Wedbush Issues Pessimistic Forecast for Pegasystems (NASDAQ:PEGA) Stock Price

Posted by Andrew Walz on Feb 12th, 2026

Pegasystems (NASDAQ:PEGA – Get Free Report) had its price objective lowered by equities research analysts at Wedbush from $75.00 to $60.00 in a report released on Thursday,Benzinga reports. The brokerage currently has an “outperform” rating on the technology company’s stock. Wedbush’s price objective suggests a potential upside of 49.08% from the company’s previous close.

Other equities analysts have also issued reports about the stock. KeyCorp set a $60.00 target price on shares of Pegasystems in a report on Thursday, February 5th. Wall Street Zen raised Pegasystems from a “buy” rating to a “strong-buy” rating in a research report on Saturday, January 31st. Citigroup restated a “buy” rating on shares of Pegasystems in a research report on Thursday. Weiss Ratings reiterated a “hold (c+)” rating on shares of Pegasystems in a report on Monday, December 29th. Finally, Barclays raised their target price on Pegasystems from $58.00 to $67.00 and gave the company an “equal weight” rating in a report on Thursday, October 23rd. Ten research analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $68.05.

Read Our Latest Stock Analysis on Pegasystems

Pegasystems Stock Performance

PEGA stock traded up $2.32 during trading on Thursday, reaching $40.25. The company had a trading volume of 1,401,712 shares, compared to its average volume of 2,032,458. The firm has a 50-day simple moving average of $54.29 and a 200-day simple moving average of $55.92. Pegasystems has a twelve month low of $29.84 and a twelve month high of $68.10. The company has a market cap of $6.83 billion, a price-to-earnings ratio of 18.85 and a beta of 1.07.

Pegasystems (NASDAQ:PEGA – Get Free Report) last posted its quarterly earnings results on Tuesday, February 10th. The technology company reported $0.76 earnings per share for the quarter, beating the consensus estimate of $0.74 by $0.02. Pegasystems had a return on equity of 41.66% and a net margin of 22.54%.The business had revenue of $504.32 million for the quarter, compared to the consensus estimate of $494.60 million. During the same quarter in the previous year, the business earned $0.80 EPS. The company’s quarterly revenue was up 2.8% compared to the same quarter last year. Pegasystems has set its FY 2026 guidance at 2.750-2.750 EPS. Sell-side analysts expect that Pegasystems will post 1.89 earnings per share for the current year.

Insider Buying and Selling

In related news, insider Rifat Kerim Akgonul sold 4,000 shares of the business’s stock in a transaction that occurred on Monday, December 8th. The stock was sold at an average price of $60.19, for a total transaction of $240,760.00. Following the completion of the sale, the insider owned 112,845 shares in the company, valued at $6,792,140.55. The trade was a 3.42% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Kenneth Stillwell sold 14,405 shares of the stock in a transaction that occurred on Friday, December 5th. The shares were sold at an average price of $57.87, for a total transaction of $833,617.35. Following the completion of the transaction, the chief financial officer owned 131,621 shares in the company, valued at $7,616,907.27. This represents a 9.86% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 108,405 shares of company stock worth $5,896,127. Corporate insiders own 49.70% of the company’s stock.

Institutional Investors Weigh In On Pegasystems

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. AQR Capital Management LLC lifted its position in Pegasystems by 236.2% in the second quarter. AQR Capital Management LLC now owns 4,037,552 shares of the technology company’s stock valued at $217,584,000 after acquiring an additional 2,836,733 shares during the last quarter. State Street Corp lifted its holdings in shares of Pegasystems by 255.3% in the 2nd quarter. State Street Corp now owns 2,907,677 shares of the technology company’s stock valued at $157,393,000 after purchasing an additional 2,089,375 shares during the last quarter. Massachusetts Financial Services Co. MA boosted its position in shares of Pegasystems by 86.3% in the 2nd quarter. Massachusetts Financial Services Co. MA now owns 4,050,075 shares of the technology company’s stock valued at $219,231,000 after purchasing an additional 1,875,896 shares during the period. Bares Capital Management Inc. grew its stake in Pegasystems by 76.6% during the 2nd quarter. Bares Capital Management Inc. now owns 3,542,716 shares of the technology company’s stock worth $191,767,000 after buying an additional 1,536,726 shares during the last quarter. Finally, American Century Companies Inc. increased its position in Pegasystems by 357.6% during the third quarter. American Century Companies Inc. now owns 1,586,793 shares of the technology company’s stock worth $91,241,000 after buying an additional 1,239,998 shares during the period. 46.89% of the stock is currently owned by institutional investors and hedge funds.

Key Headlines Impacting Pegasystems

Here are the key news stories impacting Pegasystems this week:

Positive Sentiment: Q4 results beat expectations — Pegasystems reported better‑than‑expected EPS and revenue, with management highlighting AI-driven demand, rising cloud ACV and backlog expansion as growth drivers. Innovation Accelerates Pega’s Q4 2025 Growth
Positive Sentiment: Raised FY‑2026 outlook and expanded buyback — management set FY‑2026 EPS guidance at $2.75 (above Street) and raised revenue targets while boosting the buyback, signaling confidence in cash flow and growth execution. Pegasystems Raises 2026 Outlook and Boosts Buyback Plan
Positive Sentiment: Analyst support — Rosenblatt reaffirmed a Buy with a $62 target and other shops (William Blair, DA Davidson, Wedbush) remain constructive, which can underpin upside if execution continues. Rosenblatt Buy Rating / Price Target
Neutral Sentiment: Strategic positioning — CEO commentary stresses a push to $2B revenue and a “predictable AI” approach (criticizing some multi‑agent hype); strategic direction may reassure long‑term investors but needs execution. Pega targets $2bn revenue milestone as it bets on ‘predictable AI’
Neutral Sentiment: Valuation checks — recent pieces reassess PEGA’s valuation after share weakness; some analysts still see significant upside while median targets remain well above the current price. Assessing Pegasystems (PEGA) Valuation After Recent Share Price Weakness
Negative Sentiment: Despite beats, market reacted negatively — shares fell after the release as investors parsed weaker operating profit trends, YoY net income commentary and other mixed metrics. Pegasystems shares fall 5% as net income declines YoY
Negative Sentiment: Legal settlement — the company agreed to pay $7M to resolve investors’ trade‑secret claims, a modest but headline‑making expense. Pegasystems to Pay $7 Million for Investors’ Trade Secret Claims
Negative Sentiment: Heavy insider selling flagged — recent disclosures show significant insider share sales, which can be perceived negatively by the market. QuiverQuant: Insider activity and stock reaction

About Pegasystems

(Get Free Report)

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.