Evertec (NYSE:EVTC) Downgraded by Zacks Research to "Hold"

Key Points

• Evertec has been downgraded by Zacks Research from a "strong-buy" rating to a "hold" rating, reflecting analysts' caution regarding the stock.
• Investment ratings for Evertec vary, with three analysts rating it as Buy and four assigning it a Hold rating, while the average target price is set at $39.00.
• The company reported a quarterly revenue of $229.61 million, exceeding analyst expectations, with earnings per share of $0.89, beating the consensus estimate by $0.03.

Evertec (NYSE:EVTC - Get Free Report) was downgraded by analysts at Zacks Research from a "strong-buy" rating to a "hold" rating in a report issued on Monday,Zacks.com reports.

Several other brokerages have also recently weighed in on EVTC. Morgan Stanley decreased their price objective on shares of Evertec from $35.00 to $34.00 and set an "equal weight" rating on the stock in a research note on Thursday, July 31st. Deutsche Bank Aktiengesellschaft initiated coverage on shares of Evertec in a research note on Thursday, July 17th. They set a "hold" rating and a $35.00 price objective on the stock. Finally, Raymond James Financial reissued an "outperform" rating and set a $43.00 price target (up from $42.00) on shares of Evertec in a research note on Thursday, July 31st. Three investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company's stock. According to MarketBeat.com, the stock has an average rating of "Hold" and an average target price of $39.00.

Evertec Stock Performance

NYSE EVTC opened at $33.75 on Monday. The company has a quick ratio of 2.20, a current ratio of 2.20 and a debt-to-equity ratio of 1.49. The stock has a market cap of $2.16 billion, a P/E ratio of 15.92, a PEG ratio of 1.68 and a beta of 0.93. Evertec has a twelve month low of $31.41 and a twelve month high of $38.56. The company's 50-day simple moving average is $34.82 and its 200 day simple moving average is $35.29.

Evertec (NYSE:EVTC - Get Free Report) last issued its quarterly earnings data on Wednesday, July 30th. The business services provider reported $0.89 earnings per share for the quarter, topping the consensus estimate of $0.86 by $0.03. The firm had revenue of $229.61 million for the quarter, compared to analysts' expectations of $222.23 million. Evertec had a net margin of 15.56% and a return on equity of 36.67%. The company's quarterly revenue was up 8.3% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.83 earnings per share. Evertec has set its FY 2025 guidance at 3.440-3.520 EPS. As a group, research analysts forecast that Evertec will post 2.63 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Evertec

Large investors have recently bought and sold shares of the business. Principal Financial Group Inc. lifted its holdings in Evertec by 2.3% in the first quarter. Principal Financial Group Inc. now owns 317,649 shares of the business services provider's stock valued at $11,680,000 after buying an additional 7,125 shares during the period. Allspring Global Investments Holdings LLC lifted its holdings in Evertec by 55.3% in the first quarter. Allspring Global Investments Holdings LLC now owns 11,180 shares of the business services provider's stock valued at $414,000 after buying an additional 3,980 shares during the period. Blue Trust Inc. lifted its holdings in Evertec by 39.2% in the first quarter. Blue Trust Inc. now owns 1,522 shares of the business services provider's stock valued at $56,000 after buying an additional 429 shares during the period. GAMMA Investing LLC lifted its holdings in Evertec by 4,773.8% in the first quarter. GAMMA Investing LLC now owns 14,524 shares of the business services provider's stock valued at $534,000 after buying an additional 14,226 shares during the period. Finally, Fifth Third Bancorp lifted its holdings in Evertec by 44.7% in the first quarter. Fifth Third Bancorp now owns 1,699 shares of the business services provider's stock valued at $62,000 after buying an additional 525 shares during the period. 96.80% of the stock is currently owned by institutional investors and hedge funds.

About Evertec

EVERTEC, Inc engages in transaction processing business and financial technology in Latin America and the Caribbean. The company operates through four segments: Payment Services - Puerto Rico & Caribbean; Latin America Payments and Solutions; Merchant Acquiring; and Business Solutions. It provides merchant acquiring services, which enable point of sales and e-commerce merchants to accept and process electronic methods of payment, such as debit, credit, prepaid, and electronic benefit transfer (EBT) cards.

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