Pitney Bowes (NYSE:PBI) Rating Lowered to "Buy" at Wall Street Zen

Key Points

• Wall Street Zen downgraded Pitney Bowes from “strong buy” to “buy,” while the broader analyst consensus remains “hold” with an average price target of $18.45.
• Pitney Bowes reported quarterly EPS of $0.42, beating the $0.36 consensus estimate, though revenue declined 0.8% year over year to $456.18 million.
• Insiders sold $14.4 million of stock over the past three months, while institutional investors own approximately 67.9% of the company’s shares.

Pitney Bowes (NYSE:PBI - Get Free Report) was downgraded by investment analysts at Wall Street Zen from a "strong-buy" rating to a "buy" rating in a research note issued on Sunday, Wall Street Zen reports.

Several other analysts have also issued reports on the company. Zacks Research lowered Pitney Bowes from a "strong-buy" rating to a "hold" rating in a report on Friday, October 2nd. Truist Financial raised their price objective on Pitney Bowes from $15.00 to $18.00 and gave the stock a "hold" rating in a research note on Friday, July 31st. Citigroup reissued a "market outperform" rating on shares of Pitney Bowes in a report on Friday, July 31st. Citizens Jmp raised their target price on shares of Pitney Bowes from $19.00 to $22.00 and gave the stock a "market outperform" rating in a research note on Friday, July 31st. Finally, Weiss Ratings downgraded shares of Pitney Bowes from a "buy (b)" rating to a "buy (b-)" rating in a report on Tuesday. Three analysts have rated the stock with a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of "Hold" and an average target price of $18.45.

Pitney Bowes Price Performance

• Pitney Bowes NYSE: PBI is Surging, Is it Too Risky?

Shares of Pitney Bowes stock opened at $16.31 on Friday. Pitney Bowes has a 1 year low of $8.95 and a 1 year high of $19.07. The company has a 50-day moving average of $16.94 and a 200 day moving average of $14.81. The firm has a market cap of $2.24 billion, a price-to-earnings ratio of 12.64, a PEG ratio of 0.66 and a beta of 1.66.

Pitney Bowes (NYSE:PBI - Get Free Report) last announced its quarterly earnings data on Wednesday, October 28th. The technology company reported $0.42 EPS for the quarter, beating the consensus estimate of $0.36 by $0.06. The company had revenue of $456.18 million for the quarter, compared to the consensus estimate of $458.24 million. Pitney Bowes had a net margin of 10.10% and a negative return on equity of 30.45%. Pitney Bowes's revenue for the quarter was down .8% on a year-over-year basis. During the same period in the prior year, the firm posted $0.31 EPS. On average, equities analysts anticipate that Pitney Bowes will post 1.67 EPS for the current year.

Insider Transactions at Pitney Bowes

In other Pitney Bowes news, EVP Deborah Pfeiffer sold 20,000 shares of Pitney Bowes stock in a transaction on Tuesday, September 8th. The stock was sold at an average price of $17.11, for a total transaction of $342,200.00. Following the completion of the sale, the executive vice president directly owned 79,223 shares of the company's stock, valued at $1,355,505.53. The trade was a 20.16% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CEO Kurt Wolf sold 413,266 shares of the company's stock in a transaction dated Monday, August 3rd. The stock was sold at an average price of $18.11, for a total transaction of $7,484,247.26. Following the completion of the sale, the chief executive officer directly owned 122,963 shares of the company's stock, valued at approximately $2,226,859.93. This trade represents a 77.07% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders have sold 819,841 shares of company stock valued at $14,366,526. 6.50% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Pitney Bowes

A number of large investors have recently modified their holdings of PBI. BlackRock Inc. acquired a new position in shares of Pitney Bowes during the 2nd quarter worth about $220,473,000. Capital Management Corp VA increased its position in Pitney Bowes by 0.5% during the third quarter. Capital Management Corp VA now owns 2,404,924 shares of the technology company's stock worth $39,248,000 after buying an additional 11,351 shares during the period. Bank of New York Mellon Corp purchased a new stake in Pitney Bowes in the 2nd quarter valued at $28,683,000. Hsbc Holdings PLC acquired a new position in Pitney Bowes in the second quarter valued at $27,762,000. Finally, Dimensional Fund Advisors LP increased its stake in Pitney Bowes by 9.0% in the first quarter. Dimensional Fund Advisors LP now owns 2,331,315 shares of the technology company's stock valued at $25,760,000 after purchasing an additional 193,145 shares during the period. Hedge funds and other institutional investors own 67.88% of the company's stock.

Trending Headlines about Pitney Bowes

Here are the key news stories impacting Pitney Bowes this week:

• Positive Sentiment: Q3 earnings beat expectations. Pitney Bowes reported adjusted earnings of $0.42 per share, above the $0.36 consensus estimate and up from $0.31 a year earlier. Pitney Bowes Q3 Earnings and Revenues Top Estimates
• Positive Sentiment: Dividend increased sharply. The company declared a quarterly dividend of $0.10 per share, or $0.40 annualized, compared with the previous $0.01 quarterly payout. The dividend yield is approximately 2.4%, supporting the stock’s income appeal. Pitney Bowes Approves Quarterly Dividend
• Positive Sentiment: Revenue outlook was maintained or improved relative to expectations. FY 2026 revenue guidance of $1.8 billion to $1.9 billion has a midpoint above the current $1.8 billion consensus estimate, suggesting continued operating momentum despite business-mix challenges. Pitney Bowes Updates FY 2026 Guidance
• Neutral Sentiment: Sidoti raised its estimates for second-quarter and third-quarter FY 2027 EPS to $0.44 and $0.46, respectively, but the changes were mixed across the forecast period.
• Negative Sentiment: FY 2026 EPS guidance fell below expectations. Pitney Bowes now expects EPS of $1.58 to $1.67, versus the $1.68 consensus estimate. The midpoint of $1.625 implies modest downside to analyst expectations. Pitney Bowes Lifts Guidance
• Negative Sentiment: Analyst estimates were reduced. Sidoti cut its FY 2026 EPS forecast to $1.66 from $1.70 and lowered its Q4 2026 forecast to $0.34 from $0.44. Sidoti also reduced its Q4 2027 estimate to $0.42 from $0.49.
• Negative Sentiment: SendTech faces a projected revenue headwind. Management indicated that SendTech revenue could face a $60 million to $80 million headwind in 2027, raising concerns about near-term growth and profit momentum. Pitney Bowes Signals SendTech Revenue Headwind

About Pitney Bowes

Pitney Bowes Inc NYSE: PBI is a global technology and services company that helps businesses manage mailing, shipping and related communications. Its offerings include postage meters, mailing systems, shipping software, parcel management tools, address and data services, and equipment financing and support.

The company serves small businesses, large enterprises and government organizations through solutions designed to streamline the preparation, processing and delivery of physical mail and packages.

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