Investors Sell Shares of Red Hat (RHT) on Strength (RHT)

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Traders sold shares of Red Hat Inc (NYSE:RHT) on strength during trading hours on Monday. $969.50 million flowed into the stock on the tick-up and $1,107.57 million flowed out of the stock on the tick-down, for a money net flow of $138.07 million out of the stock. Of all stocks tracked, Red Hat had the 0th highest net out-flow for the day. Red Hat traded up $52.95 for the day and closed at $169.63

RHT has been the topic of several research reports. Royal Bank of Canada upped their price objective on Red Hat to $190.00 in a research note on Monday. Nomura cut their price objective on Red Hat from $182.00 to $175.00 and set a “buy” rating on the stock in a research note on Thursday, September 20th. Stifel Nicolaus cut their price objective on Red Hat from $172.00 to $160.00 and set a “buy” rating on the stock in a research note on Thursday, September 20th. Citigroup lowered their target price on Red Hat from $167.00 to $163.00 and set a “buy” rating for the company in a report on Thursday, September 20th. Finally, Needham & Company LLC initiated coverage on Red Hat in a report on Monday, October 22nd. They set a “buy” rating and a $183.00 target price for the company. One research analyst has rated the stock with a sell rating, thirteen have assigned a hold rating, sixteen have given a buy rating and one has given a strong buy rating to the company’s stock. Red Hat currently has a consensus rating of “Buy” and an average target price of $162.03.

The firm has a market capitalization of $20.53 billion, a PE ratio of 73.75, a P/E/G ratio of 3.03 and a beta of 1.14. The company has a debt-to-equity ratio of 0.40, a current ratio of 1.23 and a quick ratio of 1.23.

Red Hat (NYSE:RHT) last issued its quarterly earnings data on Wednesday, September 19th. The open-source software company reported $0.85 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.82 by $0.03. Red Hat had a return on equity of 31.80% and a net margin of 9.15%. The business had revenue of $822.75 million during the quarter, compared to analyst estimates of $828.12 million. During the same period in the prior year, the company posted $0.77 EPS. The business’s revenue for the quarter was up 13.7% compared to the same quarter last year. Sell-side analysts anticipate that Red Hat Inc will post 2.57 EPS for the current year.

In related news, EVP Delisa Alexander sold 960 shares of the stock in a transaction that occurred on Wednesday, October 17th. The stock was sold at an average price of $125.03, for a total value of $120,028.80. Following the completion of the transaction, the executive vice president now directly owns 33,217 shares of the company’s stock, valued at approximately $4,153,121.51. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, CEO James M. Whitehurst sold 2,513 shares of the stock in a transaction that occurred on Wednesday, October 17th. The stock was sold at an average price of $125.03, for a total value of $314,200.39. Following the completion of the transaction, the chief executive officer now directly owns 361,627 shares of the company’s stock, valued at $45,214,223.81. The disclosure for this sale can be found here. Insiders sold a total of 48,103 shares of company stock valued at $6,793,912 over the last three months. Corporate insiders own 0.58% of the company’s stock.

Hedge funds have recently modified their holdings of the stock. Mount Yale Investment Advisors LLC bought a new position in Red Hat in the 1st quarter worth approximately $103,000. Migdal Insurance & Financial Holdings Ltd. grew its holdings in Red Hat by 16,350.0% in the 2nd quarter. Migdal Insurance & Financial Holdings Ltd. now owns 987 shares of the open-source software company’s stock worth $133,000 after buying an additional 981 shares in the last quarter. Quad Cities Investment Group LLC bought a new position in Red Hat in the 2nd quarter worth approximately $134,000. Truvestments Capital LLC bought a new position in Red Hat in the 3rd quarter worth approximately $138,000. Finally, Financial Architects Inc grew its holdings in Red Hat by 95.2% in the 2nd quarter. Financial Architects Inc now owns 1,025 shares of the open-source software company’s stock worth $137,000 after buying an additional 500 shares in the last quarter. 96.06% of the stock is owned by institutional investors and hedge funds.

Red Hat Company Profile (NYSE:RHT)

Red Hat, Inc provides open source software solutions to develop and offer operating system, virtualization, management, middleware, cloud, mobile, and storage technologies to various enterprises worldwide. It offers infrastructure-related solutions, such as Red Hat Enterprise Linux, an operating system platform that runs on hardware for use in hybrid cloud environments; Red Hat Satellite, a system management offering that helps to deploy, scale, and manage in hybrid cloud environments; and Red Hat Enterprise Virtualization, a software solution that allows customers to utilize and manage a common hardware infrastructure to run multiple operating systems and applications.

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