Everbridge (EVBG) Stock Trades Up, Here Is Why

What Happened:

Shares of critical event management software company Everbridge (NASDAQ:EVBG) jumped 6.41% in the pre-market session after analyst Scott Berg of Needham upgraded the stock's rating from Hold to Buy and maintained a price target of $35. The price target implied a potential 29% upside from where shares were traded when the report was released.

What is the market telling us:

Everbridge's shares are quite volatile and over the last year have had 48 moves greater than 5%. In context of that, today's move is indicating the market considers this news meaningful but not something that would fundamentally change its perception of the business. The previous big move was 3 months ago, when the company dropped 6.82% on the news that Florida terminated its contract with the company after a false “Emergency Alert” test was mistakenly sent out to smartphones at 4:45 a.m. Following the news, Stephens analyst downgraded the stock's rating from Overweight (Buy) to Equal-Weight (Hold).

Everbridge is up 1.57% since the beginning of the year, but at $29.13 per share it is still trading 30.6% below its 52-week high of $41.99 from August 2022. Investors who bought $1,000 worth of Everbridge's shares 5 years ago would now be looking at an investment worth $602.94.

Is now the time to buy Everbridge? Access our full analysis of the earnings results here, it's free.