PagerDuty (NYSE:PD) Price Target Raised to $15.00

PagerDuty (NYSE:PD) had its price objective raised by analysts at Canaccord Genuity Group from $10.00 to $15.00 in a research note issued to investors on Friday,Benzinga reports. The firm currently has a “buy” rating on the stock. Canaccord Genuity Group’s price target indicates a potential upside of 11.94% from the stock’s previous close.

A number of other analysts have also recently weighed in on the stock. Royal Bank Of Canada boosted their price objective on shares of PagerDuty from $9.00 to $12.00 and gave the stock a “sector perform” rating in a research note on Friday, August 14th. Weiss Ratings upgraded shares of PagerDuty from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Friday, August 21st. Truist Financial lifted their target price on shares of PagerDuty from $11.00 to $13.00 and gave the stock a “buy” rating in a report on Thursday, August 20th. UBS Group set a $13.50 target price on shares of PagerDuty in a research report on Wednesday. Finally, Morgan Stanley upped their price target on shares of PagerDuty from $9.00 to $10.00 and gave the company an “underweight” rating in a report on Friday. Three equities research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus price target of $12.94.

PagerDuty Stock Up 6.1%

PagerDuty stock traded up $0.77 during mid-day trading on Friday, hitting $13.40. 283,001 shares of the company’s stock were exchanged, compared to its average volume of 2,445,612. The company has a current ratio of 1.95, a quick ratio of 1.95 and a debt-to-equity ratio of 1.83. The stock has a market cap of $1.03 billion, a P/E ratio of 6.57, a P/E/G ratio of 3.13 and a beta of 0.93. PagerDuty has a 1-year low of $5.70 and a 1-year high of $17.29. The stock has a 50 day moving average of $10.57 and a two-hundred day moving average of $8.40.

PagerDuty (NYSE:PD) last released its quarterly earnings results on Thursday, August 27th. The company reported $0.32 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.31 by $0.01. PagerDuty had a return on equity of 18.20% and a net margin of 38.60%.The company had revenue of $124.44 million during the quarter, compared to the consensus estimate of $123.27 million. During the same quarter in the prior year, the company posted $0.30 EPS. The firm’s revenue was up .8% on a year-over-year basis. PagerDuty has set its FY 2027 guidance at 1.330-1.370 EPS and its Q3 2027 guidance at 0.340-0.360 EPS. As a group, analysts anticipate that PagerDuty will post 0.58 EPS for the current fiscal year.

PagerDuty declared that its Board of Directors has approved a share buyback plan on Thursday, May 28th that authorizes the company to buyback $100.00 million in shares. This buyback authorization authorizes the company to reacquire up to 16.4% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s board believes its shares are undervalued.

Institutional Trading of PagerDuty

A number of hedge funds have recently modified their holdings of PD. Vanguard Group Inc. raised its stake in shares of PagerDuty by 3.8% in the fourth quarter. Vanguard Group Inc. now owns 13,066,929 shares of the company’s stock valued at $171,307,000 after purchasing an additional 472,975 shares in the last quarter. Hsbc Holdings PLC acquired a new stake in PagerDuty during the first quarter worth $789,000. Deutsche Bank AG acquired a new stake in PagerDuty during the second quarter worth $5,642,000. KBC Group NV increased its holdings in PagerDuty by 5,537.9% in the 1st quarter. KBC Group NV now owns 248,181 shares of the company’s stock valued at $1,541,000 after buying an additional 243,779 shares during the period. Finally, Pacer Advisors Inc. increased its stake in PagerDuty by 73.9% in the first quarter. Pacer Advisors Inc. now owns 569,907 shares of the company’s stock valued at $3,539,000 after acquiring an additional 242,100 shares during the period. Institutional investors own 97.26% of the company’s stock.

Key Stories Impacting PagerDuty

Here are the key news stories impacting PagerDuty this week:

• Positive Sentiment: Quarterly results topped estimates. PagerDuty reported fiscal Q2 2027 adjusted earnings of $0.32 per share, versus the $0.31 consensus, while revenue of $124.44 million exceeded expectations of $123.27 million. Revenue rose 0.8% year over year. PagerDuty Announces Second Quarter Fiscal 2027 Financial Results
• Positive Sentiment: Recurring revenue and cash flow showed progress. Management said annual recurring revenue surpassed $500 million and free cash flow reached $33 million, suggesting improving monetization and financial discipline. PagerDuty Q2 2027 Earnings Call Transcript
• Positive Sentiment: Profit guidance was raised relative to consensus. Fiscal 2027 EPS guidance of $1.33–$1.37 is well above the $1.17 analyst estimate. Third-quarter EPS guidance of $0.34–$0.36 also exceeds the $0.31 consensus, supporting the case for stronger margins and earnings leverage. PagerDuty forecasts Q3 FY2027 operating margin
• Neutral Sentiment: Revenue expectations remain conservative. Fiscal 2027 revenue guidance of $491.5–$496.5 million is broadly in line with the $493.2 million consensus, while Q3 guidance of $123–$125 million is close to estimates. This indicates that the main upside case is profitability rather than accelerating sales growth.
• Negative Sentiment: PagerDuty plans to cut approximately 15% of its workforce. The restructuring may improve operating margins, with Q3 margin guidance of 26.5%–27.5%, but it also signals cost pressure and could raise concerns about execution, employee disruption, and future growth capacity. PagerDuty to cut about 15 percent of workforce

About PagerDuty

PagerDuty, Inc engages in the operation of a digital operations management platform in the United States and internationally. The company’s digital operations management platform collects data and digital signals from virtually any software-enabled system or device and leverage machine learning to correlate, process, and predict opportunities and issues. Its platform includes PagerDuty Incident Management that provides a real-time view across the status of a digital service while incorporating noise reduction to remove false positives; AIOps that applies machine learning to correlate and automate the identification of incidents from billions of events; Process Automation offers centralized design time and run time environment for orchestrating automated workflows that span across departments, technologies, and networks; Customer Service Operations, which is offered to orchestrate, automate, and scale responses to customer impacting issues.