Switch (NYSE:SWCH) Announces Earnings Results

Switch (NYSE:SWCHGet Rating) announced its earnings results on Tuesday. The company reported $0.04 earnings per share for the quarter, missing analysts’ consensus estimates of $0.05 by ($0.01), MarketWatch Earnings reports. The business had revenue of $164.60 million during the quarter, compared to analyst estimates of $163.82 million. Switch had a net margin of 0.91% and a return on equity of 3.50%. The business’s quarterly revenue was up 25.7% compared to the same quarter last year. During the same quarter last year, the business posted $0.08 earnings per share. Switch updated its FY 2022 guidance to EPS.

NYSE:SWCH opened at $30.75 on Wednesday. Switch has a 1 year low of $17.72 and a 1 year high of $32.78. The firm has a 50-day simple moving average of $29.81. The firm has a market capitalization of $7.51 billion, a PE ratio of 615.00 and a beta of 0.71. The company has a current ratio of 0.50, a quick ratio of 0.50 and a debt-to-equity ratio of 2.70.

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, March 22nd. Investors of record on Friday, March 11th were paid a dividend of $0.052 per share. This represents a $0.21 annualized dividend and a yield of 0.68%. The ex-dividend date of this dividend was Thursday, March 10th. Switch’s payout ratio is presently 420.00%.

In related news, Director Thomas A. Thomas sold 40,000 shares of the firm’s stock in a transaction on Monday, April 18th. The shares were sold at an average price of $30.73, for a total transaction of $1,229,200.00. Following the sale, the director now directly owns 2,658,397 shares in the company, valued at $81,692,539.81. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. 29.18% of the stock is owned by corporate insiders.

Institutional investors and hedge funds have recently modified their holdings of the company. Norges Bank bought a new stake in shares of Switch in the fourth quarter worth $8,773,000. Vident Investment Advisory LLC lifted its stake in Switch by 16.6% in the 4th quarter. Vident Investment Advisory LLC now owns 14,028 shares of the company’s stock valued at $402,000 after purchasing an additional 1,993 shares during the last quarter. Parametric Portfolio Associates LLC grew its holdings in Switch by 4.1% during the fourth quarter. Parametric Portfolio Associates LLC now owns 349,772 shares of the company’s stock worth $10,017,000 after purchasing an additional 13,675 shares during the period. Thrivent Financial for Lutherans increased its position in Switch by 5.3% during the fourth quarter. Thrivent Financial for Lutherans now owns 57,101 shares of the company’s stock worth $1,635,000 after buying an additional 2,866 shares during the last quarter. Finally, Glenmede Trust Co. NA raised its stake in Switch by 71.8% in the fourth quarter. Glenmede Trust Co. NA now owns 101,116 shares of the company’s stock valued at $2,895,000 after buying an additional 42,269 shares during the period. 51.25% of the stock is owned by institutional investors.

A number of brokerages have recently issued reports on SWCH. Wells Fargo & Company lowered shares of Switch from an “overweight” rating to an “equal weight” rating and upped their target price for the stock from $28.00 to $31.00 in a research report on Friday, March 25th. Zacks Investment Research downgraded Switch from a “hold” rating to a “sell” rating in a research report on Tuesday, May 3rd. Barclays raised their price target on Switch from $28.00 to $30.00 and gave the company an “overweight” rating in a report on Friday, January 14th. Credit Suisse Group boosted their price objective on Switch from $28.00 to $35.00 and gave the stock an “outperform” rating in a report on Thursday, April 7th. Finally, TheStreet cut shares of Switch from a “b-” rating to a “c-” rating in a research report on Friday, February 25th. One equities research analyst has rated the stock with a sell rating, one has given a hold rating, eight have assigned a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat.com, Switch currently has a consensus rating of “Buy” and an average price target of $29.91.

Switch Company Profile (Get Rating)

Switch, Inc, through its subsidiary, Switch, Ltd., provides colocation space and related services. It develops and operates data centers in Nevada, Michigan, and Georgia. The company serves technology and digital media companies, financial institutions, government agencies, and network and telecommunications providers, as well as cloud, IT, and software providers.

Further Reading

Earnings History for Switch (NYSE:SWCH)

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