Pegasystems (NASDAQ:PEGA) Issues Earnings Results, Misses Expectations By $0.22 EPS

Pegasystems (NASDAQ:PEGA) announced its quarterly earnings results on Tuesday. The technology company reported $0.46 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.68 by ($0.22), FiscalAI reports. Pegasystems had a return on equity of 30.46% and a net margin of 20.04%.The firm had revenue of $429.97 million for the quarter, compared to analysts’ expectations of $473.24 million. During the same period last year, the company posted $0.76 earnings per share. The business’s quarterly revenue was down 9.6% on a year-over-year basis.

Pegasystems Stock Performance

NASDAQ:PEGA opened at $37.48 on Thursday. The company has a fifty day moving average of $43.01 and a two-hundred day moving average of $51.40. The stock has a market capitalization of $6.34 billion, a PE ratio of 20.15 and a beta of 1.09. Pegasystems has a fifty-two week low of $35.89 and a fifty-two week high of $68.10.

Pegasystems Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, April 15th. Shareholders of record on Wednesday, April 1st were given a dividend of $0.03 per share. The ex-dividend date was Wednesday, April 1st. This represents a $0.12 dividend on an annualized basis and a yield of 0.3%. Pegasystems’s dividend payout ratio is currently 5.63%.

Insiders Place Their Bets

In other news, CAO Efstathios A. Kouninis sold 1,000 shares of the stock in a transaction dated Tuesday, March 17th. The shares were sold at an average price of $42.88, for a total value of $42,880.00. Following the completion of the sale, the chief accounting officer directly owned 3,365 shares in the company, valued at $144,291.20. This represents a 22.91% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, insider Rifat Kerim Akgonul sold 7,594 shares of the stock in a transaction dated Monday, March 16th. The shares were sold at an average price of $43.39, for a total transaction of $329,503.66. Following the completion of the sale, the insider owned 111,429 shares of the company’s stock, valued at $4,834,904.31. This trade represents a 6.38% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders sold 52,594 shares of company stock worth $2,344,024. Company insiders own 49.70% of the company’s stock.

Institutional Investors Weigh In On Pegasystems

Hedge funds have recently modified their holdings of the business. EFG International AG acquired a new stake in shares of Pegasystems in the fourth quarter valued at about $32,000. Brown Brothers Harriman & Co. raised its position in shares of Pegasystems by 386.3% in the fourth quarter. Brown Brothers Harriman & Co. now owns 710 shares of the technology company’s stock valued at $42,000 after buying an additional 564 shares during the last quarter. Transamerica Financial Advisors LLC raised its position in shares of Pegasystems by 89.3% in the fourth quarter. Transamerica Financial Advisors LLC now owns 1,473 shares of the technology company’s stock valued at $88,000 after buying an additional 695 shares during the last quarter. Aster Capital Management DIFC Ltd acquired a new stake in shares of Pegasystems in the fourth quarter valued at about $100,000. Finally, DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main raised its position in shares of Pegasystems by 100.0% in the second quarter. DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main now owns 1,848 shares of the technology company’s stock valued at $100,000 after buying an additional 924 shares during the last quarter. 46.89% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

PEGA has been the topic of a number of recent analyst reports. Wall Street Zen downgraded shares of Pegasystems from a “strong-buy” rating to a “hold” rating in a report on Saturday, February 14th. KeyCorp set a $60.00 price objective on shares of Pegasystems in a research report on Thursday, February 5th. DA Davidson set a $55.00 price objective on shares of Pegasystems and gave the stock a “buy” rating in a research report on Friday, April 17th. Weiss Ratings restated a “hold (c+)” rating on shares of Pegasystems in a research report on Friday, March 27th. Finally, Citigroup reduced their price objective on shares of Pegasystems from $75.00 to $70.00 and set a “buy” rating for the company in a research report on Tuesday, April 14th. One research analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating and two have issued a Hold rating to the stock. According to data from MarketBeat.com, Pegasystems currently has an average rating of “Moderate Buy” and an average target price of $63.60.

Pegasystems Company Profile

Pegasystems Inc is a software company specializing in customer engagement and digital process automation solutions. Headquartered in Cambridge, Massachusetts, Pegasystems develops enterprise applications designed to help organizations streamline operations, manage customer interactions and automate complex workflows. Its platform supports a wide range of use cases, from sales and marketing optimization to case management and robotic process automation.

The core of Pegasystems’ offering is the Pega Platform, a low-code development environment that enables businesses to build and deploy applications with minimal hand-coding.