Bandwidth Inc.

NasdaqGS:BAND Stock Report

Market Cap: US$493.8m

Bandwidth Valuation

Is BAND undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of BAND when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: BAND ($17.99) is trading below our estimate of fair value ($140.31)

Significantly Below Fair Value: BAND is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for BAND?

Key metric: As BAND is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for BAND. This is calculated by dividing BAND's market cap by their current revenue.
What is BAND's PS Ratio?
PS Ratio0.7x
SalesUS$703.90m
Market CapUS$493.81m

Price to Sales Ratio vs Peers

How does BAND's PS Ratio compare to its peers?

The above table shows the PS ratio for BAND vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average2.1x
LILA Liberty Latin America
0.3x3.4%US$1.4b
SIFY Sify Technologies
0.2x27.0%US$87.7m
IRDM Iridium Communications
3.9x3.9%US$3.1b
CCOI Cogent Communications Holdings
4x7.3%US$3.8b
BAND Bandwidth
0.7x8.6%US$493.8m

Price-To-Sales vs Peers: BAND is good value based on its Price-To-Sales Ratio (0.7x) compared to the peer average (2.1x).

Price to Sales Ratio vs Industry

How does BAND's PS Ratio compare vs other companies in the US Telecom Industry?

13 CompaniesPrice / SalesEstimated GrowthMarket Cap
LILA Liberty Latin America
0.3x3.4%US$1.37b
ATNI ATN International
0.4x-0.1%US$285.33m
SIFY Sify Technologies
0.2x27.0%US$87.69m
IQST iQSTEL
0.1xn/aUS$28.88m
BAND 0.7xIndustry Avg. 1.3xNo. of Companies13PS01.63.24.86.48+
13 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: BAND is good value based on its Price-To-Sales Ratio (0.7x) compared to the US Telecom industry average (1.3x).

Price to Sales Ratio vs Fair Ratio

What is BAND's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

BAND PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.7x
Fair PS Ratio0.7x

Price-To-Sales vs Fair Ratio: BAND is expensive based on its Price-To-Sales Ratio (0.7x) compared to the estimated Fair Price-To-Sales Ratio (0.7x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst BAND forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$17.99
US$24.40
+35.6%
26.0%US$36.00US$17.00n/a5
Nov ’25US$18.70
US$24.40
+30.5%
26.0%US$36.00US$17.00n/a5
Oct ’25US$17.20
US$23.00
+33.7%
31.0%US$36.00US$16.00n/a5
Sep ’25US$17.16
US$24.50
+42.8%
29.9%US$36.00US$16.00n/a6
Aug ’25US$15.97
US$25.50
+59.7%
27.1%US$36.00US$16.00n/a6
Jul ’25US$17.29
US$26.00
+50.4%
27.1%US$36.00US$15.00n/a6
Jun ’25US$20.13
US$26.50
+31.6%
23.8%US$36.00US$18.00n/a6
May ’25US$18.75
US$23.71
+26.5%
32.6%US$38.00US$14.00n/a7
Apr ’25US$17.50
US$23.71
+35.5%
32.6%US$38.00US$14.00n/a7
Mar ’25US$20.69
US$23.71
+14.6%
32.6%US$38.00US$14.00n/a7
Feb ’25US$14.07
US$20.57
+46.2%
43.0%US$36.00US$13.00n/a7
Jan ’25US$14.47
US$20.14
+39.2%
45.3%US$36.00US$13.00n/a7
Dec ’24US$11.85
US$20.14
+70.0%
45.3%US$36.00US$13.00n/a7
Nov ’24US$10.58
US$21.43
+102.5%
38.6%US$36.00US$13.00US$18.707
Oct ’24US$11.27
US$21.00
+86.3%
36.8%US$36.00US$15.00US$17.208
Sep ’24US$14.45
US$21.00
+45.3%
36.8%US$36.00US$15.00US$17.168
Aug ’24US$14.99
US$20.25
+35.1%
37.0%US$34.00US$14.00US$15.978
Jul ’24US$13.68
US$20.00
+46.2%
38.3%US$34.00US$14.00US$17.298
Jun ’24US$12.06
US$20.00
+65.8%
38.3%US$34.00US$14.00US$20.138
May ’24US$12.20
US$24.50
+100.8%
23.2%US$34.00US$18.00US$18.758
Apr ’24US$15.20
US$24.50
+61.2%
23.2%US$34.00US$18.00US$17.508
Mar ’24US$15.37
US$27.38
+78.1%
42.2%US$55.00US$18.00US$20.698
Feb ’24US$25.08
US$29.13
+16.1%
38.0%US$55.00US$17.00US$14.078
Jan ’24US$22.95
US$27.25
+18.7%
43.5%US$55.00US$17.00US$14.478
Dec ’23US$22.72
US$26.25
+15.5%
47.6%US$55.00US$15.00US$11.858
Nov ’23US$12.30
US$28.57
+132.3%
56.1%US$55.00US$13.00US$10.587

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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