SolarWinds (NYSE:SWI) Sees Strong Trading Volume – Should You Buy?

SolarWinds Co. (NYSE:SWI) saw unusually-high trading volume on Thursday . Approximately 753,566 shares traded hands during mid-day trading, an increase of 6% from the previous session’s volume of 707,837 shares.The stock last traded at $18.44 and had previously closed at $18.39.

Analyst Upgrades and Downgrades

Several analysts recently commented on SWI shares. Royal Bank of Canada raised their price target on shares of SolarWinds from $13.00 to $16.00 and gave the company a “sector perform” rating in a research report on Tuesday, January 21st. Truist Financial reaffirmed a “hold” rating and issued a $18.50 price target (up previously from $13.00) on shares of SolarWinds in a report on Monday, February 10th. Wedbush lowered SolarWinds from an “outperform” rating to a “neutral” rating and dropped their price objective for the company from $20.00 to $18.50 in a report on Friday, February 7th. Scotiabank upped their target price on SolarWinds from $15.00 to $18.50 and gave the stock a “sector perform” rating in a research note on Monday, February 10th. Finally, Robert W. Baird lifted their price target on shares of SolarWinds from $15.00 to $18.50 and gave the company a “neutral” rating in a research note on Monday, February 10th. Five analysts have rated the stock with a hold rating, According to data from MarketBeat, the company presently has an average rating of “Hold” and a consensus target price of $18.00.

SolarWinds Stock Performance

The company has a current ratio of 0.85, a quick ratio of 0.71 and a debt-to-equity ratio of 0.85. The stock’s fifty day simple moving average is $17.34 and its 200 day simple moving average is $14.79. The company has a market cap of $3.19 billion, a price-to-earnings ratio of 29.26 and a beta of 0.93.

SolarWinds (NYSE:SWI) last posted its quarterly earnings results on Wednesday, February 12th. The software maker reported $0.41 earnings per share for the quarter, beating the consensus estimate of $0.27 by $0.14. SolarWinds had a net margin of 14.04% and a return on equity of 12.19%. As a group, analysts anticipate that SolarWinds Co. will post 0.75 earnings per share for the current year.

Hedge Funds Weigh In On SolarWinds

Institutional investors have recently bought and sold shares of the company. Wealth Enhancement Advisory Services LLC boosted its position in SolarWinds by 6.7% in the 4th quarter. Wealth Enhancement Advisory Services LLC now owns 15,592 shares of the software maker’s stock valued at $222,000 after buying an additional 978 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its holdings in SolarWinds by 3.7% in the fourth quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 30,966 shares of the software maker’s stock valued at $441,000 after purchasing an additional 1,105 shares during the period. Quantinno Capital Management LP grew its stake in SolarWinds by 2.5% during the 3rd quarter. Quantinno Capital Management LP now owns 48,198 shares of the software maker’s stock worth $629,000 after purchasing an additional 1,184 shares in the last quarter. Sterling Capital Management LLC raised its position in SolarWinds by 808.3% in the 4th quarter. Sterling Capital Management LLC now owns 1,744 shares of the software maker’s stock valued at $25,000 after purchasing an additional 1,552 shares in the last quarter. Finally, Franklin Resources Inc. boosted its stake in shares of SolarWinds by 6.2% in the 3rd quarter. Franklin Resources Inc. now owns 29,995 shares of the software maker’s stock valued at $386,000 after buying an additional 1,760 shares during the period. 93.96% of the stock is owned by institutional investors and hedge funds.

SolarWinds Company Profile

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.