SolarWinds Corp (SWI) Shares Rise Despite Market Challenges

SolarWinds Corp (NYSE: SWI) has experienced a rise in its stock price by 0.11 compared to its previous closing price of 18.32. However, the company has seen a gain of 0.11% in its stock price over the last five trading days. businesswire.com reported 2025-03-03 that AUSTIN, Texas–(BUSINESS WIRE)–SolarWinds (NYSE:SWI), a leading provider of simple, powerful, secure observability and IT management software, today announced that it has signed an agreement to acquire Squadcast, a customer-loved incident response solution company based in San Francisco. Squadcast, an advanced alternative to PagerDuty and OpsGenie, unites on-call alerting and incident response along with Site Reliability Engineering (SRE) workflows under one hood to automate human tasks effici.

Is It Worth Investing in SolarWinds Corp (NYSE: SWI) Right Now?

SolarWinds Corp (NYSE: SWI) has a price-to-earnings ratio that is above its average at 28.63x. The stock has a 36-month beta value of 0.91. Opinions on the stock are mixed, with 0 analysts rating it as a “buy,” 0 as “overweight,” 7 as “hold,” and 0 as “sell.”

The public float for SWI is 51.86M, and at present, short sellers hold a 2.72% of that float. On March 06, 2025, the average trading volume of SWI was 948.71K shares.

SWI’s Market Performance

SWI’s stock has seen a 0.11% increase for the week, with a 22.51% rise in the past month and a 37.38% gain in the past quarter. The volatility ratio for the week is 0.44%, and the volatility levels for the past 30 days are at 0.67% for SolarWinds Corp. The simple moving average for the past 20 days is 1.97% for SWI’s stock, with a 36.95% simple moving average for the past 200 days.

Analysts’ Opinion of SWI

Wedbush, on the other hand, stated in their research note that they expect to see SWI reach a price target of $20. The rating they have provided for SWI stocks is “Outperform” according to the report published on December 19th, 2024.

SWI Trading at 15.97% from the 50-Day Moving Average

After a stumble in the market that brought SWI to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -1.13% of loss for the given period.

Volatility was left at 0.67%, however, over the last 30 days, the volatility rate increased by 0.44%, as shares surge +22.35% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +32.04% upper at present.

During the last 5 trading sessions, SWI rose by +0.11%, which changed the moving average for the period of 200-days by +52.20% in comparison to the 20-day moving average, which settled at $17.99. In addition, SolarWinds Corp saw 28.70% in overturn over a single year, with a tendency to cut further gains.

Insider Trading

Reports are indicating that there were more than several insider trading activities at SWI starting from Ramakrishna Sudhakar, who sale 200,000 shares at the price of $13.68 back on Nov 07 ’24. After this action, Ramakrishna Sudhakar now owns 2,212,171 shares of SolarWinds Corp, valued at $2,736,000 using the latest closing price.

BOCK WILLIAM G, the Director of SolarWinds Corp, sale 16,000 shares at $13.13 during a trade that took place back on Nov 05 ’24, which means that BOCK WILLIAM G is holding 88,857 shares at $210,080 based on the most recent closing price.

Stock Fundamentals for SWI

Current profitability levels for the company are sitting at:

  • 0.28 for the present operating margin
  • 0.87 for the gross margin

The net margin for SolarWinds Corp stands at 0.14. The total capital return value is set at 0.08. Equity return is now at value 7.87, with 3.49 for asset returns.

Based on SolarWinds Corp (SWI), the company’s capital structure generated 0.04 points at debt to capital in total, while cash flow to debt ratio is standing at 3.05. The debt to equity ratio resting at 0.04. The interest coverage ratio of the stock is 2.12.

Currently, EBITDA for the company is 208.42 million with net debt to EBITDA at -0.67. When we switch over and look at the enterprise to sales, we see a ratio of 3.71. The receivables turnover for the company is 7.03for trailing twelve months and the total asset turnover is 0.25. The liquidity ratio also appears to be rather interesting for investors as it stands at 0.85.

Conclusion

To sum up, SolarWinds Corp (SWI) has seen a better performance recently. Analysts have differing views on the stock, with some seeing it as a “buy” and others as a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.

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