Amdocs Limited (NASDAQ:DOX) Receives Average Recommendation of "Hold" from Brokerages

Key Points

• Amdocs has a consensus analyst recommendation of "Hold" from six brokerages, with an average 12-month price target of about $86.67.
• The company recently beat fiscal-quarter EPS estimates with earnings of $1.78 per share and posted revenue of $1.17 billion, while revenue grew 3.9% year over year.
• Management raised fiscal 2026 guidance, and Amdocs also announced a quarterly dividend of $0.569 per share to be paid on July 31, implying a 3.8% yield.

Shares of Amdocs Limited (NASDAQ:DOX - Get Free Report) have been given a consensus recommendation of "Hold" by the six ratings firms that are presently covering the company, Marketbeat Ratings reports. One analyst has rated the stock with a sell rating, two have issued a hold rating and three have given a buy rating to the company. The average 12-month price target among brokerages that have issued ratings on the stock in the last year is $86.6667.

Several equities analysts have recently commented on the company. Wall Street Zen lowered Amdocs from a "buy" rating to a "hold" rating in a report on Saturday. Barclays cut their price target on Amdocs from $111.00 to $92.00 and set an "overweight" rating on the stock in a report on Wednesday, February 4th. Cfra downgraded Amdocs to a "sell" rating in a research note on Thursday. Weiss Ratings reaffirmed a "hold (c-)" rating on shares of Amdocs in a research report on Friday, May 8th. Finally, Stifel Nicolaus cut their target price on Amdocs from $88.00 to $71.00 and set a "buy" rating on the stock in a research note on Thursday.

Institutional Investors Weigh In On Amdocs

A number of institutional investors have recently added to or reduced their stakes in DOX. Pzena Investment Management LLC boosted its holdings in Amdocs by 5.4% during the first quarter. Pzena Investment Management LLC now owns 12,681,089 shares of the technology company's stock worth $827,568,000 after buying an additional 644,074 shares in the last quarter. LSV Asset Management lifted its position in shares of Amdocs by 0.8% during the 4th quarter. LSV Asset Management now owns 3,678,532 shares of the technology company's stock valued at $296,159,000 after acquiring an additional 29,829 shares during the last quarter. Dimensional Fund Advisors LP boosted its stake in shares of Amdocs by 19.7% during the 1st quarter. Dimensional Fund Advisors LP now owns 3,463,797 shares of the technology company's stock worth $226,045,000 after acquiring an additional 571,036 shares in the last quarter. Allspring Global Investments Holdings LLC boosted its stake in shares of Amdocs by 1.8% during the 4th quarter. Allspring Global Investments Holdings LLC now owns 3,165,988 shares of the technology company's stock worth $253,786,000 after acquiring an additional 54,676 shares in the last quarter. Finally, Wellington Management Group LLP grew its holdings in shares of Amdocs by 3.0% in the 3rd quarter. Wellington Management Group LLP now owns 3,151,532 shares of the technology company's stock worth $258,583,000 after acquiring an additional 91,900 shares during the last quarter. 92.02% of the stock is currently owned by institutional investors and hedge funds.

Amdocs Stock Down 2.2%

NASDAQ:DOX traded down $1.35 on Friday, reaching $60.58. The stock had a trading volume of 1,311,065 shares, compared to its average volume of 1,055,292. The company has a 50-day moving average of $65.25 and a 200 day moving average of $73.56. The company has a current ratio of 1.06, a quick ratio of 1.06 and a debt-to-equity ratio of 0.23. The stock has a market cap of $6.54 billion, a P/E ratio of 12.12, a price-to-earnings-growth ratio of 0.98 and a beta of 0.40. Amdocs has a 12-month low of $59.40 and a 12-month high of $95.41.

Amdocs (NASDAQ:DOX - Get Free Report) last released its quarterly earnings results on Wednesday, May 13th. The technology company reported $1.78 earnings per share for the quarter, topping analysts' consensus estimates of $1.77 by $0.01. The business had revenue of $1.17 billion during the quarter, compared to the consensus estimate of $1.17 billion. Amdocs had a net margin of 11.81% and a return on equity of 19.67%. The business's quarterly revenue was up 3.9% compared to the same quarter last year. During the same quarter last year, the company earned $1.78 earnings per share. Amdocs has set its FY 2026 guidance at 7.340-7.480 EPS and its Q3 2026 guidance at 1.810-1.870 EPS. On average, research analysts predict that Amdocs will post 7.41 earnings per share for the current year.

Amdocs Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, July 31st. Investors of record on Tuesday, June 30th will be paid a dividend of $0.569 per share. This represents a $2.28 dividend on an annualized basis and a dividend yield of 3.8%. The ex-dividend date is Tuesday, June 30th. Amdocs's payout ratio is currently 45.40%.

Key Stories Impacting Amdocs

Here are the key news stories impacting Amdocs this week:

• Positive Sentiment: Amdocs beat quarterly earnings estimates with EPS of $1.78 and matched revenue expectations at $1.17 billion, while revenue still rose 3.9% year over year. Amdocs earnings release and conference call
• Positive Sentiment: Management lifted fiscal 2026 guidance, signaling confidence in continued growth and profitability after the quarter. Zacks on Amdocs Q2 earnings
• Positive Sentiment: The company highlighted progress in GenAI and “agentic telco” initiatives, including launching Telco Agents in Google’s Gemini Enterprise marketplace. Amdocs Telco Agents announcement
• Positive Sentiment: Several new customer wins and platform expansions were announced, including deals with Lumen, Vodafone Ireland, Telefónica Móviles Argentina, and Qué tal Móvil, supporting backlog and long-term demand. Lumen and Amdocs cloud migration announcement
• Neutral Sentiment: Amdocs also announced its third-quarter investor conference schedule, which is routine investor-relations news rather than a direct business catalyst. Amdocs investor conference schedule
• Neutral Sentiment: The board declared a quarterly dividend, which is supportive for income investors but not likely the main driver of trading today.

About Amdocs

Amdocs NASDAQ: DOX is a global software and services provider specializing in solutions for communications, media and entertainment companies. The company designs, develops and integrates revenue management, customer experience and digital services platforms that enable service providers to launch and monetize new offerings, streamline operations and enhance subscriber engagement. Amdocs' product suite encompasses billing and order management, customer relationship management, digital commerce and network function virtualization, supported by professional services for implementation, integration and managed operations.

Founded in 1982 and structured as a separate public company in 1998, Amdocs has its corporate headquarters in Chesterfield, Missouri, and maintains major development centers in Ra'anana, Israel.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.