Gogo (NASDAQ:GOGO) Stock Price Down 9.6% – Should You Sell?

Gogo Inc. (NASDAQ:GOGO) was down 9.6% on Friday . The stock traded as low as $5.11 and last traded at $5.1050. Approximately 3,128,864 shares changed hands during mid-day trading, an increase of 70% from the average daily volume of 1,838,988 shares. The stock had previously closed at $5.65.

Analyst Ratings Changes

GOGO has been the subject of several research reports. William Blair lowered shares of Gogo from an “outperform” rating to a “market perform” rating in a research note on Tuesday. Morgan Stanley initiated coverage on shares of Gogo in a research report on Thursday, August 14th. They issued an “equal weight” rating and a $15.00 price objective on the stock. Finally, Weiss Ratings reaffirmed a “sell (d)” rating on shares of Gogo in a research report on Monday. Two research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus target price of $14.83.

Gogo Stock Performance

The company has a debt-to-equity ratio of 7.79, a quick ratio of 1.40 and a current ratio of 1.74. The firm’s 50 day simple moving average is $7.96 and its 200-day simple moving average is $10.94. The company has a market cap of $681.97 million, a price-to-earnings ratio of -101.90 and a beta of 0.89.

Gogo (NASDAQ:GOGO) last announced its quarterly earnings data on Thursday, November 6th. The technology company reported ($0.01) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.11 by ($0.12). The firm had revenue of $223.59 million during the quarter, compared to analysts’ expectations of $222.23 million. Gogo had a negative net margin of 0.65% and a positive return on equity of 71.74%. The company’s revenue for the quarter was up 122.4% compared to the same quarter last year. During the same period in the prior year, the company posted $0.08 EPS. On average, sell-side analysts predict that Gogo Inc. will post 0.41 EPS for the current year.

Hedge Funds Weigh In On Gogo

Hedge funds and other institutional investors have recently bought and sold shares of the company. William Blair Investment Management LLC grew its position in shares of Gogo by 124.8% in the 2nd quarter. William Blair Investment Management LLC now owns 5,673,833 shares of the technology company’s stock valued at $83,292,000 after buying an additional 3,149,585 shares during the last quarter. Two Sigma Investments LP grew its holdings in shares of Gogo by 512.6% during the third quarter. Two Sigma Investments LP now owns 1,218,005 shares of the technology company’s stock worth $10,463,000 after purchasing an additional 1,019,195 shares during the last quarter. Nantahala Capital Management LLC increased its position in shares of Gogo by 38.5% during the first quarter. Nantahala Capital Management LLC now owns 3,564,797 shares of the technology company’s stock worth $30,729,000 after purchasing an additional 990,155 shares in the last quarter. Qube Research & Technologies Ltd acquired a new stake in shares of Gogo during the third quarter worth about $6,760,000. Finally, LB Partners LLC lifted its holdings in shares of Gogo by 30.0% in the 3rd quarter. LB Partners LLC now owns 3,228,979 shares of the technology company’s stock valued at $27,737,000 after purchasing an additional 745,000 shares during the last quarter. 69.60% of the stock is currently owned by hedge funds and other institutional investors.

About Gogo

Gogo Inc, together with its subsidiaries, provides broadband connectivity services to the aviation industry in the United States and internationally. The company's product platform includes networks, antennas, and airborne equipment and software. It offers in-flight systems; in-flight services; aviation partner support; and engineering, design, and development services, as well as production operations functions.