stock valued at $58,000 after purchasing an additional 422 shares during the last quarter. Institutional investors and hedge funds own 80.08% of the company’s stock.

New Relic Company Profile

New Relic, Inc, a software-as-a-service company, provides various digital products worldwide. Its cloud-based platform and suite of products include New Relic Platform, which enable organizations to collect, store, and analyze data. The company offers New Relic Application Performance Management that provides visibility into the performance and usage of server-based applications, such as data pertaining to response time, transaction throughput, error rates, top transactions, and user satisfaction; New Relic Mobile, which provides code-level visibility into the performance and health of mobile applications running on the iOS and Android mobile operating systems; and New Relic Browser that monitors the page view experiences of actual end-users for desktop and mobile browser-based applications.

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