Aristeia Capital L.L.C. Invests $341,000 in Pitney Bowes Inc. $PBI

Key Points

• Aristeia Capital L.L.C. acquired 37,669 shares of Pitney Bowes, valued at approximately $341,000, indicating growing institutional interest in the company.
• Pitney Bowes announced a stock repurchase program allowing for the buyback of up to $400 million in shares, suggesting the board believes the stock is undervalued.
• The company raised its quarterly dividend from $0.07 to $0.08 per share, representing an annual yield of 2.6% for shareholders.

Aristeia Capital L.L.C. bought a new position in shares of Pitney Bowes Inc. (NYSE:PBI - Free Report) in the 1st quarter, according to the company in its most recent 13F filing with the SEC. The firm bought 37,669 shares of the technology company's stock, valued at approximately $341,000.

A number of other hedge funds and other institutional investors also recently made changes to their positions in the business. Caxton Associates LLP bought a new stake in shares of Pitney Bowes during the first quarter worth $1,697,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its position in shares of Pitney Bowes by 5.6% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 97,424 shares of the technology company's stock worth $882,000 after acquiring an additional 5,149 shares during the last quarter. Jacobs Levy Equity Management Inc. bought a new stake in shares of Pitney Bowes during the first quarter worth $679,000. Bosun Asset Management LLC bought a new stake in shares of Pitney Bowes during the first quarter worth $347,000. Finally, AQR Capital Management LLC raised its position in shares of Pitney Bowes by 2,074.5% during the first quarter. AQR Capital Management LLC now owns 728,483 shares of the technology company's stock worth $6,593,000 after acquiring an additional 694,982 shares during the last quarter. 67.88% of the stock is currently owned by institutional investors and hedge funds.

Pitney Bowes Stock Performance

NYSE:PBI traded down $0.03 on Friday, reaching $11.41. The company's stock had a trading volume of 2,020,331 shares, compared to its average volume of 3,070,381. Pitney Bowes Inc. has a 1-year low of $6.61 and a 1-year high of $13.11. The firm has a market cap of $1.96 billion, a PE ratio of -19.01, a PEG ratio of 0.59 and a beta of 1.29. The business's 50-day moving average price is $11.70 and its two-hundred day moving average price is $10.28.

Pitney Bowes (NYSE:PBI - Get Free Report) last posted its earnings results on Wednesday, July 30th. The technology company reported $0.27 earnings per share (EPS) for the quarter, meeting analysts' consensus estimates of $0.27. Pitney Bowes had a negative return on equity of 38.01% and a negative net margin of 5.60%.The firm had revenue of $461.91 million during the quarter, compared to analysts' expectations of $475.92 million. During the same period in the previous year, the firm earned $0.03 earnings per share. The company's revenue was down 5.7% on a year-over-year basis. Pitney Bowes has set its FY 2025 guidance at 1.200-1.400 EPS. As a group, sell-side analysts expect that Pitney Bowes Inc. will post 1.21 EPS for the current year.

Pitney Bowes Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, September 8th. Shareholders of record on Monday, August 11th were paid a $0.08 dividend. The ex-dividend date of this dividend was Monday, August 11th. This is a positive change from Pitney Bowes's previous quarterly dividend of $0.07. This represents a $0.32 dividend on an annualized basis and a yield of 2.8%. Pitney Bowes's payout ratio is presently -53.33%.

Pitney Bowes announced that its board has initiated a stock repurchase plan on Wednesday, July 30th that allows the company to repurchase $400.00 million in outstanding shares. This repurchase authorization allows the technology company to reacquire up to 18.9% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company's leadership believes its shares are undervalued.

Analyst Upgrades and Downgrades

Separately, Wall Street Zen cut Pitney Bowes from a "strong-buy" rating to a "buy" rating in a research note on Friday, August 22nd. One analyst has rated the stock with a Hold rating, According to MarketBeat, the stock has a consensus rating of "Hold".

Insider Transactions at Pitney Bowes

In other Pitney Bowes news, EVP Deborah Pfeiffer sold 35,000 shares of the business's stock in a transaction dated Monday, July 14th. The stock was sold at an average price of $12.14, for a total value of $424,900.00. Following the completion of the transaction, the executive vice president directly owned 115,405 shares of the company's stock, valued at approximately $1,401,016.70. The trade was a 23.27% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Brent D. Rosenthal acquired 3,000 shares of Pitney Bowes stock in a transaction dated Wednesday, September 3rd. The shares were purchased at an average cost of $11.97 per share, with a total value of $35,910.00. Following the completion of the transaction, the director directly owned 3,000 shares of the company's stock, valued at $35,910. This trade represents a ∞ increase in their ownership of the stock. The disclosure for this purchase can be found here. 9.00% of the stock is currently owned by insiders.

About Pitney Bowes

Pitney Bowes Inc, a shipping and mailing company, provides technology, logistics, and financial services to small and medium-sized businesses, large enterprises, retailers, and government clients in the United States and internationally. It operates through Global Ecommerce, Presort Services, and SendTech Solutions segments.