Upwork Inc. (NASDAQ: UPWK) stock fell -3.27% on Tuesday to $12.44 against a previous-day closing price of $12.86. With 1.12 million shares changed hands, the volume of the stock remained lighter than its average volume of 1.54 million shares. During the session, the Staffing & Employment Services company that operates in wider Industrials sector, reached to the highest price of $13.11 whereas the lowest price it dropped to was $12.25. The 52-week range on UPWK shows that it touched its highest point at $29.92 and its lowest point at $9.79 during that stretch. It currently has a 1-year price target of $19.18. Beta for the stock currently stands at 1.47.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of UPWK was down-trending over the past week, with a drop of -0.88%, but this was up by 21.25% over a month. Three-month performance surged to 0.24% while six-month performance fell -45.91%. The stock lost -50.58% in the past year, while it has gained 19.16% so far this year. A look at the trailing 12-month EPS for UPWK yields -0.74 with Next year EPS estimates of 0.03. For the next quarter, that number is -0.03. This implies an EPS growth rate of -129.60% for this year and 125.00% for next year.
Float and Shares Shorts:
At present, 130.83 million UPWK shares are outstanding with a float of 120.43 million shares on hand for trading. On Oct 13, 2022, short shares totaled 6.06 million, which was 4.64% higher than short shares on Sep 14, 2022. In addition to Ms. Hayden Brown as the firm’s Pres, CEO & Director, Mr. Jeff McCombs serves as its Chief Financial Officer.
Through their ownership of 78.45% of UPWK’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 40.17% of UPWK, in contrast to 34.04% held by mutual funds. Shares owned by individuals account for 28.35%. As the largest shareholder in UPWK with 8.06% of the stake, The Vanguard Group, Inc. holds 10,588,085 shares worth 10,588,085. A second-largest stockholder of UPWK, Jackson Square Partners LLC, holds 7,080,973 shares, controlling over 5.39% of the firm’s shares. BlackRock Fund Advisors is the third largest shareholder in UPWK, holding 6,731,594 shares or 5.13% stake. With a 5.44% stake in UPWK, the American Funds Small Cap World Fu is the largest stakeholder. A total of 7,150,413 shares are owned by the mutual fund manager. The Vanguard Total Stock Market Index, which owns about 2.72% of UPWK stock, is the second-largest Mutual Fund holder. It holds 3,570,489 shares valued at 37.28 million. Vanguard Small Cap Index Fund holds 2.32% of the stake in UPWK, owning 3,045,858 shares worth 31.8 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for UPWK since 11 analysts follow the stock currently. There are 8 analysts who recommend BUY ratings, while 0 suggest SELL ratings. Of the remaining analysts, 3 believe that the stock is worth HOLDING, 0 give it an OVERWEIGHT rating, and 0 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With UPWK analysts setting a high price target of $34.00 and a low target of $12.00, the average target price over the next 12 months is $19.18. Based on these targets, UPWK could surge 173.31% to reach the target high and fall by -3.54% to reach the target low. Reaching the average price target will result in a growth of 54.18% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. UPWK will report FY 2022 earnings on 02/08/2024. Analysts have provided yearly estimates in a range of -$0.11 being high and -$0.23 being low. For UPWK, this leads to a yearly average estimate of -$0.14. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. Upwork Inc. surprised analysts by $0.04 when it reported -$0.03 EPS against a consensus estimate of -$0.07. The surprise factor in the prior quarter was $0.04. Based on analyst estimates, the high estimate for the next quarter is -$0.02 and the low estimate is -$0.08. The average estimate for the next quarter is thus -$0.03.
Summary of Insider Activity:
Insiders traded UPWK stock several times over the past three months with 19 Buys and 7 Sells. In these transactions, 125,697 shares were bought while 65,748 shares were sold. The number of buy transactions has increased to 73 while that of sell transactions has risen to 29 over the past year. The total number of shares bought during that period was 647,022 while 293,922 shares were sold.