Splunk Inc. (SPLK) Stock Could Soon Reward Patient Investors

Splunk Inc. (NASDAQ: SPLK) is 43.81% higher on its value in year-to-date trading and has touched a low of $93.92 and a high of $220.56 in the current 52-week trading range. The SPLK stock was last observed hovering at around $216.74 in the last trading session, with the day’s loss setting it -1.35% off its average median price target of $237.50 for the next 12 months. It is also 28.2% off the consensus price target high of $300.00 offered by 38 analysts, but current levels are -100.55% lower than the price target low of $107.40 for the same period.

Currently trading at $215.39, the stock is 6.14% and 7.40% above its SMA20 and SMA50 respectively. However, with a daily trading volume of 5.14 million and changing -0.62% at the moment leaves the stock 33.96% off its SMA200. SPLK registered 94.80% gain for a year compared to 6-month gain of 46.20%. The firm has a 50-day simple moving average (SMA 50) of $203.11 and a 200-day simple moving average (SMA200) of $166.24.

The stock witnessed a 3.39% loss in the last 1 month and extending the period to 3 months gives it a 15.90%, and is 7.60% up over the last 5 days. If we measure the stock’s price variations over the week and the month, we find that the volatility rates stand at 3.79% over the week and 3.36% over the month.

Splunk Inc. (SPLK) has around 5800 employees, a market worth around $33.85B and $2.37B in sales. Fwd P/E is 224.13. Profit margin for the company is -20.60%. Distance from 52-week low is 129.33% and -2.34% from its 52-week high. The company has generated returns on investments over the last 12 months (-7.90%).

Splunk Inc. (SPLK) Analyst Forecasts

Analyst recommendations provided by FactSet shows that the consensus forecast for Splunk Inc. (SPLK) is a “Overweight”. 38 analysts offering their recommendations for the stock have an average rating of 2.10, where 10 rate it as a Hold and 1 think it is a “Overweight”. 27 of the analysts rate the stock as a “Buy”. 0 analysts have rated the stock as a Sell or Underperform.

Splunk Inc. is expected to release its quarterly report on 11/19/2020 and quarterly earnings per share for the current quarter are estimated at $0.03 with sales reaching $642.39M over the same period. The EPS is expected to shrink by -17.10% this year, but quarterly earnings will post 3.00% year-over-year.

Splunk Inc. (SPLK) Top Institutional Holders

900 institutions hold shares in Splunk Inc. (SPLK), with 862.66k shares held by insiders accounting for 0.54% while institutional investors hold 95.92% of the company’s shares. The shares outstanding are 157.53M, and float is at 157.52M with Short Float at 5.08%. Institutions hold 95.40% of the Float.

The top institutional shareholder in the company is Price (T.Rowe) Associates Inc with over 24.42 million shares valued at $4.85 billion. The investor’s holdings represent 15.37% of the SPLK Shares outstanding. As of Jun 29, 2020, the second largest holder is Vanguard Group, Inc. (The) with 14.77 million shares valued at $2.93 billion to account for 9.30% of the shares outstanding. The other top investors are Blackrock Inc. which holds 10.55 million shares representing 6.64% and valued at over $2.1 billion, while Jennison Associates LLC holds 3.59% of the shares totaling 5.7 million with a market value of $1.13 billion.

Splunk Inc. (SPLK) Insider Activity

A total of 102 insider transactions have happened at Splunk Inc. (SPLK) in the last six months, with sales accounting for 81 and purchases happening 21 times. The most recent transaction is an insider sale by SMITH GRAHAM, the company’s Director. SEC filings show that SMITH GRAHAM sold 1,000 shares of the company’s common stock on Jul 01 at a price of $200.00 per share for a total of $0.2 million. Following the sale, the insider now owns 38917.0 shares.

Splunk Inc. disclosed in a document filed with the SEC on Jul 01 that Morgan Scott (SVP, CLO, Global Affairs & Sec) sold a total of 2,296 shares of the company’s common stock. The trade occurred on Jul 01 and was made at $200.02 per share for $0.46 million. Following the transaction, the insider now directly holds 78819.0 shares of the SPLK stock.

Still, SEC filings show that on Jun 22, SMITH GRAHAM (Director) disposed off 500 shares at an average price of $191.00 for $95500.0. The insider now directly holds 39,917 shares of Splunk Inc. (SPLK).

Splunk Inc. (SPLK): Who are the competitors?

The company’s main competitors (and peers) include Teradata Corporation (TDC) that is trading -18.32% down over the past 12 months. International Business Machines Corporation (IBM) is -6.11% down on the 1-year trading charts. Short interest in the company’s stock has fallen -2.64% from the last report on Jul 14, 2020 to stand at a total of 8.15 million short shares sold with a short interest ratio of 6.24.