Red Hat Inc. (NYSE:RHT) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a report issued on Thursday.
According to Zacks, “Red Hat Inc. is a leading developer and provider of open source software and services, including the Red Hat Linux operating system. Unlike proprietary software, open source software has publicly available source code and can be copied, modified and distributed with minimal restrictions. The web site, REDHAT.COM, is a leading online source of information and news about open source software and one of the largest online communities of open source software users and developers. “
Several other research firms have also weighed in on RHT. Raymond James Financial Inc. restated an “outperform” rating and issued a $90.00 target price (up from $85.00) on shares of Red Hat in a report on Friday, September 23rd. Barclays PLC restated an “overweight” rating and issued a $90.00 target price on shares of Red Hat in a report on Wednesday, June 15th. Vetr lowered Red Hat from a “strong-buy” rating to a “buy” rating and set a $84.60 target price for the company. in a report on Monday, August 8th. JMP Securities restated a “buy” rating on shares of Red Hat in a report on Thursday, September 22nd. Finally, Deutsche Bank AG reiterated a “buy” rating on shares of Red Hat in a report on Friday, June 17th. One investment analyst has rated the stock with a sell rating, six have issued a hold rating and twenty-four have given a buy rating to the company. The stock presently has an average rating of “Buy” and an average target price of $89.33.
Red Hat (NYSE:RHT) opened at 80.83 on Thursday. The firm has a 50-day moving average of $75.06 and a 200-day moving average of $74.58. Red Hat has a 12-month low of $59.59 and a 12-month high of $84.44. The firm has a market cap of $14.58 billion, a P/E ratio of 67.98 and a beta of 1.52.
Red Hat (NYSE:RHT) last posted its earnings results on Wednesday, September 21st. The open-source software company reported $0.55 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $0.54 by $0.01. Red Hat had a return on equity of 18.93% and a net margin of 9.84%. The firm earned $599.80 million during the quarter. During the same quarter last year, the firm posted $0.47 earnings per share. The firm’s revenue for the quarter was up 19.0% compared to the same quarter last year. On average, analysts expect that Red Hat will post $2.24 EPS for the current year.
In other Red Hat news, EVP Delisa Alexander sold 2,395 shares of the stock in a transaction dated Tuesday, July 19th. The stock was sold at an average price of $72.83, for a total value of $174,427.85. Following the completion of the sale, the executive vice president now directly owns 60,780 shares in the company, valued at $4,426,607.40. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Michael Cunningham sold 10,000 shares of the stock in a transaction dated Tuesday, July 26th. The stock was sold at an average price of $75.00, for a total value of $750,000.00. Following the completion of the sale, the executive vice president now owns 52,484 shares of the company’s stock, valued at $3,936,300. The disclosure for this sale can be found here. 0.76% of the stock is owned by company insiders.
Hedge funds and other institutional investors have recently bought and sold shares of the company. Wunderlich Capital Managemnt purchased a new position in Red Hat during the second quarter worth about $137,000. Mizuho Asset Management Co. Ltd. increased its position in Red Hat by 125.8% in the second quarter. Mizuho Asset Management Co. Ltd. now owns 2,393 shares of the open-source software company’s stock worth $174,000 after buying an additional 1,333 shares during the last quarter. Hills Bank & Trust Co. purchased a new position in Red Hat during the second quarter worth about $222,000. Pacer Advisors Inc. increased its position in Red Hat by 10.8% in the second quarter. Pacer Advisors Inc. now owns 3,392 shares of the open-source software company’s stock worth $246,000 after buying an additional 331 shares during the last quarter. Finally, Wall Street Associates purchased a new position in Red Hat during the second quarter worth about $247,000. Institutional investors and hedge funds own 94.81% of the company’s stock.
About Red Hat
Red Hat, Inc (Red Hat) provides open source software solutions, using a community-powered approach to develop and offer operating system, virtualization, management, middleware, cloud, mobile and storage technologies. Red Hat operates through three geographical segments: the Americas, including the United States, Canada and Latin America; EMEA, including Europe, Middle East and Africa, and Asia Pacific.
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