CSG Systems International (NASDAQ:CSGS) Stock Crosses Above 200-Day Moving Average - Should You Sell?

Key Points

• Technical breakout: Shares crossed above their 200-day moving average, trading as high as $80.19 and last at $80.12 versus the 200-day average of $75.26, signaling short-term bullish momentum.
• Mixed fundamentals: CSGS beat estimates with $1.53 EPS (vs. $1.33 est.) and $323.09M revenue (vs. $296.25M), but analysts maintain a consensus Hold and an average target of $72.43 (below the current price), and Weiss recently downgraded the stock to Hold.
• Shareholder returns and ownership: The company raised its quarterly dividend to $0.34 (annualized $1.36, yield 1.7%, payout ratio 68.34%) and institutional investors own about 91.07% of the stock with several funds adding positions recently.

Shares of CSG Systems International, Inc. (NASDAQ:CSGS - Get Free Report) crossed above its 200-day moving average during trading on Wednesday . The stock has a 200-day moving average of $75.26 and traded as high as $80.19. CSG Systems International shares last traded at $80.12, with a volume of 370,373 shares trading hands.

Wall Street Analysts Forecast Growth

Separately, Weiss Ratings cut CSG Systems International from a "buy (b)" rating to a "hold (c+)" rating in a report on Monday, February 23rd. One analyst has rated the stock with a Buy rating and nine have given a Hold rating to the company. Based on data from MarketBeat, CSG Systems International currently has a consensus rating of "Hold" and an average target price of $72.43.

CSG Systems International Trading Up 0.1%

The stock has a 50 day moving average of $79.79 and a 200-day moving average of $75.26. The company has a market capitalization of $2.28 billion, a P/E ratio of 40.26, a P/E/G ratio of 1.89 and a beta of 0.87. The company has a current ratio of 1.44, a quick ratio of 1.44 and a debt-to-equity ratio of 1.90.

CSG Systems International (NASDAQ:CSGS - Get Free Report) last released its earnings results on Wednesday, February 4th. The technology company reported $1.53 EPS for the quarter, topping analysts' consensus estimates of $1.33 by $0.20. CSG Systems International had a net margin of 4.57% and a return on equity of 36.85%. The company had revenue of $323.09 million for the quarter, compared to analysts' expectations of $296.25 million. On average, research analysts predict that CSG Systems International, Inc. will post 3.83 EPS for the current year.

CSG Systems International Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, April 1st. Investors of record on Wednesday, March 18th will be paid a dividend of $0.34 per share. This is a positive change from CSG Systems International's previous quarterly dividend of $0.32. The ex-dividend date is Wednesday, March 18th. This represents a $1.36 dividend on an annualized basis and a dividend yield of 1.7%. CSG Systems International's dividend payout ratio is presently 68.34%.

Institutional Investors Weigh In On CSG Systems International

Institutional investors have recently bought and sold shares of the business. Water Island Capital LLC purchased a new position in shares of CSG Systems International in the fourth quarter valued at about $11,559,000. Defiance ETFs LLC purchased a new stake in shares of CSG Systems International during the fourth quarter worth about $11,874,000. Marshall Wace LLP raised its stake in CSG Systems International by 158.4% during the 4th quarter. Marshall Wace LLP now owns 131,286 shares of the technology company's stock valued at $10,068,000 after purchasing an additional 80,476 shares during the period. Carmignac Gestion bought a new stake in CSG Systems International during the 4th quarter valued at approximately $7,907,000. Finally, Bradley Foster & Sargent Inc. CT lifted its holdings in CSG Systems International by 2.9% in the 4th quarter. Bradley Foster & Sargent Inc. CT now owns 10,862 shares of the technology company's stock worth $833,000 after purchasing an additional 304 shares in the last quarter. Hedge funds and other institutional investors own 91.07% of the company's stock.

CSG Systems International Company Profile

CSG Systems International NASDAQ: CSGS is a global provider of business support systems and digital monetization solutions designed for communications and media service providers. Headquartered in Englewood, Colorado, the company delivers a suite of subscription billing, customer care, revenue management and digital commerce offerings that enable operators to launch, manage and monetize connectivity, entertainment and IoT services. CSG's software platforms are built to support high-volume transaction processing, real-time rating and modern customer engagement capabilities.

Since its incorporation in 1982, CSG has expanded its footprint across North America, Latin America, Europe, the Middle East, Africa and the Asia-Pacific region.

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