Udemy (NASDAQ:UDMY) Reaches New 12-Month Low – Should You Sell?

Udemy, Inc. (NASDAQ:UDMY) hit a new 52-week low on Friday . The stock traded as low as $6.67 and last traded at $6.65, with a volume of 150614 shares changing hands. The stock had previously closed at $7.20.

Analyst Ratings Changes

A number of equities analysts have issued reports on UDMY shares. Morgan Stanley raised their price objective on shares of Udemy from $7.50 to $9.00 and gave the company an “underweight” rating in a research note on Thursday, February 20th. Needham & Company LLC restated a “buy” rating and issued a $11.00 price target on shares of Udemy in a research report on Wednesday, March 12th. Canaccord Genuity Group lifted their price objective on Udemy from $12.00 to $14.00 and gave the stock a “buy” rating in a research note on Friday, February 14th. Finally, William Blair lowered Udemy from an “outperform” rating to a “market perform” rating in a research note on Wednesday, March 12th. One equities research analyst has rated the stock with a sell rating, three have assigned a hold rating and eight have issued a buy rating to the stock. Based on data from MarketBeat, Udemy presently has a consensus rating of “Moderate Buy” and an average target price of $10.95.

Udemy Trading Down 7.6 %

The company has a fifty day moving average price of $8.54 and a two-hundred day moving average price of $8.25. The firm has a market cap of $982.50 million, a P/E ratio of -11.67 and a beta of 1.81.

Udemy (NASDAQ:UDMY) last announced its quarterly earnings results on Thursday, February 13th. The company reported ($0.03) earnings per share for the quarter, missing analysts’ consensus estimates of $0.07 by ($0.10). Udemy had a negative net margin of 10.84% and a negative return on equity of 27.93%. The company had revenue of $199.94 million during the quarter, compared to the consensus estimate of $194.70 million. As a group, sell-side analysts expect that Udemy, Inc. will post -0.09 EPS for the current year.

Insider Buying and Selling

In other news, major shareholder Ltd Naspers sold 3,200,000 shares of the business’s stock in a transaction dated Tuesday, January 21st. The stock was sold at an average price of $7.84, for a total value of $25,088,000.00. Following the sale, the insider now directly owns 13,920,840 shares in the company, valued at $109,139,385.60. The trade was a 18.69 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, Director Heather Hiles sold 14,840 shares of the stock in a transaction dated Wednesday, February 19th. The stock was sold at an average price of $9.81, for a total value of $145,580.40. Following the transaction, the director now owns 42,667 shares of the company’s stock, valued at approximately $418,563.27. The trade was a 25.81 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 3,305,168 shares of company stock valued at $26,040,186. Company insiders own 3.20% of the company’s stock.

Institutional Trading of Udemy

Hedge funds and other institutional investors have recently made changes to their positions in the business. Barclays PLC grew its position in Udemy by 360.6% in the third quarter. Barclays PLC now owns 155,719 shares of the company’s stock valued at $1,158,000 after purchasing an additional 121,911 shares in the last quarter. Verition Fund Management LLC acquired a new position in shares of Udemy during the 3rd quarter worth about $1,630,000. SBI Securities Co. Ltd. bought a new position in shares of Udemy in the 4th quarter valued at about $31,000. JPMorgan Chase & Co. increased its position in shares of Udemy by 26.2% in the third quarter. JPMorgan Chase & Co. now owns 198,387 shares of the company’s stock valued at $1,476,000 after acquiring an additional 41,145 shares during the last quarter. Finally, State Street Corp raised its holdings in Udemy by 0.8% during the third quarter. State Street Corp now owns 1,934,473 shares of the company’s stock worth $14,392,000 after acquiring an additional 15,339 shares in the last quarter. 79.48% of the stock is currently owned by institutional investors and hedge funds.

About Udemy

Udemy, Inc, a learning company, that operates a marketplace platform for learning skills in the United States and internationally. The company offers skill acquisition, development, and validation courses for organizations and individuals, through direct-to-consumer or Udemy Business offerings in various languages.