West Corp (NASDAQ:WSTC) Receives Lower Rating From Goldman. What’s The Reasoning Behind This Move?


West Corp (NASDAQ:WSTC) Receives a Downgrade

The old rating for West Corp (NASDAQ:WSTC) shares of a “Neutral” has been discontinued, as stock research analysts at Goldman downgraded the current rating for West Corp (NASDAQ:WSTC) shares to a “Sell”.

Approximately 889,672 shares of stock traded hands or 230.97% up from the average. West Corp (NASDAQ:WSTC) has declined 27.89% since May 12, 2015 and is downtrending. It has underperformed by 24.22% the S&P500.

The overall sentiment of institutions has decreased to 1.15 in Q2 2015. Its down 1.25, from 2.4 in 2015Q2. The ratio dropped, as 31 institutions have sold all the shares of West Corp that they owned while 40 funds have taken shares off the table. 22 funds have purchased shares for the first time while 60 added to their positions. These institutions now hold 43.22 million shares or 6.12% less than the 46.04 million shares they owned in 2015Q2.

The Fund Quadrangle Gp Investors Llc currently is holding shares equating to 45.56% of its total portfolio in West Corp representing a total of 3.78 million shares. Another fund,West Family Investments Inc., is holding a total of 876,422 shares equating to 4.06% of their holdings. Additionally, Zebra Capital Management Llc has a 94,328 share stake in West Corp which represents 1.3% of their total portfolio. The Fund, Malaga Cove Capital Llc, based out of California, has also built up a stake in the stock, which represents a total of 1.2% of their total portfolio. Finally Piermont Capital Management Inc., a fund which is based in the state of Missouri reported a total holdings of 105,635 shares.

Insider activity is a very important aspect to track on any stock. Going back to March 17, 2015, shareholders of West Corp have witnessed 6 insider purchases, and a total of 10 selling transactions equating to a net activity of approximately $854.04 million . West Mary E bought 71,555 shares worth approximately $1.59M. West Gary L bought 71,557 shares worth approximately $1.56 million. Qcp Gp Investors Ii Llc sold 34,447 shares worth approximately $1.06 million. Oberg Soren sold 165,553 shares worth approximately $5.03 million. The company insider Thomas H. Lee Advisors – Llc sold 165,553 shares worth $5.03M.

West Corporation is a provider of technology-enabled communication services. The company has a market cap of $1.85 billion. The Firm offers a range of communication and network infrastructure solutions that helps to manage or support communications. It has 10.24 P/E ratio. The Firm operates in two divisions: Unified Communications, including conferencing and collaboration, Internet protocol (IP) communications and interactive services, and Communication Services, including safety services, telecom services and specialized agent services.

According to Zacks Investment Research, “West Corporation offers communication services. The Company provides services which include conferencing and collaboration, unified communications, alerts and notifications, emergency communications, business process outsourcing and telephony/interconnect services. It operates primarily in the United States, Canada, Europe, the Middle East, Asia Pacific, Latin America and South America. West Corporation is headquartered in Omaha, Nebraska.”