Vertex (NASDAQ:VERX) Upgraded at Wall Street Zen

Key Points

• Wall Street Zen upgraded Vertex from “hold” to “buy,” although the broader analyst consensus remains “hold,” with seven Buy, seven Hold and one Sell rating and a consensus price target of $17.50.
• Vertex shares opened at $13.37, down 2.1%, with a market capitalization of $2.17 billion. The stock trades at a notably high P/E ratio of 668.83 and remains below its one-year high of $26.54.
• Vertex exceeded quarterly expectations, reporting $0.20 in EPS versus the $0.19 estimate and revenue of $203.97 million versus $202.21 million; revenue increased 10.5% year over year. Institutional investors own 70.32% of the company.

Vertex (NASDAQ:VERX - Get Free Report) was upgraded by Wall Street Zen from a "hold" rating to a "buy" rating in a research report issued to clients and investors on Sunday, Wall Street Zen reports.

VERX has been the subject of a number of other reports. BMO Capital Markets boosted their target price on shares of Vertex from $14.00 to $15.00 and gave the company a "market perform" rating in a research report on Tuesday, August 4th. Weiss Ratings raised shares of Vertex from a "sell (e+)" rating to a "sell (d)" rating in a report on Wednesday, August 5th. Stephens cut their price target on Vertex from $20.00 to $18.00 and set an "overweight" rating on the stock in a research report on Tuesday, August 4th. Morgan Stanley reaffirmed an "equal weight" rating and set a $15.00 price target (down from $19.00) on shares of Vertex in a research report on Tuesday, July 21st. Finally, TD Cowen reduced their price objective on Vertex from $16.00 to $15.00 and set a "buy" rating for the company in a research note on Tuesday. Seven equities research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus target price of $17.50.

Vertex Stock Down 2.1%

NASDAQ VERX opened at $13.37 on Friday. Vertex has a one year low of $10.21 and a one year high of $26.54. The stock has a 50 day moving average price of $12.76 and a 200-day moving average price of $12.57. The company has a debt-to-equity ratio of 1.40, a quick ratio of 0.87 and a current ratio of 0.87. The company has a market capitalization of $2.17 billion, a P/E ratio of 668.83 and a beta of 0.83.

Vertex (NASDAQ:VERX - Get Free Report) last posted its quarterly earnings results on Monday, August 3rd. The company reported $0.20 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.19 by $0.01. The company had revenue of $203.97 million during the quarter, compared to analyst estimates of $202.21 million. Vertex had a net margin of 0.45% and a return on equity of 29.00%. Vertex's revenue for the quarter was up 10.5% compared to the same quarter last year. During the same period last year, the firm posted $0.15 EPS. As a group, equities analysts predict that Vertex will post 0.54 EPS for the current fiscal year.

Hedge Funds Weigh In On Vertex

Several institutional investors have recently made changes to their positions in VERX. Healthcare of Ontario Pension Plan Trust Fund acquired a new position in Vertex in the 1st quarter valued at $37,796,000. Arrowstreet Capital Limited Partnership boosted its stake in Vertex by 1,906.8% during the 1st quarter. Arrowstreet Capital Limited Partnership now owns 935,668 shares of the company's stock worth $11,125,000 after purchasing an additional 889,042 shares during the last quarter. Counterpoint Mutual Funds LLC acquired a new stake in Vertex during the 1st quarter worth $4,836,000. North Star Asset Management Inc. acquired a new stake in Vertex during the 2nd quarter worth $2,899,000. Finally, Allianz Asset Management GmbH purchased a new stake in shares of Vertex during the second quarter worth $2,182,000. 70.32% of the stock is owned by hedge funds and other institutional investors.

Vertex Company Profile

Vertex, Inc NASDAQ: VERX is a provider of tax technology solutions designed to help businesses manage transaction tax compliance. Its software supports the calculation, collection, reporting and remittance of taxes such as sales and use tax, value-added tax, goods and services tax, and communications tax.

The company offers cloud-based and enterprise tax solutions that integrate with accounting, enterprise resource planning, e-commerce and other business systems. Its products are designed to automate tax determination, tax returns and compliance workflows, manage tax data and support tax content across complex business operations.

Founded in 1978, Vertex is headquartered in King of Prussia, Pennsylvania, and serves organizations in the United States and international markets.

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