What Happened?
Shares of online payroll and human resource software provider Asure (NASDAQ:ASUR) jumped 13.6% in the morning session after Lake Street analyst Eric Martinuzzi upgraded the stock's rating from Hold to Buy. The analyst also raised the price target from $9 to $13.
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What The Market Is Telling Us
Asure’s shares are quite volatile and have had 15 moves greater than 5% over the last year. But moves this big are rare even for Asure and indicate this news significantly impacted the market’s perception of the business.
The biggest move we wrote about over the last year was 2 months ago when the stock dropped 22.3% on the news that the company reported weak third-quarter earnings, which missed on most of the key metrics we track, including revenue, EBITDA, and EPS. Notably, given the weak performance during the quarter, full-year sales and EBITDA margin guidance provided for FY'24 implied a downward correction, which is never a good sign. Overall, this was a pretty bad quarter.
Asure is up 19.1% since the beginning of the year, and at $11.28 per share, has set a new 52-week high. Investors who bought $1,000 worth of Asure’s shares 5 years ago would now be looking at an investment worth $1,382.
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