QuinStreet (NASDAQ:QNST) Shares Climb 7.9% After Strong Earnings

QuinStreet, Inc. (NASDAQ:QNST) shot up 7.9% on Thursday following a stronger than expected earnings report. The stock traded as high as $21.45 and last traded at $20.78. 1,067,395 shares changed hands during trading, an increase of 24% from the average daily volume of 860,474 shares. The stock had previously closed at $19.26.

The technology company reported $0.50 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.39 by $0.11. The business had revenue of $416.65 million for the quarter, compared to analysts’ expectations of $373.88 million. QuinStreet had a return on equity of 12.73% and a net margin of 6.28%.

Wall Street Analysts Forecast Growth

Several research analysts recently issued reports on QNST shares. Northland Securities set a $23.00 price target on shares of QuinStreet in a research note on Thursday, September 17th. Zacks Research lowered QuinStreet from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, October 6th. Lake Street Capital upgraded shares of QuinStreet from a “hold” rating to a “buy” rating and set a $21.00 price objective on the stock in a research note on Friday, August 7th. Wall Street Zen lowered QuinStreet from a “strong-buy” rating to a “buy” rating in a research report on Saturday, October 31st. Finally, Weiss Ratings upgraded QuinStreet from a “hold (c)” rating to a “hold (c+)” rating in a research note on Friday, October 16th. Four equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company’s stock. According to MarketBeat.com, QuinStreet has an average rating of “Moderate Buy” and a consensus target price of $23.50.

Insider Activity at QuinStreet

In other QuinStreet news, Director Asmau Ahmed sold 15,000 shares of the company’s stock in a transaction on Friday, August 14th. The shares were sold at an average price of $20.85, for a total transaction of $312,750.00. Following the sale, the director directly owned 34,979 shares of the company’s stock, valued at approximately $729,312.15. This represents a 30.01% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CFO Gregory Wong sold 26,296 shares of the business’s stock in a transaction that occurred on Friday, August 7th. The shares were sold at an average price of $20.09, for a total transaction of $528,286.64. Following the transaction, the chief financial officer directly owned 521,883 shares of the company’s stock, valued at approximately $10,484,629.47. This represents a 4.80% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last 90 days, insiders have sold 829,631 shares of company stock valued at $16,999,952. Company insiders own 3.50% of the company’s stock.

Institutional Investors Weigh In On QuinStreet

Several large investors have recently made changes to their positions in QNST. Sterling Capital Management LLC lifted its position in shares of QuinStreet by 842.8% during the third quarter. Sterling Capital Management LLC now owns 1,829 shares of the technology company’s stock worth $27,000 after purchasing an additional 1,635 shares in the last quarter. PNC Financial Services Group Inc. increased its holdings in shares of QuinStreet by 54.4% in the first quarter. PNC Financial Services Group Inc. now owns 3,027 shares of the technology company’s stock valued at $36,000 after purchasing an additional 1,066 shares during the last quarter. GAMMA Investing LLC lifted its position in shares of QuinStreet by 17.0% during the second quarter. GAMMA Investing LLC now owns 4,457 shares of the technology company’s stock worth $65,000 after purchasing an additional 649 shares in the last quarter. Allworth Financial LP acquired a new position in shares of QuinStreet during the 2nd quarter worth about $66,000. Finally, Nisa Investment Advisors LLC raised its stake in shares of QuinStreet by 160.0% during the third quarter. Nisa Investment Advisors LLC now owns 5,324 shares of the technology company’s stock worth $80,000 after purchasing an additional 3,276 shares during the last quarter. Institutional investors and hedge funds own 97.83% of the company’s stock.

QuinStreet Trading Up 7.9%

The firm has a market cap of $1.19 billion, a price-to-earnings ratio of 14.73 and a beta of 0.84. The company has a quick ratio of 1.22, a current ratio of 1.22 and a debt-to-equity ratio of 0.22. The business has a 50 day moving average of $16.84 and a 200 day moving average of $14.55.

About QuinStreet

QuinStreet, Inc is a performance marketing and online marketplace company that connects consumers with brands and service providers. The company uses digital media, data, and technology to help businesses acquire customers and generate leads through channels such as search, social media, display advertising, and other online marketing platforms.

QuinStreet operates vertical marketplaces in areas including insurance, financial services, home services, and business services. Its platforms help consumers research products and services, compare available options, and connect with providers, while giving advertisers tools to reach consumers who are actively seeking information or purchasing opportunities.

Founded in 1999, QuinStreet is headquartered in Foster City, California, and primarily serves the U.S.