Riskified Ltd. (NYSE:RSKD) Sees Large Drop in Short Interest

Riskified Ltd. (NYSE:RSKD) was the recipient of a significant decline in short interest in the month of November. As of November 15th, there was short interest totalling 1,020,000 shares, a decline of 17.1% from the October 31st total of 1,230,000 shares. Based on an average trading volume of 579,000 shares, the short-interest ratio is presently 1.8 days. Approximately 1.1% of the company’s shares are short sold.

Analysts Set New Price Targets

Several research firms recently commented on RSKD. Barclays cut their price target on shares of Riskified from $6.00 to $5.00 and set an “equal weight” rating on the stock in a report on Friday, August 16th. DA Davidson raised shares of Riskified to a “hold” rating in a research report on Thursday, November 14th. Piper Sandler reiterated an “overweight” rating and set a $7.00 price objective on shares of Riskified in a research note on Thursday, November 14th. Keefe, Bruyette & Woods dropped their target price on shares of Riskified from $5.50 to $5.25 and set a “market perform” rating for the company in a research report on Thursday, November 14th. Finally, JPMorgan Chase & Co. increased their price target on shares of Riskified from $6.00 to $7.00 and gave the stock a “neutral” rating in a research report on Tuesday, August 20th. One research analyst has rated the stock with a sell rating, five have assigned a hold rating and two have issued a buy rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and an average target price of $5.91.

Institutional Trading of Riskified

Hedge funds have recently added to or reduced their stakes in the business. Tidal Investments LLC raised its position in shares of Riskified by 4.8% during the 3rd quarter. Tidal Investments LLC now owns 100,525 shares of the company’s stock worth $475,000 after buying an additional 4,616 shares in the last quarter. Barclays PLC increased its stake in shares of Riskified by 106.6% during the third quarter. Barclays PLC now owns 39,174 shares of the company’s stock valued at $186,000 after acquiring an additional 20,213 shares during the period. Public Employees Retirement System of Ohio bought a new stake in Riskified during the third quarter worth approximately $1,438,000. State Street Corp lifted its position in Riskified by 0.9% in the third quarter. State Street Corp now owns 745,593 shares of the company’s stock worth $3,527,000 after purchasing an additional 6,927 shares during the period. Finally, Harvey Partners LLC lifted its position in Riskified by 9.7% in the third quarter. Harvey Partners LLC now owns 3,227,500 shares of the company’s stock worth $15,266,000 after purchasing an additional 286,500 shares during the period. Institutional investors own 58.98% of the company’s stock.

Riskified Price Performance

Shares of NYSE RSKD traded up $0.05 during mid-day trading on Friday, hitting $4.85. The company had a trading volume of 312,071 shares, compared to its average volume of 667,201. Riskified has a 12 month low of $3.98 and a 12 month high of $6.64. The stock has a market cap of $864.61 million, a price-to-earnings ratio of -24.25 and a beta of 1.36. The firm’s 50 day simple moving average is $4.56 and its two-hundred day simple moving average is $5.35.

Riskified (NYSE:RSKD) last announced its quarterly earnings results on Wednesday, November 13th. The company reported $0.03 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.02 by $0.01. Riskified had a negative net margin of 10.72% and a negative return on equity of 6.00%. The company had revenue of $78.80 million during the quarter, compared to the consensus estimate of $75.01 million. During the same quarter in the previous year, the company posted ($0.12) earnings per share. The company’s revenue for the quarter was up 9.6% compared to the same quarter last year. Equities analysts forecast that Riskified will post -0.15 earnings per share for the current year.

Riskified announced that its board has approved a stock repurchase plan on Wednesday, November 13th that allows the company to repurchase $75.00 million in outstanding shares. This repurchase authorization allows the company to repurchase up to 9% of its stock through open market purchases. Stock repurchase plans are often an indication that the company’s board of directors believes its shares are undervalued.

About Riskified

Riskified Ltd., together with its subsidiaries, develops and offers an e-commerce risk management platform that allows online merchants to create trusted relationships with consumers in the United States, Europe, the Middle East, Africa, the Asia-Pacific, and the Americas. It offers Chargeback Guarantee that ensures the legitimacy of merchants' online orders; Policy Protect, a machine learning solution designed to detect and prevent refund and returns policy abuse in real-time; Account Secure, a solution that cross-checks every login attempt; Dispute Resolve, which is used to compile submissions for fraud and non-fraud related chargeback issues; and PSD2 Optimize that helps merchants avoid bank authorization failures and abandoned shopping carts.