SecureWorks (NASDAQ:SCWX) Sees Large Volume Increase – Still a Buy?

SecureWorks Corp. (NASDAQ:SCWX) saw unusually-strong trading volume on Friday . Approximately 59,843 shares changed hands during trading, a decline of 21% from the previous session’s volume of 75,958 shares.The stock last traded at $8.37 and had previously closed at $8.37.

Analysts Set New Price Targets

Several research firms recently commented on SCWX. StockNews.com assumed coverage on shares of SecureWorks in a research report on Friday, November 8th. They issued a “hold” rating for the company. Barclays raised their price target on SecureWorks from $6.00 to $7.00 and gave the stock an “underweight” rating in a report on Friday, September 6th. Finally, Needham & Company LLC restated a “hold” rating on shares of SecureWorks in a research note on Tuesday, October 22nd.

SecureWorks Stock Performance

The company has a 50-day simple moving average of $8.13 and a 200-day simple moving average of $7.28.

SecureWorks (NASDAQ:SCWX) last released its quarterly earnings data 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 business had revenue of $82.18 million during the quarter, compared to analysts’ expectations of $80.98 million. SecureWorks had a negative return on equity of 4.94% and a negative net margin of 21.23%. Sell-side analysts forecast that SecureWorks Corp. will post -0.29 earnings per share for the current fiscal year.

Institutional Trading of SecureWorks

A number of institutional investors have recently added to or reduced their stakes in the stock. Marshall Wace LLP increased its holdings in SecureWorks by 11.6% in the second quarter. Marshall Wace LLP now owns 49,997 shares of the technology company’s stock valued at $350,000 after buying an additional 5,205 shares in the last quarter. Scalar Gauge Management LLC increased its stake in SecureWorks by 18.8% in the 2nd quarter. Scalar Gauge Management LLC now owns 316,137 shares of the technology company’s stock valued at $2,213,000 after purchasing an additional 50,000 shares in the last quarter. Dimensional Fund Advisors LP raised its holdings in SecureWorks by 4.9% during the second quarter. Dimensional Fund Advisors LP now owns 351,763 shares of the technology company’s stock worth $2,462,000 after purchasing an additional 16,327 shares during the last quarter. Oppenheimer Asset Management Inc. raised its holdings in SecureWorks by 107.0% during the second quarter. Oppenheimer Asset Management Inc. now owns 38,180 shares of the technology company’s stock worth $267,000 after purchasing an additional 19,735 shares during the last quarter. Finally, Jaffetilchin Investment Partners LLC purchased a new stake in SecureWorks during the second quarter worth $127,000. Hedge funds and other institutional investors own 14.38% of the company’s stock.

SecureWorks Company Profile

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.