Bandwidth Inc (BAND) Fair Value & Analysis
Technology · US · Market cap $1.6B
Bandwidth Inc
BAND · US
Fair value as of: Jul 14, 2026
From 13 valuation models · updated 27 days ago
Share price −29.1% over the past month.
Below-average quality, and screening another 84% overvalued on our models.
What matters now
- The price sits above even our optimistic bull case ($7.80). The favourable scenario is already priced in.
- Weak quality (41/100) and above fair value at the same time, the margin of safety is missing on both counts.
- The model range is unusually wide ($1.56 to $7.80). The outcome hinges heavily on assumptions, so read the point estimate with caution.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 14, 2026.
How to read this chart
60‑month range $9.35 – $141.11 · fair‑value band $1.56 – $7.80 · the $49.96 price screens above the $7.80 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 14, 2026.
Analysis
Bandwidth Inc (BAND) currently trades at $49.96, while our model-based Fair Value estimate is $7.80, implying the stock looks roughly 84.4% overvalued today. The Quality Score stands at 41/100 (below-average quality), in the Technology sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: medium).
Over the trailing twelve months, Bandwidth Inc generated revenue of $788M at a net margin of -0.6%. Revenue grew 19.8% year over year. It earns a return on equity of -1.4%. Net debt stands at $598M. Fundamentals as of Jul 14, 2026
Our scenario range runs from $1.56 (bear case) to $7.80 (bull case); at $49.96, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 34% below its 52-week high and 300% above its 52-week low, currently above its 200-day average. For context, the median of 10 Technology peers we cover trades at -50% fair-value upside, at -84%, BAND screens richer than that median.
Fair Value models
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.
All 13 models by family
Widest divergence: Growth DCF ($37.09) versus Dividend Discount ($0.8400). Highest evidence: Growth DCF (80).
Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Jul 14, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 43 · Market factors (momentum, volatility) 60
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
About the company
Bandwidth Inc. operates as a cloud-based software-powered communications platform-as-a-service provider in the United States and internationally. The company's platform enables enterprises to create, scale, and operate voice or messaging communications services across various mobile applications or connected devices.
Full company description
Bandwidth Inc. operates as a cloud-based software-powered communications platform-as-a-service provider in the United States and internationally. The company's platform enables enterprises to create, scale, and operate voice or messaging communications services across various mobile applications or connected devices. Its platform also provides voice services through SIP or programmable voice application programming interfaces (API); software APIs for messaging; communications solutions with integrated local emergency services; number management solutions; insights on customer's voice and messaging performance to make data-driven decisions; and carrier integrations services, which includes unified communications as a service, contact center as a service, conversational AI, and speech-to-text/text-to-speech platforms. In addition, the company offers Call Assure that provides hands-free alternative routing; application to person messaging solutions that supports SMS and MMS on local numbers, toll free numbers, and short codes; Bandwidth Maestro, an enterprise cloud communications platform; and Conversational AI Integrations. It serves technology companies, enterprise customers, and software-as-a-service platforms. The company was formerly known as Bandwidth.com, Inc. and changed its name to Bandwidth Inc. in September 2017. Bandwidth Inc. was founded in 1999 and is headquartered in Raleigh, North Carolina.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
Bandwidth Inc reported revenue of $754M in FY2025 versus $491M in FY2021, a compound +11.3%/yr. Reported net income was −$12.9M in FY2025.
BAND screens 84% overvalued. Compare with Microsoft Corporation →
Earlier news
External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.
- Bandwidth Inc. Q2 2026 Earnings Call Summary
- Bandwidth Q2 Earnings Top Estimates on Strong AI-Driven Demand
- Bandwidth Q2 Earnings Call Highlights
- Should Bandwidth Stock Be in Your Portfolio Pre-Q2 Earnings?
Peer Group
Software - Infrastructure · 368 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Software - Infrastructure median · lower = cheaper
Snowflake
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
VALUE 0: the price sits above our fair-value range.
Insider activity: 46/100
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.
Similar stocks
10 more Software - Infrastructure stocks, each showing price versus our Fair Value estimate (as of Jul 14, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| Microsoft Corporation MSFT | $384.00 | $274.17 | -29% |
| Oracle Corporation ORAC | C$9.08 | C$2.94 | -68% |
| Fortinet, Inc FTNT | $160.78 | $44.96 | -72% |
| Synopsys, Inc 1SNPS | €354.50 | €93.61 | -74% |
| Block, Inc XYZ | A$114.53 | A$70.69 | -38% |
| CoreWeave, Inc CRWV | $79.94 | $44.89 | -44% |
| Range Intelligent Computing Technology Group 300442 | ¥71.60 | ¥34.00 | -53% |
| Oracle Financial Services Software Limited OFSS | ₹11,651 | ₹5,821 | -50% |
| 360 Security Technology Inc 601360 | ¥9.64 | ¥5.05 | -48% |
| One97 Communications Limited PAYTM | ₹1,342 | ₹181.50 | -86% |
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How we calculate Fair Value
Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.
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