# Bandwidth Inc. (BAND)

> Source: Nexqual · https://nexqual.com/BAND · data as of 2026-10-22 20:00 UTC · cite as "Nexqual, Bandwidth Inc. (BAND), nexqual.com/BAND" · informational, not investment advice.

**Price:** USD 40.5 (-13.50% on the day) · last close of Oct 22, 2026; US market pre market, not a live price. Prev close 46.82 · day 38.77–46.39 · 52w 12.5–79.08 · market cap $1.30B · NMS

## Key facts
- Last four reported quarters (through Jun 30, 2026): revenue $828M, net income $2.3M (0.3% margin) (SEC filings).
- Valuation: P/E 575.7x, EV/EBITDA 62.1x, net debt $156M.
- Insider open-market sales, last ~7 months: 37 Form 4 filings, $16.5M; 24 not under a Rule 10b5-1 plan ($11.6M); 11 by opportunistic insiders (9 outside 10b5-1 plans), 15 by routine insiders (three-year test, Cohen, Malloy & Pomorski 2012).
- Analysts: Buy (mean 2.14 on a 1–5 scale) (7 analysts), mean target USD 66.5 (range 52–86).
- Total return with dividends: 1Y +147.6% vs S&P 500 +14.9%; 5Y -53.9% vs S&P 500 +80.3%.
- Next earnings: 2026-10-29, EPS estimate USD 0.47, revenue estimate $233M.

## Financials (SEC 10-K; TTM = last four 10-Q/10-K quarters)
| USD | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | TTM |
|---|---|---|---|---|---|---|
| Revenue | $491M | $573M | $601M | $748M | $754M | $828M |
| Gross profit | $214M | $238M | $236M | $280M | $295M | — |
| Operating income | -$2.2M | -$24.3M | -$35.5M | -$20.1M | -$14.4M | -$15.1M |
| Net income | -$27.4M | $19.6M | -$16.3M | -$6.5M | -$12.9M | $2.3M |
| EPS (diluted) | -$1.09 | -$0.48 | -$0.64 | -$0.24 | -$0.43 | — |
| Gross margin | 43.6% | 41.6% | 39.3% | 37.4% | 39.1% | — |
| Operating margin | -0.5% | -4.2% | -5.9% | -2.7% | -1.9% | -1.8% |
| Net margin | -5.6% | 3.4% | -2.7% | -0.9% | -1.7% | 0.3% |
| Revenue growth | +43.1% | +16.8% | +4.9% | +24.5% | +0.7% | — |
| Cash + short-term investments | $331M | $185M | $153M | $83.8M | $111M | — |
| Total debt | $486M | $481M | $419M | $281M | $248M | — |
Fiscal years end Dec. EPS is split-adjusted.

## Valuation (price ÷ last four quarters, through Jun 30, 2026)
P/E 575.7x · P/S 1.6x · EV/EBITDA 62.1x · EV/Sales 1.8x · P/B 3.5x · Earnings yield 0.17% · Net debt $156M · EV $1.46B

## Insider sales (SEC Form 4, open-market, last ~7 months)
13 of 37 under a Rule 10b5-1 trading plan (scheduled in advance). Unplanned sales were timed by the insider.
| Trade date | Insider | Role | Shares | Value | % of holdings sold | 10b5-1 plan | Insider type |
|---|---|---|---|---|---|---|---|
| 2026-10-16 | Roush Lukas M. | Director | 1,500 | $74K | 2.5% | Yes (adopted May 28, 2026) | Too little history (no open-market trades in 2025) |
| 2026-09-16 | Roush Lukas M. | Director | 1,500 | $73K | 2.4% | Yes (adopted May 28, 2026) | Too little history (no open-market trades in 2025) |
| 2026-09-02 | Ross Kade | Chief Information Officer | 4,000 | $193K | 8.3% | Yes (adopted November 24, 2025) | Routine (sold in May each year 2023–2025; this trade is outside those months) |
| 2026-09-02 | Raiford Daryl E | Chief Financial Officer | 7,227 | $354K | 20.2% | Yes (adopted December 3, 2025) | Routine (sold in Jul each year 2023–2025; this trade is outside those months) |
| 2026-09-01 | Krupka Devin M | Controller, PAO | 3,074 | $151K | 20.4% | Yes (adopted March 13, 2026) | Opportunistic (traded every year 2023–2025, no repeating month) |
| 2026-08-31 | Krupka Devin M | Controller, PAO | 1,219 | $60K | 7.5% | No | Opportunistic (traded every year 2023–2025, no repeating month) |
| 2026-08-31 | Asbill Richard Brandon | General Counsel | 1,832 | $90K | 19.5% | No | Opportunistic (traded every year 2023–2025, no repeating month) |
| 2026-08-31 | Ross Kade | Chief Information Officer | 1,616 | $79K | 3.3% | No | Routine (sold in May each year 2023–2025; this trade is outside those months) |
| 2026-08-31 | Bottorff Rebecca | Chief People Officer | 2,713 | $133K | 20.2% | No | Routine (sold in Jan each year 2023–2025; this trade is outside those months) |
| 2026-08-31 | Agarwal Devesh | Chief Operating Officer | 4,869 | $239K | 5.8% | No | Too little history (no open-market trades in 2023) |
| 2026-08-31 | Raiford Daryl E | Chief Financial Officer | 4,673 | $230K | 11.5% | No | Routine (sold in Jul each year 2023–2025; this trade is outside those months) |
| 2026-08-31 | Morken David A. | Chairman & CEO | 5,128 | $252K | 43.3% | No | Opportunistic (traded every year 2023–2025, no repeating month) |
| 2026-08-27 | Roush Lukas M. | Director | 1,500 | $71K | 2.4% | Yes (adopted May 28, 2026) | Too little history (no open-market trades in 2025) |
| 2026-08-17 | Suriano Douglas A | Director | 4,000 | $212K | 8.7% | Yes (adopted May 18, 2026) | Too little history (no open-market trades in 2024 or 2025) |
| 2026-08-10 | Agarwal Devesh | Chief Operating Officer | 3,173 | $160K | 4.2% | No | Too little history (no open-market trades in 2023) |
| 2026-06-12 | Krupka Devin M | Controller, PAO | 14,413 | $943K | 54.7% | Yes (adopted March 13, 2026) | Opportunistic (traded every year 2023–2025, no repeating month) |
| 2026-06-05 | Asbill Richard Brandon | General Counsel | 29,214 | $2.1M | 90.7% | No | Opportunistic (traded every year 2023–2025, no repeating month) |
| 2026-06-02 | Ross Kade | Chief Information Officer | 4,000 | $278K | 8.3% | Yes (adopted November 24, 2025) | Routine (sold in May each year 2023–2025; this trade is outside those months) |
| 2026-06-01…2026-06-02 | Raiford Daryl E | Chief Financial Officer | 14,314 | $985K | 33.4% | Yes (adopted December 3, 2025) | Routine (sold in Jul each year 2023–2025; this trade is outside those months) |
| 2026-05-29…2026-06-01 | Raiford Daryl E | Chief Financial Officer | 8,189 | $504K | 16% | No | Routine (sold in Jul each year 2023–2025; this trade is outside those months) |
% of holdings sold = shares sold ÷ (shares sold + all holdings the insider reported on that Form 4, direct and through trusts).
Insider type follows Cohen, Malloy & Pomorski (Journal of Finance, 2012). An insider who traded the stock in the same calendar month in each of the past three years is a routine trader; one who traded in each of those years without such a pattern is an opportunistic trader. In their study, trades by opportunistic insiders predicted future returns and trades by routine insiders did not. Counts open-market purchases and sales only (SEC Form 4 codes P and S) by that insider in that company. Not investment advice.

## Analysts
Consensus Buy (mean 2.14 on a 1–5 scale), 7 analysts; mean target USD 66.5 (low 52, high 86).
Rating changes, last 120 days:
| Date | Firm | Action | Rating | Price target |
|---|---|---|---|---|
| 2026-10-16 | Morgan Stanley | Initiated | Equal-Weight | $56 |
| 2026-09-16 | B of A Securities | Initiated | Neutral | $60 |
| 2026-08-19 | Piper Sandler | Target raised | Neutral | $38 → $52 |
| 2026-07-20 | Citizens | Target raised | Market Outperform | $70 → $86 |
| 2026-07-09 | B. Riley Securities | Target raised | Buy | $55 → $85 |

## Total return (dividends reinvested)
|  | 1Y (from 2025-10-23) | 5Y (from 2021-10-18) |
|---|---|---|
| Total return | +147.6% | -53.9% |
| S&P 500 (SPY) | +14.9% | +80.3% |
| Per year | +148.3% | -14.3% |
| Volatility (annualized) | 94.3% | 86.4% |
| Max drawdown | -52.9% (Jul 2026→Jul 2026) | -89.3% (Oct 2021→Oct 2022) |

## Peers (Software - Infrastructure)
PAY (Paymentus Holdings, Inc.) USD 34.07 +3.06% · DLO (DLocal Limited) USD 14.84 -2.05% · BLSH (Bullish) USD 29.19 -1.95% · TENB (Tenable Holdings, Inc.) USD 42 +3.27% · BB (BlackBerry Limited) USD 8.59 -8.71% · RELY (Remitly Global, Inc.) USD 25.32 -0.39%

## More
Full page: https://nexqual.com/BAND · Free keyless MCP server with the same data and citations: https://mcp.nexqual.com/mcp · Guide for agents: https://nexqual.com/agents · https://nexqual.com/llms.txt

## Supply chain and relationships (SEC annual reports)

Named in BAND's own 10-K filed 2026-02-19 (https://www.sec.gov/Archives/edgar/data/1514416/000151441626000017/band-20251231.htm):

| Relationship | Company | Sentence in the filing |
|---|---|---|
| Partner | Cisco (CSCO) | "•UCaaS Integrations: We have BYOC partnerships with leading UCaaS platforms, including Microsoft Teams Direct Routing and Operator Connect, Zoom Phone Provider Exchange, Webex Calling by Cisco, and Google Voice for Googl…" |
| Partner | OpenAI | "We believe it is the most open and flexible solution for enterprises to integrate conversational AI into cloud communications, through Native AI within CCaaS platforms, pre-built partner integrations, Bring Your Own AI w…" |
| Partner | Microsoft (MSFT) | "•UCaaS Integrations: We have BYOC partnerships with leading UCaaS platforms, including Microsoft Teams Direct Routing and Operator Connect, Zoom Phone Provider Exchange, Webex Calling by Cisco, and Google Voice for Googl…" |
| Partner | Alphabet (Google) (GOOGL) | "•UCaaS Integrations: We have BYOC partnerships with leading UCaaS platforms, including Microsoft Teams Direct Routing and Operator Connect, Zoom Phone Provider Exchange, Webex Calling by Cisco, and Google Voice for Googl…" |
| Partner | Amazon (AMZN) | "•Speech-to-Text/Text-to-Speech: Our partnership with Amazon Web Services STT/TTS provides access to AWS's speech-to-text and text-to-speech solutions to enable virtual agents with Bandwidth Maestro." |
| Competitor | AT&T (T) | "With respect to local services, incumbent local exchange carriers ("ILECs") such as AT&T are required to allow interconnection to their incumbent networks and to provide access to network facilities, as well as several o…" |

## Revenue by product line (fiscal year ended 2025-12-31)

| Line | Revenue | Share | YoY |
|---|---|---|---|
| Cloud Communications | $561.4M | 74.5% | +4.0% |
| — C Paa S Usage Based Fees (part of Cloud Communications) | $414.5M | 55.0% | +3.3% |
| — C Paa S Service Fees (part of Cloud Communications) | $146.9M | 19.5% | +6.1% |
| Messaging Surcharges | $192.4M | 25.5% | -7.8% |
| Total revenue | $753.8M | 100% | — |

## Revenue by region (quarter ended 2026-06-30)

| Line | Revenue | Share | YoY |
|---|---|---|---|
| United States | $194.1M | 88.3% | +24.0% |
| International | $25.8M | 11.7% | +10.1% |
| Total revenue | $219.9M | 100% | — |

## Company outlook (8-K filed 2026-07-29)

- "Bandwidth has not reconciled its third quarter and full year 2026 guidance related to (i) Adjusted EBITDA to GAAP net income or loss, (ii) non-GAAP net earnings or loss to GAAP net earnings or loss or (iii) non-GAAP earnings or loss per share to GAAP earnings or loss per share, because stock-based compensation cannot be reasonably calculated or predicted at this time."

## Analyst estimates and revisions

| Period | EPS est. | 90d ago | Change | Revenue est. | Analysts |
|---|---|---|---|---|---|
| Current quarter (ends 2026-09-30) | $0.47 | $0.46 | +3.4% | $233.1M | 7 |
| Next quarter (ends 2026-12-31) | $0.51 | $0.56 | -8.8% | $244.0M | 7 |
| Current fiscal year (ends 2026-12-31) | $1.75 | $1.80 | -2.9% | $905.7M | 7 |
| Next fiscal year (ends 2027-12-31) | $1.93 | $2.26 | -14.5% | $944.8M | 7 |

## Options: expected move (Cboe, 15-min delayed)

Expected move by 2026-11-20 (includes earnings 2026-10-29): ±28.6%; last 8 reports averaged ±20.8%.

| Expiration | Days | ATM IV | Expected move |
|---|---|---|---|
| 2026-11-20 | 28 | 129.7% | ±28.6% |
| 2026-12-18 | 56 | 108.3% | ±33.4% |
| 2027-02-19 | 119 | 102.5% | ±45.4% |
| 2027-03-19 | 147 | 96.9% | ±47.5% |
| 2027-05-21 | 210 | 95.1% | ±55.3% |