Netskope (NASDAQ:NTSK) Trading Down 5.3% – Should You Sell?

Netskope Inc. (NASDAQ:NTSK) shares traded down 5.3% during mid-day trading on Tuesday . The company traded as low as $14.56 and last traded at $14.4940. 715,436 shares changed hands during trading, a decline of 84% from the average daily volume of 4,587,753 shares. The stock had previously closed at $15.31.

Analyst Upgrades and Downgrades

Several equities research analysts have recently weighed in on the stock. JPMorgan Chase & Co. upped their target price on shares of Netskope from $14.00 to $16.00 and gave the stock an “overweight” rating in a report on Wednesday, August 26th. Piper Sandler cut their price target on shares of Netskope from $21.00 to $18.00 and set an “overweight” rating on the stock in a research report on Thursday, June 4th. Morgan Stanley cut their price target on Netskope from $18.00 to $14.00 and set an “overweight” rating for the company in a report on Thursday, June 4th. Weiss Ratings restated a “sell (e+)” rating on shares of Netskope in a research report on Wednesday, July 8th. Finally, Mizuho set a $16.00 target price on shares of Netskope in a report on Wednesday, August 19th. One investment analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $17.71.

Netskope Trading Down 7.2%

The business has a 50-day simple moving average of $13.10 and a two-hundred day simple moving average of $11.24. The stock has a market cap of $5.74 billion and a price-to-earnings ratio of -71.33. The company has a debt-to-equity ratio of 4.06, a quick ratio of 2.16 and a current ratio of 2.17.

Netskope (NASDAQ:NTSK) last posted its quarterly earnings results on Wednesday, June 3rd. The company reported ($0.06) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.07) by $0.01. The company had revenue of $201.59 million for the quarter. The business’s revenue for the quarter was up 27.8% compared to the same quarter last year. Netskope has set its Q2 2027 guidance at -0.070–0.060 EPS and its FY 2027 guidance at -0.180–0.180 EPS. As a group, research analysts forecast that Netskope Inc. will post -0.88 EPS for the current year.

Insider Activity

In other Netskope news, major shareholder Lightspeed Venture Partners Se sold 1,313,827 shares of the company’s stock in a transaction on Friday, June 12th. The shares were sold at an average price of $9.19, for a total transaction of $12,074,070.13. Following the completion of the sale, the insider owned 336,173 shares in the company, valued at approximately $3,089,429.87. The trade was a 79.63% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, major shareholder Iconiq Strategic Partners Viii purchased 610,291 shares of the stock in a transaction that occurred on Wednesday, July 8th. The shares were acquired at an average cost of $11.82 per share, for a total transaction of $7,213,639.62. Following the completion of the transaction, the insider owned 610,291 shares of the company’s stock, valued at $7,213,639.62. This trade represents a ? increase in their position. The disclosure for this purchase is available in the SEC filing. Over the last 90 days, insiders have acquired 1,833,380 shares of company stock valued at $21,960,909 and have sold 3,529,696 shares valued at $33,002,807. 25.52% of the stock is owned by insiders.

Institutional Trading of Netskope

A number of institutional investors have recently bought and sold shares of NTSK. Envestnet Asset Management Inc. bought a new position in shares of Netskope in the third quarter valued at approximately $249,000. Legal & General Group Plc purchased a new position in shares of Netskope in the third quarter valued at approximately $1,677,000. Franklin Resources Inc. purchased a new position in shares of Netskope during the third quarter worth about $17,460,000. Invesco Ltd. acquired a new stake in shares of Netskope during the third quarter valued at $10,327,000. Finally, Squarepoint Ops LLC acquired a new position in shares of Netskope during the third quarter worth $14,774,000.

Netskope Company Profile

We are redefining security and networking for the era of cloud and AI. The cloud and AI have completely revolutionized work. We are more dispersed, more productive, and more automated than ever before, and the rate of change is only accelerating. Not since the internet has there been such a transformative tectonic shift. But, with it has come collateral damage-traditional security and networking are now broken. We founded Netskope to address this revolution. We built Netskope One, our unified, cloud-native platform from the ground up to solve the challenge of securing and accelerating the digital interactions of enterprises in this new era.