At Current Price, Is It Too Late To Buy Mimecast Limited (MIME)?

On Wednesday, shares of Mimecast Limited (NASDAQ:MIME) marked $41.27 per share versus a previous $40.89 closing price. With having a 0.93% gain, an insight into the fundamental values of Mimecast Limited, investors would also find a great ally in the technical patterns of the stock movements showed in stock charts. MIME showed a rise of 22.72% within its YTD performance, with highs and lows between $29.66 – $54.57 during the period of 52 weeks, compared to the simple moving average of -5.04% in the period of the last 200 days.

Rosenblatt equity researchers changed the status of Mimecast Limited (NASDAQ: MIME) shares to a “Buy” rating in the report published on August 22nd, 2019. Other analysts, including Berenberg, also published their reports on MIME shares. Berenberg repeated the rating from the previous report, marking MIME under “Buy” rating, in the report published on May 31st, 2019. Additionally, MIME shares got another “Outperform” rating from Cowen, setting a target price of $60 on the company’s shares, according to the report published in May 23rd, 2019. On May 14th, 2019, Imperial Capital Reiterated an Outperform rating and increased its price target from $52 to $55. On the other hand, BMO Capital Markets Reiterated the “Outperform” rating for MIME shares, as published in the report on May 14th, 2019. Needham seems to be going bullish on the price of MIME shares, based on the price prediction for MIME, indicating that the shares will jump from $52 to $65, giving the shares “Buy” rating based on their report from May 6th, 2019. Another “Buy” rating came from BofA/Merrill, providing a prediction for $65 price target according to the report published in April 12th, 2019.

Mimecast Limited (MIME) Analysis

The present dividend yield for MIME owners is set at 0, marking the return investors will get regardless of the company’s performance in the upcoming period.However, in order for the company to be able to pay its dividends, just like it is the case with Mimecast Limited, the company needs to provide a healthy cash flow, currently at the value of 53.05. In addition, the growth of sales from quarter to quarter is recording 26.50%, hinting the company’s progress in the upcoming progress.

In order to gain a clear insight on the performance of Mimecast Limited (MIME) as it may occur in the future, there are more than several well-rounded types of analysis and research techniques, while equity is most certainly one of the more important indicators into the company’s growth and performance. In this case, you want to make sure that the return on the present equity of -4.60% is enough for you to make a profit out of your investment. You may also count in the quick ratio of the company, currently set at 1.20 so you would make sure that the company is able to cover the debts it may have, which can be easily seen in annual reports of the company.

Set to affect the volatility of a given stock, the average volume can also be a valuable indicator, while MIME is currently recording an average of 395.05K in volumes. The volatility of the stock on monthly basis is set at 3.72%, while the weekly volatility levels are marked at 4.20%with -4.75% of loss in the last seven days. Additionally, long-term investors are predicting the target price of $56.00, indicating growth from the present price of $41.27, which can represent yet another valuable research and analysis points that can help you decide whether to invest in MIME or pass.

What to Look for When Analyzing Mimecast Limited Shares?

Mimecast Limited (MIME) is based in the United Kingdom and it represents one of the well-known company operating with Technology sector. If you wish to compare MIME shares with other companies under Electronic Equipment and Consumer Goods, a factor to note is the P/E value of for Mimecast Limited, while the value 62.63 can represent an indicator in the future growth of the company in terms of investor’s expectations. The later value should have a steady growth rate, increasing and growing gradually, which serves the purpose of reliably showcasing the progress of the company. The value -0.12 is supported by the yearly ESP growth of 46.00%.

Besides from looking into the fundamentals, you should also note the number of people inside the company owning the shares, as the values should be in line with the expectations of investors. In that spirit, the present ownership of stocks inside the company is set at 3.70%, which can provide you with an insight of how involved executives are in owning shares of the company. In oppose to the executives’ share, the institutional ownership counts 76.50% of shares, carrying an equal significance as an indicator of value, as the presence of large investors may signal a strong company.

Are Institutional Investors Increasing Stakes in MIME Shares?

It appears that more than several institutional investors and hedge funds decided to increase stakes in MIME in the recent period. That is how Whale Rock Capital Management LLC now has an increase position in MIME by 90.77% in the first quarter, owning 3.8 million shares of MIME stocks, with the value of $180.78 million after the purchase of an additional 1,807,096 shares during the last quarter. In the meanwhile, Waddell & Reed Investment Managem also increased their stake in MIME shares changed 3.29% in the first quarter, which means that the company now owns 2.09 million shares of company, all valued at $99.57 million after the acquisition of additional 66,585 shares during the last quarter.

SQN Investors LP acquired a new position in Mimecast Limited during the first quarter, with the value of $94.65 million, and Holocene Advisors, LP increased their stake in the company’s shares by 52.79% in the first quarter, now owning 541,714 shares valued at $74.63 million after the acquisition of the additional 1.57 million shares during the last quarter. At the present, 76.50% of MIME shares are in the ownership of institutional investors.