Rosenblatt Reiterates Buy Rating for 8x8, Raises PT to $2.5

Rosenblatt Reiterates Buy Rating for 8x8, Raises PT to $2.5

Rosenblatt Securities has reiterated its buy rating for 8x8 Inc. (NASDAQ: EGHT), raising the price target (PT) to $2.5, according to a recent report [1]. The updated rating and PT reflect the analyst's bullish outlook on the company's growth prospects and strategic positioning in the unified communications and contact center market.

8x8 Inc. provides voice, video, chat, contact center, and enterprise-class application programmable interface (API) Software-as-a-Service solutions. The company's 8x8 Work, 8x8 Contact Center, and 8x8 CPaaS platforms cater to small and mid-size businesses, mid-market and larger enterprises, government agencies, and other organizations worldwide. The recent update from Rosenblatt underscores the analyst's confidence in 8x8's ability to capitalize on market trends and drive growth.

The analyst's optimism is supported by several factors, including 8x8's strong market presence, robust product offerings, and strategic partnerships. Additionally, the company's recent appointments, such as Bruno Bertini as Chief Marketing Officer, signal a commitment to further enhancing its market position [2]. Furthermore, 8x8's recent expansion into AI self-service capabilities and SMS fraud prevention communication API further solidifies its competitive edge [3].

In terms of financial performance, 8x8 has shown signs of improvement, with earnings expected to grow from ($0.22) to ($0.14) per share in the coming year [4]. Despite the negative earnings, the company's price-to-book value ratio (P/B) of 2.78 indicates that it is reasonably valued with respect to its assets and liabilities [5].

Institutional ownership of 8x8's stock is high, with 99.89% of the shares held by institutions, which can be seen as a signal of strong market trust in the company [6]. However, insider selling has been significant, with insiders selling $354,937.00 in company stock over the past three months, while buying only $0.00 [7].

The consensus among Wall Street analysts is that investors should hold their existing positions in 8x8, with 9 analysts issuing "buy," "hold," and "sell" ratings in the last twelve months. The average share price forecast for 2023 is $5.13, with a range of $3.00 to $8.00 [8].

References:

[1] https://www.marketbeat.com/stocks/NASDAQ/EGHT/
[2] https://www.marketbeat.com/stocks/NASDAQ/EGHT/
[3] https://www.marketbeat.com/stocks/NASDAQ/EGHT/
[4] https://www.marketbeat.com/stocks/NASDAQ/EGHT/
[5] https://www.marketbeat.com/stocks/NASDAQ/EGHT/
[6] https://www.marketbeat.com/stocks/NASDAQ/EGHT/
[7] https://www.marketbeat.com/stocks/NASDAQ/EGHT/
[8] https://www.marketbeat.com/stocks/NASDAQ/EGHT/