Bandwidth Inc. (BAND) Stock

Bandwidth Inc. (BAND) is a Technology stock trading at $47.52 (as of 2026-08-21), with a market capitalization of $1.57B. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

Bandwidth Inc. provides cloud communications services, including a CPaaS offering for building and running voice and messaging capabilities for mobile applications and connected devices. It also reports an “Other” segment that includes services such as SIP trunking and related offerings, serving enterprises, communications providers, conferencing providers, contact centers, and other businesses.

Understand Bandwidth Inc.: how it makes money

Bandwidth Inc. provides a cloud communications platform as a service (CPaaS), letting enterprises build and run voice or messaging services across mobile apps and connected devices, and it also earns revenue from related services such as SIP trunking, data resale, and hosted voice over IP.

The profit engine is customer-based growth on its communications platform, where net revenue retention runs above 100% (105%), so continued expansion within the existing customer base matters for revenue durability and scaling toward profitability.

Revenue by segment (latest quarter)
CPaaS	$0.2B
Other	$0.0B

Business quality (Weak): Good visibility into the operating model via net revenue retention and active CPaaS customer counts, but the segment revenue mapping uses the provided revenue candidates rather than a fully itemized CPaaS versus Other breakdown.

Bull case

Net Revenue Retention Rate is above 100%: Net Revenue Retention Rate is 105%, which indicates expansion within existing customers rather than relying only on new logos.
Customer base is still growing: Active Communications Platform as a Service Customers are 3,173 and Net Addition of Customer Accounts is 122.
Meaningful platform revenue mix: Communications Platform as a Service Revenue is listed at 0.1 USD_B, supporting the idea that the core platform is a major contributor.

Bear case

Profitability is currently weak: Operating margin is -2.2% for the latest period (gross margin is 37.3%).
Retention is the key swing factor: Because Net Revenue Retention Rate is 105%, any decline would directly pressure revenue growth from existing customers.
Messaging revenue mix may add volatility: Programmable Messaging as a Percentage of Cloud Communications Revenue is 19%, and Messaging as a Percentage of Cloud Communications Revenue is 24%, which can make results sensitive to changes in messaging demand.

Valuation — source: SEC EDGAR (first-party)
Price	$47.52
Market Cap	$1.57B
EV / EBITDA	131.5
Price / Book	3.86
Price / Sales	2.07
DCF Value (model)	$40.35
DCF Upside vs Price	-15.1%

Profitability & Growth — source: SEC EDGAR
Revenue (TTM)	$753.82M
Net Margin	-1.7%
Revenue Growth (YoY)	0.7%
EPS Growth (YoY)	79.2%

Financial Health — source: SEC EDGAR
Altman Z-Score	1.94 (grey)
Piotroski F-Score	5/9 (moderate)

Valuation vs Sector & Industry
Sector P/E (Technology)	34.0
Industry P/E (Business Services)	30.2

Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional Holder	BlackRock, Inc. ($52.71M)
Institutional Holders Tracked	10

Company
Sector	Technology
Industry	Business Services
CEO	David Andrew Morken
Employees	1,100
Country	US
IPO Date	2017-11-09

Related Companies (Business model: SaaS / Subscription Software (Enterprise); 8 closest by market cap; US-domiciled)

Data as of 2026-08-21.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.