Citigroup Upgrades BILL (NYSE:BILL) to "Strong-Buy"

Key Points

• Citigroup has upgraded BILL (NYSE:BILL) to a "strong-buy" rating, indicating positive sentiment towards the company's stock.
• BILL's recent earnings report showed $0.53 earnings per share, surpassing estimates, with quarterly revenue up 11.5% year-over-year.
• The company initiated a $300 million stock buyback plan, reflecting management's belief that the stock is undervalued.

BILL (NYSE:BILL - Get Free Report) was upgraded by stock analysts at Citigroup to a "strong-buy" rating in a research note issued on Thursday,Zacks.com reports.

Several other equities research analysts also recently issued reports on BILL. Wolfe Research upgraded shares of BILL from a "peer perform" rating to an "outperform" rating and set a $70.00 price objective on the stock in a research note on Thursday, September 11th. Mizuho cut their price target on BILL from $50.00 to $43.00 and set a "neutral" rating for the company in a report on Thursday, August 28th. Oppenheimer reaffirmed an "outperform" rating and issued a $55.00 price target on shares of BILL in a report on Thursday, August 28th. Robert W. Baird dropped their price objective on BILL from $55.00 to $52.00 and set a "neutral" rating for the company in a report on Friday, July 18th. Finally, Weiss Ratings restated a "sell (d+)" rating on shares of BILL in a research report on Wednesday, October 8th. One investment analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating, nine have assigned a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat, the stock has an average rating of "Hold" and a consensus target price of $59.95.

BILL Price Performance

Shares of BILL opened at $50.69 on Thursday. The firm has a market cap of $5.15 billion, a PE ratio of -316.80, a PEG ratio of 13.53 and a beta of 1.42. The firm's 50 day moving average price is $49.46 and its 200 day moving average price is $46.07. The company has a debt-to-equity ratio of 0.38, a quick ratio of 1.58 and a current ratio of 1.58. BILL has a twelve month low of $36.55 and a twelve month high of $100.19.

BILL (NYSE:BILL - Get Free Report) last issued its quarterly earnings data on Wednesday, August 27th. The company reported $0.53 earnings per share for the quarter, beating the consensus estimate of $0.41 by $0.12. The firm had revenue of $383.35 million for the quarter, compared to analyst estimates of $376.43 million. BILL had a net margin of 1.63% and a return on equity of 1.16%. The company's revenue for the quarter was up 11.5% on a year-over-year basis. During the same quarter last year, the firm earned $0.57 earnings per share. BILL has set its FY 2026 guidance at 2.000-2.200 EPS. Q1 2026 guidance at 0.490-0.520 EPS. As a group, research analysts expect that BILL will post 0.12 EPS for the current fiscal year.

BILL declared that its Board of Directors has initiated a stock buyback plan on Wednesday, August 27th that allows the company to repurchase $300.00 million in shares. This repurchase authorization allows the company to repurchase up to 7.2% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company's board believes its shares are undervalued.

Hedge Funds Weigh In On BILL

A number of large investors have recently bought and sold shares of BILL. Nomura Holdings Inc. boosted its position in BILL by 7,753.6% during the 2nd quarter. Nomura Holdings Inc. now owns 1,486,762 shares of the company's stock worth $68,778,000 after acquiring an additional 1,467,831 shares during the last quarter. Contour Asset Management LLC acquired a new position in BILL during the 1st quarter worth approximately $65,783,000. Dimensional Fund Advisors LP boosted its position in BILL by 110.9% during the 1st quarter. Dimensional Fund Advisors LP now owns 2,489,918 shares of the company's stock worth $114,265,000 after acquiring an additional 1,309,337 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its position in BILL by 133.5% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 2,038,609 shares of the company's stock worth $93,552,000 after acquiring an additional 1,165,398 shares during the last quarter. Finally, Norges Bank acquired a new position in BILL during the 2nd quarter worth approximately $52,908,000. Institutional investors and hedge funds own 97.99% of the company's stock.

BILL Company Profile

BILL Holdings, Inc provides financial automation software for small and midsize businesses worldwide. The company provides software-as-a-service, cloud-based payments, and spend management products, which allow users to automate accounts payable and accounts receivable transactions, as well as enable users to connect with their suppliers and/or customers to do business, eliminate expense reports, manage cash flows, and improve office efficiency.

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