AvidXchange Holdings, Inc. (NASDAQ:AVDX) Sees Large Decrease in Short Interest

AvidXchange Holdings, Inc. (NASDAQ:AVDX) was the recipient of a large decline in short interest in the month of September. As of September 15th, there was short interest totalling 4,890,000 shares, a decline of 11.7% from the August 31st total of 5,540,000 shares. Based on an average daily trading volume, of 2,620,000 shares, the days-to-cover ratio is presently 1.9 days. Approximately 3.1% of the company’s shares are short sold.

AvidXchange Price Performance

NASDAQ:AVDX traded up $0.06 during mid-day trading on Friday, reaching $8.14. The stock had a trading volume of 1,383,341 shares, compared to its average volume of 2,095,739. The stock has a market capitalization of $1.68 billion, a P/E ratio of -54.27 and a beta of 1.01. The firm has a 50 day moving average price of $8.61 and a two-hundred day moving average price of $10.65. The company has a debt-to-equity ratio of 0.19, a quick ratio of 1.36 and a current ratio of 1.36. AvidXchange has a one year low of $6.88 and a one year high of $13.56.

AvidXchange (NASDAQ:AVDX) last announced its quarterly earnings data on Wednesday, July 31st. The company reported $0.05 earnings per share for the quarter, topping analysts’ consensus estimates of $0.04 by $0.01. AvidXchange had a negative net margin of 3.18% and a negative return on equity of 0.23%. The firm had revenue of $105.30 million during the quarter, compared to analyst estimates of $107.13 million. During the same period in the previous year, the business posted ($0.05) EPS. The business’s quarterly revenue was up 15.6% on a year-over-year basis. As a group, analysts expect that AvidXchange will post 0.03 earnings per share for the current year.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently weighed in on the company. JPMorgan Chase & Co. downgraded AvidXchange from an “overweight” rating to a “neutral” rating and cut their target price for the stock from $11.00 to $9.00 in a research note on Tuesday, August 20th. Barclays lowered their price target on shares of AvidXchange from $14.00 to $10.00 and set an “overweight” rating on the stock in a report on Monday, August 5th. The Goldman Sachs Group reduced their price objective on shares of AvidXchange from $11.50 to $9.00 and set a “sell” rating for the company in a research note on Thursday, August 1st. Keefe, Bruyette & Woods lowered their target price on shares of AvidXchange from $13.50 to $11.00 and set a “market perform” rating on the stock in a research note on Thursday, August 1st. Finally, BMO Capital Markets reduced their price target on shares of AvidXchange from $13.00 to $10.00 and set a “market perform” rating for the company in a research report on Thursday, August 1st. One equities research analyst has rated the stock with a sell rating, seven have assigned a hold rating and five have given a buy rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and an average price target of $11.00.

Insiders Place Their Bets

In other news, insider Joel Wilhite sold 18,028 shares of the stock in a transaction dated Tuesday, August 27th. The stock was sold at an average price of $7.98, for a total value of $143,863.44. Following the completion of the sale, the insider now owns 419,636 shares of the company’s stock, valued at $3,348,695.28. The sale was disclosed in a legal filing with the SEC, which is available at this link. In related news, President Daniel Drees sold 20,069 shares of the company’s stock in a transaction dated Tuesday, August 27th. The shares were sold at an average price of $7.98, for a total value of $160,150.62. Following the sale, the president now owns 753,644 shares in the company, valued at approximately $6,014,079.12. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Joel Wilhite sold 18,028 shares of the firm’s stock in a transaction dated Tuesday, August 27th. The shares were sold at an average price of $7.98, for a total transaction of $143,863.44. Following the transaction, the insider now directly owns 419,636 shares in the company, valued at $3,348,695.28. The disclosure for this sale can be found here. In the last three months, insiders have sold 158,959 shares of company stock valued at $1,279,321. 10.30% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the stock. Advisors Asset Management Inc. lifted its stake in shares of AvidXchange by 96.3% in the 1st quarter. Advisors Asset Management Inc. now owns 4,309 shares of the company’s stock valued at $57,000 after acquiring an additional 2,114 shares during the last quarter. nVerses Capital LLC purchased a new position in AvidXchange in the 2nd quarter worth approximately $66,000. Xponance Inc. bought a new stake in AvidXchange in the second quarter valued at approximately $133,000. Cardinal Capital Management purchased a new stake in shares of AvidXchange during the first quarter valued at approximately $190,000. Finally, Natixis bought a new position in shares of AvidXchange in the first quarter worth approximately $203,000. 80.58% of the stock is owned by institutional investors.

About AvidXchange

AvidXchange Holdings, Inc provides accounts payable (AP) automation software and payment solutions for middle market businesses and their suppliers in North America. The company offers AP automation software, a SaaS-based solution that automates and digitizes capture, review, approval, and payment of invoices for buyers; the AvidPay network that connects two-sided payments with buyers and suppliers; and the AvidXchange Supplier Hub, which provides supplier insights to cash flow, tools for in-network invoices and payments, and early payment feature.