Informatica Inc. (NYSE:INFA) Receives Consensus Recommendation of "Reduce" from Analysts

Key Points

• Informatica Inc. has received a consensus recommendation of "Reduce" from 17 analysts, with one analyst issuing a sell rating and 16 giving a hold rating.
• The average target price for Informatica shares among brokers is currently $23.67, reflecting cautious outlooks from analysts.
• Informatica's latest earnings report showed earnings per share (EPS) of $0.18, missing expectations by $0.03, although the company reported revenue growth of 1.7% year-over-year.

Shares of Informatica Inc. (NYSE:INFA - Get Free Report) have been given a consensus recommendation of "Reduce" by the seventeen ratings firms that are covering the stock, MarketBeat reports. One investment analyst has rated the stock with a sell rating and sixteen have given a hold rating to the company. The average 1 year target price among brokers that have covered the stock in the last year is $23.6667.

Several research firms have issued reports on INFA. UBS Group increased their target price on Informatica from $21.00 to $25.00 and gave the stock a "neutral" rating in a research report on Thursday, August 7th. Guggenheim downgraded Informatica from a "buy" rating to a "neutral" rating and set a $27.00 target price on the stock. in a research report on Wednesday, August 6th. Finally, Weiss Ratings restated a "sell (d)" rating on shares of Informatica in a research report on Wednesday.

Informatica Trading Down 0.1%

NYSE:INFA opened at $24.89 on Friday. The company has a market cap of $7.58 billion, a P/E ratio of -622.25, a P/E/G ratio of 6.70 and a beta of 1.14. The stock's fifty day moving average price is $24.81 and its two-hundred day moving average price is $22.63. Informatica has a 1 year low of $15.65 and a 1 year high of $28.14. The company has a debt-to-equity ratio of 0.75, a current ratio of 2.01 and a quick ratio of 2.01.

Informatica (NYSE:INFA - Get Free Report) last posted its earnings results on Wednesday, August 6th. The technology company reported $0.18 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.21 by ($0.03). The company had revenue of $407.34 million for the quarter, compared to analysts' expectations of $401.76 million. Informatica had a positive return on equity of 4.64% and a negative net margin of 0.45%.The company's revenue was up 1.7% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.23 EPS. As a group, analysts expect that Informatica will post 0.63 EPS for the current year.

Insider Activity

In other news, insider Bruce R. Chizen sold 246,590 shares of the company's stock in a transaction on Tuesday, September 2nd. The shares were sold at an average price of $24.93, for a total value of $6,147,488.70. Following the transaction, the insider owned 368,874 shares of the company's stock, valued at approximately $9,196,028.82. This represents a 40.07% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, EVP John Arthur Schweitzer sold 49,104 shares of the company's stock in a transaction on Friday, August 15th. The stock was sold at an average price of $24.72, for a total transaction of $1,213,850.88. Following the completion of the transaction, the executive vice president directly owned 352,266 shares in the company, valued at approximately $8,708,015.52. The trade was a 12.23% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders sold 441,818 shares of company stock worth $10,965,526. Company insiders own 2.80% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in the company. Hudson Bay Capital Management LP bought a new position in shares of Informatica in the second quarter worth $121,750,000. Norges Bank bought a new position in Informatica in the second quarter valued at $101,723,000. Invesco Ltd. increased its stake in Informatica by 5.1% in the second quarter. Invesco Ltd. now owns 3,790,141 shares of the technology company's stock valued at $92,290,000 after acquiring an additional 182,304 shares during the last quarter. Nomura Holdings Inc. bought a new position in Informatica in the second quarter valued at $76,572,000. Finally, California State Teachers Retirement System increased its stake in Informatica by 555.6% in the second quarter. California State Teachers Retirement System now owns 2,332,271 shares of the technology company's stock valued at $56,791,000 after acquiring an additional 1,976,500 shares during the last quarter. Institutional investors own 98.45% of the company's stock.

About Informatica

Informatica Inc develops an artificial intelligence-powered platform that connects, manages, and unifies data across multi-vendor, multi-cloud, and hybrid systems at enterprise scale worldwide. Its platform includes a suite of interoperable data management products, including data integration products to ingest, transform, and integrate data; API and application integration products that enable users to create and manage APIs and integration processes for app-to-app synchronization, business process orchestration, B2B partner management, application development, and API management; data quality and observability products to profile, cleanse, standardize, observe, and monitor data to deliver accurate, complete, and consistent data; and master data management products to create an authoritative single source of truth of business-critical data.

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