Red Hat (NYSE:RHT) had its price target reduced by equities research analysts at Stifel Nicolaus from $172.00 to $160.00 in a report released on Thursday, September 20th, The Fly reports. The brokerage currently has a “buy” rating on the open-source software company’s stock. Stifel Nicolaus’ price objective would suggest a potential upside of 30.60% from the stock’s current price.
RHT has been the topic of several other reports. Royal Bank of Canada lowered their price target on Red Hat to $169.00 and set an “outperform” rating on the stock in a research report on Monday, September 17th. BMO Capital Markets lowered their price target on Red Hat from $192.00 to $177.00 and set a “market perform” rating on the stock in a research report on Wednesday, June 27th. JPMorgan Chase & Co. cut Red Hat from an “overweight” rating to a “neutral” rating and lowered their price target for the company from $160.00 to $150.00 in a research report on Tuesday, September 18th. Zacks Investment Research cut Red Hat from a “buy” rating to a “hold” rating in a research report on Wednesday, June 27th. Finally, Raymond James lowered Red Hat from an “outperform” rating to a “market perform” rating and set a $84.00 price objective for the company. in a research note on Tuesday, June 19th. One investment analyst has rated the stock with a sell rating, eleven have assigned a hold rating and eighteen have assigned a buy rating to the company’s stock. Red Hat currently has a consensus rating of “Buy” and an average price target of $156.07.
NYSE:RHT opened at $122.51 on Thursday. The company has a debt-to-equity ratio of 0.40, a quick ratio of 1.28 and a current ratio of 1.23. Red Hat has a 52 week low of $116.31 and a 52 week high of $177.70. The company has a market cap of $24.17 billion, a price-to-earnings ratio of 53.27, a PEG ratio of 3.54 and a beta of 1.14.
Red Hat announced that its board has initiated a share repurchase plan on Thursday, June 21st that permits the company to buyback $1.00 billion in shares. This buyback authorization permits the open-source software company to reacquire up to 4% of its shares through open market purchases. Shares buyback plans are typically an indication that the company’s management believes its shares are undervalued.
In other Red Hat news, insider Michael A. Kelly sold 636 shares of the firm’s stock in a transaction dated Tuesday, July 17th. The stock was sold at an average price of $145.00, for a total transaction of $92,220.00. Following the transaction, the insider now directly owns 5,965 shares in the company, valued at $864,925. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, CEO James M. Whitehurst sold 44,472 shares of the firm’s stock in a transaction dated Tuesday, August 7th. The shares were sold at an average price of $142.56, for a total value of $6,339,928.32. Following the transaction, the chief executive officer now owns 445,557 shares in the company, valued at $63,518,605.92. The disclosure for this sale can be found here. In the last three months, insiders have sold 56,926 shares of company stock valued at $8,145,758. Insiders own 0.58% of the company’s stock.
Hedge funds and other institutional investors have recently bought and sold shares of the business. Mount Yale Investment Advisors LLC bought a new position in Red Hat during the first quarter valued at about $103,000. Migdal Insurance & Financial Holdings Ltd. increased its stake in shares of Red Hat by 16,350.0% in the second quarter. Migdal Insurance & Financial Holdings Ltd. now owns 987 shares of the open-source software company’s stock worth $133,000 after purchasing an additional 981 shares during the period. Quad Cities Investment Group LLC bought a new position in shares of Red Hat in the second quarter worth about $134,000. Financial Architects Inc increased its stake in shares of Red Hat by 95.2% in the second quarter. Financial Architects Inc now owns 1,025 shares of the open-source software company’s stock worth $137,000 after purchasing an additional 500 shares during the period. Finally, Pitcairn Co. bought a new position in shares of Red Hat in the first quarter worth about $203,000. Institutional investors own 95.25% of the company’s stock.
About Red Hat
Red Hat, Inc provides open source software solutions to develop and offer operating system, virtualization, management, middleware, cloud, mobile, and storage technologies to various enterprises worldwide. It offers infrastructure-related solutions, such as Red Hat Enterprise Linux, an operating system platform that runs on hardware for use in hybrid cloud environments; Red Hat Satellite, a system management offering that helps to deploy, scale, and manage in hybrid cloud environments; and Red Hat Enterprise Virtualization, a software solution that allows customers to utilize and manage a common hardware infrastructure to run multiple operating systems and applications.
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