Zacks Investment Research downgraded shares of Convergys (NYSE:CVG) from a hold rating to a strong sell rating in a research report report published on Monday.
According to Zacks, “Convergys Corporation is a global leader in relationship management. Convergys unique combination of domain expertise, operational excellence, and innovative technologies has delivered process improvement and actionable business insight to clients. Convergys Corporation delivers consistent, quality customer experiences in 58 languages and from more than 150 locations around the globe. Convergys partner with clients to improve customer loyalty, reduce costs, and generate revenue through an extensive portfolio of capabilities, including customer care, analytics, tech support, collections, home agent, and end-to-end selling. Convergys are committed to delighting clients and their customers, delivering value to shareholders, and creating opportunities for talented, caring employees in 33 countries around the world. “
A number of other equities analysts have also commented on CVG. Citigroup decreased their price target on shares of Convergys from $25.00 to $24.00 and set a neutral rating on the stock in a report on Friday, November 10th. ValuEngine lowered shares of Convergys from a buy rating to a hold rating in a report on Sunday, December 31st. Finally, Barrington Research reissued a hold rating on shares of Convergys in a report on Monday. One research analyst has rated the stock with a sell rating, six have issued a hold rating and one has issued a buy rating to the stock. Convergys currently has a consensus rating of Hold and an average target price of $26.00.
Convergys (NYSE:CVG) last issued its quarterly earnings results on Wednesday, February 21st. The business services provider reported $0.47 EPS for the quarter, topping the Zacks’ consensus estimate of $0.45 by $0.02. The firm had revenue of $689.40 million for the quarter, compared to analyst estimates of $695.78 million. Convergys had a net margin of 4.35% and a return on equity of 13.71%. The business’s revenue for the quarter was down 9.0% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.47 EPS. analysts forecast that Convergys will post 1.68 earnings per share for the current fiscal year.
The business also recently declared a quarterly dividend, which will be paid on Friday, April 6th. Stockholders of record on Friday, March 23rd will be issued a $0.10 dividend. This represents a $0.40 dividend on an annualized basis and a dividend yield of 1.71%. The ex-dividend date is Thursday, March 22nd. Convergys’s payout ratio is 32.79%.
In other news, CEO Andrea J. Ayers sold 30,000 shares of the stock in a transaction on Tuesday, December 5th. The shares were sold at an average price of $24.15, for a total value of $724,500.00. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. 1.70% of the stock is owned by corporate insiders.
Several hedge funds have recently added to or reduced their stakes in CVG. Balter Liquid Alternatives LLC bought a new position in shares of Convergys during the 4th quarter valued at $130,000. Teacher Retirement System of Texas bought a new position in shares of Convergys during the 3rd quarter valued at $201,000. Elkfork Partners LLC bought a new position in shares of Convergys during the 4th quarter valued at $220,000. Crossmark Global Holdings Inc. bought a new position in shares of Convergys during the 3rd quarter valued at $222,000. Finally, Victory Capital Management Inc. grew its holdings in shares of Convergys by 27.0% during the 3rd quarter. Victory Capital Management Inc. now owns 9,526 shares of the business services provider’s stock valued at $247,000 after purchasing an additional 2,028 shares during the last quarter.
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Convergys Company Profile
Convergys Corporation is engaged in customer experience outsourcing. The Company’s geographical segments include North America and Rest of World. The Company offers services across industries, including communications and media, technology, financial services, retail, government and healthcare. The Company helps businesses to create customer experiences across multiple interaction channels, such as voice, chat, e-mail and interactive voice response.
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