Splunk stock: buy or sell?
September 20th, 2019
Splunk Inc. provides software solutions that enable organizations to gain real-time operational intelligence in the United States and internationally.
Should I buy Splunk stock?Make a decision about when to buy or sell stocks is one of the hardest parts of being a trader or investor. Having a trading plan helps to make decisions easier, quicker and with less hesitations. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.
None of our preferred buy setups matches with Splunk stock situation right now, hence this is not a suitable entry point.
|New all-time high||No|
|New 52 week high||No|
|Price crossing up 200d MA||No|
|100d MA crossing up 200d MA||No|
Is Splunk stock a buy?
Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness.At Stocks2.com, we collected 15 ratings published for SPLK stock in the last month. The general sentiment of these ratings is bullish for SPLK stock, with 11 positive ratings.
|Date||Analyst / Broker||Previous rating||Current rating|
|2019-9-19||Bank of America||n/a||Buy|
|2019-9-17||JPMorgan Chase & Co.||Neutral||Overweight|
|2019-8-22||Robert W. Baird||Outperform||Neutral|
|2019-8-22||Needham & Company LLC||n/a||Buy|
|2019-8-22||Credit Suisse Group||n/a||Outperform|
|2019-8-22||BMO Capital Markets||n/a||Outperform|
|2019-6-7||Goldman Sachs Group||n/a||Neutral|
|2019-6-24||Piper Jaffray Companies||n/a||Overweight|
|2019-3-19||Morgan Stanley||Equal Weight||Hold|
Splunk stock analysis
Splunk shares remained constant -0.23% to $121.60 today.
Splunk shares remained stable -0.23% to $121.60 today. Since August 22nd when SPLK stock price broke down the SMA200d line, it slid $-6.86 per share (-5.34%).
Splunk climbed an exceptional 7.00% this week. Late August SPLK plummed a spooky -6.03% in just one week.
Since mid August, when SPLK stock price broke down the 40-weeks moving avarage line, it slid $-3.19 per share (-2.56%). Trading stocks that are under the 40-weeks (that is, 200-days) moving average line is not recommended by many experts, as it indicates that the stock has not enough institutional support. Far behind is the all-time high Splunk hit late February and since then the price is -15.38% below that top.
Splunk stock price history
Splunk IPO was on April 19th, 2012 at $32.00 per share1. Since then, SPLK stock surged a 280.00%, with a yearly average of 40.00%. If you had invested $1,000 in Splunk stock in 2012, it would worth $2,800.00 today.
1: Adjusted price after possible price splits or reverse-splits.
Splunk stock historical price chart
SPLK stock reached all-time highs on March with a price of $143.70.
Splunk stock price target is $144.00Nobody can reliably foresee how stock prices may evolve in the future. However, many stock price predictions are published every day by banks, financial institutions and independent analysts. You should not follow the analysts' SPLK stock price predictions in the hope that they will be met as they may be wrong and not met. We have 14 price predictions for Splunk stock released in the last month:
|Date||Analyst / Broker||Action||Previous target||Current target||Diff|
|2019-9-19||Bank of America||Reiterates||n/a||$167.00||-|
|2019-9-17||JPMorgan Chase & Co.||Upgrades||n/a||$130.00||-|
|2019-8-22||UBS Group||Lowers Target||$165.00||$150.00||-9.1%|
|2019-8-22||Robert W. Baird||Downgrades||n/a||$127.00||-|
|2019-8-22||Needham & Company LLC||Lowers Target||$165.00||$160.00||-3%|
|2019-8-22||Credit Suisse Group||Reiterates||$160.00||$150.00||-6.3%|
|2019-8-22||BMO Capital Markets||Reiterates||n/a||$155.00||-|
|2019-6-7||Goldman Sachs Group||Initiates||n/a||$119.00||-|
|2019-6-24||Piper Jaffray Companies||Reiterates||n/a||$160.00||-|
|2019-3-19||Morgan Stanley||Set Price Target||$121.00||$140.00||15.7%|
Financials and fundamental analysis
Earnings date and Earnings per ShareOn February, Splunk missed the estimates of the experts and posted a fatal EPS of $0.17 per share when experts were expecting $0.20.
|Quarter||Reporting date||Estimated EPS||Actual EPS||Surprise|
Annual financial resultsIn 2019, Splunk annual turnover climbed an exceptional 41.88% to $1,803.01 million USD from $1,270.79 marked in 2018. When comparing 2019 vs 2018, improving that, profit margin (that is, the net income divided by revenues) jumped a 5.10% to -15.28%.
|2014||$303 M||-||$-79.01 M-26.1%||-|
|2014||$451 M||48.99%||$-217.12 M-48.2%||174.80%|
|2015||$451 M||0.00%||$-217.12 M-48.2%||0.00%|
|2015||$668 M||48.25%||$-278.77 M-41.7%||28.40%|
|2016||$668 M||0.00%||$-278.77 M-41.7%||0.00%|
|2016||$950 M||42.12%||$-355.19 M-37.4%||27.41%|
|2017||$950 M||0.00%||$-355.19 M-37.4%||0.00%|
|2017||$1,270 M||33.69%||$-259.10 M-20.4%||-27.05%|
|2018||$1,271 M||0.06%||$-259.10 M-20.4%||0.00%|
|2019||$1,803 M||41.88%||$-275.58 M-15.3%||6.36%|
Quarterly financial resultsSplunk posted $622.09 M in revenues for 2019-Q1, a 29.34% up compared to previous quarter. Reported quarter earnings marked $2.13 M with a profit margin of 0.34%. Profit margin rocketed a 11.92% compared to previous quarter when profit margin was -11.58%. When comparing sales to same quarter last year, Splunk sales marked an extraordinary gain and boosted a 47.66%. Looking back to recent quarterly results, Splunk posted 3 positive quarters in a row.
|2017-Q2||$242 M||-||$-99.93 M-41.2%||-|
|2017-Q3||$280 M||15.47%||$-83.50 M-29.8%||-16.44%|
|2017-Q4||$329 M||17.39%||$-50.60 M-15.4%||-39.40%|
|2018-Q1||$421 M||28.19%||$-35.72 M-8.5%||-29.41%|
|2018-Q2||$312 M||-26.03%||$-118.50 M-38.0%||231.76%|
|2018-Q3||$388 M||24.60%||$-103.50 M-26.7%||-12.66%|
|2018-Q4||$481 M||23.87%||$-55.71 M-11.6%||-46.18%|
|2019-Q1||$622 M||29.34%||$2.13 M0.3%||-103.82%|
Splunk ownershipWhen you are planning to invest in shares of a company, it's worth to overview its ownership structure.
Splunk shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 0.42% of all shares.
Bearish positions for SPLK stock account 0.00%, no big difference from last month.
For a better context understanding, the next table shows ownership data compared to other related companies:
|Market cap||$18.3 B||$126.7 B||$1.2 B||$3.6 B||$1.9 B|
|Total shares||150.2 M||885.9 M||8.2 M||114.1 M||30.3 M|
|Float shares||150.4 M||884.5 M||8.2 M||112.6 M||29.8 M|
|- Institutional holdings (%)||95.0%||57.5%||96.6%||26.7%||87.6%|
|- Insider holdings (%)||0.4%||0.1%||0.1%||0.0%||3.7%|
|Shares in short selling||0.0%||0.0%||0.0%||0.0%||0.0%|
|Friday, September 20th, 2019|
|Day range||$118.69 - $121.98|
|Average true range||$3.85|
|50d mov avg||$124.63|
|100d mov avg||$125.06|
|200d mov avg||$123.75|
Splunk performanceStocks performance is always measured in comparision to the market or competitors and related stocks in the same industry. We compared Splunk against International Business Machines, MicroStrategy, Teradata and Varonis Systems in the following table:
Splunk competitorsOne check before trading any stock is to review a list of its competitors, in this case for Splunk. We chose 4 companies as Splunk competitors as they are in the same industry or have similar market objectives.
Latest Splunk stock news
- Seeking AlphaSplunk Is Still A Great Buying OpportunityJuly 8, 2019
- Seeking AlphaBuying Opportunity In Splunk StockJune 14, 2019
- Seeking AlphaSplunk: Better DealJune 13, 2019
- Seeking AlphaSplunk: What Is Going On In Its CaveMay 29, 2019
- InvestorPlaceSplunk Earnings: SPLK Stock Down Despite Q1 Earnings BeatMay 23, 2019