SecureWorks (NASDAQ:SCWX) Shares Gap Up – Here’s Why

SecureWorks Corp. (NASDAQ:SCWX)’s stock price gapped up prior to trading on Thursday . The stock had previously closed at $7.83, but opened at $8.07. SecureWorks shares last traded at $8.07, with a volume of 1,352 shares trading hands.

Analysts Set New Price Targets

Several brokerages have issued reports on SCWX. Barclays upped their price target on SecureWorks from $6.00 to $7.00 and gave the company an “underweight” rating in a research report on Friday, September 6th. Needham & Company LLC reaffirmed a “hold” rating on shares of SecureWorks in a report on Friday, September 6th.

SecureWorks Price Performance

The company’s 50-day moving average is $7.73 and its two-hundred day moving average is $6.89. The company has a market capitalization of $724.85 million, a P/E ratio of -9.60 and a beta of 0.99.

SecureWorks (NASDAQ:SCWX) last issued its quarterly earnings results on Thursday, September 5th. The technology company reported ($0.10) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.05) by ($0.05). The firm had revenue of $82.18 million for the quarter, compared to the consensus estimate of $80.98 million. SecureWorks had a negative return on equity of 4.94% and a negative net margin of 21.23%. On average, sell-side analysts predict that SecureWorks Corp. will post -0.25 EPS for the current year.

Hedge Funds Weigh In On SecureWorks

Several hedge funds have recently made changes to their positions in the business. Squarepoint Ops LLC purchased a new position in SecureWorks during the 2nd quarter valued at $121,000. Jaffetilchin Investment Partners LLC bought a new position in shares of SecureWorks in the 2nd quarter worth approximately $127,000. Oppenheimer Asset Management Inc. lifted its stake in shares of SecureWorks by 107.0% in the 2nd quarter. Oppenheimer Asset Management Inc. now owns 38,180 shares of the technology company’s stock valued at $267,000 after purchasing an additional 19,735 shares during the period. Marshall Wace LLP boosted its position in shares of SecureWorks by 11.6% during the second quarter. Marshall Wace LLP now owns 49,997 shares of the technology company’s stock valued at $350,000 after purchasing an additional 5,205 shares in the last quarter. Finally, King Luther Capital Management Corp bought a new position in SecureWorks in the second quarter worth $411,000. 14.38% of the stock is owned by hedge funds and other institutional investors.

About SecureWorks

SecureWorks Corp., through its subsidiaries, provides technology-driven information security solutions for protecting its customers in the United States and internationally. The company's solutions include software-as-a-service solutions; managed security services; and professional services, including incident response and penetration testing services.