Pegasystems (NASDAQ:PEGA) Releases Earnings Results, Misses Estimates By $0.20 EPS

Pegasystems (NASDAQ:PEGA) released its quarterly earnings data on Wednesday. The technology company reported $1.27 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.47 by ($0.20), Zacks reports. Pegasystems had a net margin of 8.29% and a return on equity of 37.83%. Pegasystems updated its FY 2025 guidance to 3.100-3.100 EPS.

Pegasystems Stock Down 17.2 %

Shares of NASDAQ PEGA traded down $18.25 during trading on Thursday, hitting $87.84. The company had a trading volume of 569,542 shares, compared to its average volume of 874,905. The stock has a fifty day simple moving average of $99.51 and a two-hundred day simple moving average of $83.73. Pegasystems has a fifty-two week low of $48.51 and a fifty-two week high of $113.67. The firm has a market capitalization of $7.53 billion, a price-to-earnings ratio of 64.12 and a beta of 1.11.

Pegasystems Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Thursday, January 16th. Stockholders of record on Thursday, January 2nd were given a $0.03 dividend. The ex-dividend date was Thursday, January 2nd. This represents a $0.12 annualized dividend and a dividend yield of 0.14%. Pegasystems’s dividend payout ratio (DPR) is 8.76%.

Insider Activity

In related news, CAO Efstathios A. Kouninis sold 299 shares of the business’s stock in a transaction dated Monday, December 16th. The shares were sold at an average price of $96.90, for a total transaction of $28,973.10. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Leon Trefler sold 752 shares of the business’s stock in a transaction dated Monday, December 2nd. The stock was sold at an average price of $94.60, for a total transaction of $71,139.20. Following the transaction, the insider now owns 36,884 shares in the company, valued at $3,489,226.40. The trade was a 2.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 14,003 shares of company stock worth $1,346,086 over the last 90 days. 50.10% of the stock is currently owned by company insiders.

Analysts Set New Price Targets

PEGA has been the subject of several recent analyst reports. Royal Bank of Canada raised their target price on shares of Pegasystems from $90.00 to $115.00 and gave the company an “outperform” rating in a research note on Friday, January 3rd. Citigroup raised their target price on shares of Pegasystems from $99.00 to $123.00 and gave the company a “buy” rating in a research note on Wednesday, December 18th. StockNews.com upgraded shares of Pegasystems from a “hold” rating to a “buy” rating in a research note on Thursday, November 21st. Rosenblatt Securities lifted their price objective on shares of Pegasystems from $95.00 to $115.00 and gave the stock a “buy” rating in a research note on Tuesday. Finally, Barclays lifted their price objective on shares of Pegasystems from $82.00 to $103.00 and gave the stock an “equal weight” rating in a research note on Friday, January 31st. Three investment analysts have rated the stock with a hold rating, nine have assigned a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $97.64.

Pegasystems Company Profile

Pegasystems Inc develops, markets, licenses, hosts, and supports enterprise software in the United States, rest of the Americas, the United Kingdom, rest of Europe, the Middle East, Africa, and the Asia-Pacific. The company provides Pega Infinity, a software portfolio comprising of Pega Customer Decision Hub, a real-time AI-powered decision engine to enhance customer acquisition and experiences across inbound, outbound, and paid media channels; Pega Customer Service to anticipate customer needs, connect customers to people and systems, and automate customer interactions to evolve the customer service experience, as well as to allow enterprises to deliver interactions across channels and enhance employee productivity; and Pega Platform, an intelligent automation software for increasing efficiency of clients’ processes and workflows.