Curbstone Financial Management Corp Acquires New Stake in Pegasystems Inc. $PEGA

Key Points

• Curbstone Financial Management acquired a new stake of 35,904 shares in Pegasystems (~$2.14M) in Q4, while several large funds (AQR, State Street, Bares, American Century, MFS) also materially increased positions, leaving institutional ownership at 46.89%.
• Wall Street consensus is a Moderate Buy with an average price target of $67.60, substantially above the recent share price (around $39.37).
• Pegasystems beat Q results (EPS $0.76 vs. $0.74 estimate; revenue $504.3M vs. $494.6M), set FY2026 guidance at $2.75 EPS, and announced a $0.03 quarterly dividend (0.3% yield).

Curbstone Financial Management Corp acquired a new stake in shares of Pegasystems Inc. (NASDAQ:PEGA - Free Report) during the fourth quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm acquired 35,904 shares of the technology company's stock, valued at approximately $2,144,000.

A number of other large investors have also made changes to their positions in PEGA. AQR Capital Management LLC boosted its stake in shares of Pegasystems by 236.2% during the second quarter. AQR Capital Management LLC now owns 4,037,552 shares of the technology company's stock valued at $217,584,000 after acquiring an additional 2,836,733 shares during the last quarter. State Street Corp boosted its stake in shares of Pegasystems by 255.3% during the second quarter. State Street Corp now owns 2,907,677 shares of the technology company's stock valued at $157,393,000 after acquiring an additional 2,089,375 shares during the last quarter. Bares Capital Management Inc. boosted its stake in shares of Pegasystems by 76.6% during the second quarter. Bares Capital Management Inc. now owns 3,542,716 shares of the technology company's stock valued at $191,767,000 after acquiring an additional 1,536,726 shares during the last quarter. American Century Companies Inc. boosted its stake in shares of Pegasystems by 357.6% during the third quarter. American Century Companies Inc. now owns 1,586,793 shares of the technology company's stock valued at $91,241,000 after acquiring an additional 1,239,998 shares during the last quarter. Finally, Massachusetts Financial Services Co. MA boosted its stake in shares of Pegasystems by 23.1% during the third quarter. Massachusetts Financial Services Co. MA now owns 4,987,291 shares of the technology company's stock valued at $286,769,000 after acquiring an additional 937,216 shares during the last quarter. Institutional investors and hedge funds own 46.89% of the company's stock.

Wall Street Analysts Forecast Growth

A number of research firms recently commented on PEGA. Royal Bank Of Canada set a $65.00 price objective on Pegasystems and gave the company an "outperform" rating in a research note on Thursday, February 12th. Citizens Jmp decreased their price target on Pegasystems from $78.00 to $58.00 and set a "market outperform" rating on the stock in a research note on Thursday, February 12th. Wedbush decreased their price target on Pegasystems from $75.00 to $60.00 and set an "outperform" rating on the stock in a research note on Thursday, February 12th. Rosenblatt Securities reissued a "buy" rating and issued a $62.00 price target on shares of Pegasystems in a research note on Thursday, February 12th. Finally, KeyCorp set a $60.00 price target on Pegasystems in a research note on Thursday, February 5th. One analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and two have issued a Hold rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average target price of $67.60.

Pegasystems Trading Down 1.3%

Shares of NASDAQ:PEGA opened at $39.37 on Friday. The stock's 50-day moving average price is $42.83 and its two-hundred day moving average price is $52.31. Pegasystems Inc. has a 12-month low of $32.94 and a 12-month high of $68.10. The firm has a market cap of $6.66 billion, a price-to-earnings ratio of 18.44 and a beta of 1.09.

Pegasystems (NASDAQ:PEGA - Get Free Report) last issued its quarterly earnings results on Tuesday, February 10th. The technology company reported $0.76 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.74 by $0.02. Pegasystems had a return on equity of 38.86% and a net margin of 22.54%.The firm had revenue of $504.32 million for the quarter, compared to analyst estimates of $494.60 million. During the same period last year, the company earned $0.80 EPS. The firm's quarterly revenue was up 2.8% on a year-over-year basis. Pegasystems has set its FY 2026 guidance at 2.750-2.750 EPS. As a group, research analysts forecast that Pegasystems Inc. will post 1.89 earnings per share for the current fiscal year.

Pegasystems Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 15th. Stockholders of record on Wednesday, April 1st will be issued a $0.03 dividend. This represents a $0.12 dividend on an annualized basis and a dividend yield of 0.3%. The ex-dividend date is Wednesday, April 1st. Pegasystems's dividend payout ratio (DPR) is 5.63%.

Insider Transactions at Pegasystems

In other news, insider Rifat Kerim Akgonul sold 7,594 shares of the firm's stock in a transaction dated Monday, March 16th. The stock was sold at an average price of $43.39, for a total value of $329,503.66. Following the transaction, the insider directly owned 111,429 shares in the company, valued at $4,834,904.31. This trade represents a 6.38% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CAO Efstathios A. Kouninis sold 1,000 shares of the firm's stock in a transaction dated Tuesday, March 17th. The stock was sold at an average price of $42.88, for a total value of $42,880.00. Following the completion of the transaction, the chief accounting officer owned 3,365 shares in the company, valued at approximately $144,291.20. This trade represents a 22.91% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders have sold 97,594 shares of company stock valued at $4,549,924. 49.70% of the stock is owned by company insiders.

About Pegasystems

Pegasystems Inc is a software company specializing in customer engagement and digital process automation solutions. Headquartered in Cambridge, Massachusetts, Pegasystems develops enterprise applications designed to help organizations streamline operations, manage customer interactions and automate complex workflows. Its platform supports a wide range of use cases, from sales and marketing optimization to case management and robotic process automation.

The core of Pegasystems' offering is the Pega Platform, a low-code development environment that enables businesses to build and deploy applications with minimal hand-coding.

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