PagerDuty (NYSE:PD) Given Consensus Recommendation of "Hold" by Brokerages

Key Points

• PagerDuty has a consensus “Hold” rating from 11 brokerages: three rate it a sell, five a hold, and three a buy. The average 12-month price target is $11.50, with recent analyst actions mixed.
• PagerDuty reported quarterly EPS of $0.32, beating estimates of $0.24, while revenue reached $120.97 million, up 1% year over year and slightly above expectations.
• The company approved a $100 million share-repurchase program, allowing it to buy back up to 16.4% of outstanding shares; institutional investors own approximately 97.26% of the stock.

PagerDuty (NYSE:PD - Get Free Report) has received a consensus rating of "Hold" from the eleven ratings firms that are currently covering the firm, MarketBeat Ratings reports. Three research analysts have rated the stock with a sell recommendation, five have assigned a hold recommendation and three have assigned a buy recommendation to the company. The average 12-month target price among brokerages that have covered the stock in the last year is $11.50.

Several research analysts recently commented on the stock. Morgan Stanley downgraded shares of PagerDuty from an "equal weight" rating to an "underweight" rating and dropped their target price for the stock from $10.00 to $9.00 in a report on Tuesday, July 21st. Royal Bank Of Canada boosted their price objective on PagerDuty from $8.00 to $9.00 and gave the stock a "sector perform" rating in a research report on Friday, May 29th. Weiss Ratings upgraded PagerDuty from a "sell (d)" rating to a "sell (d+)" rating in a research note on Monday, July 13th. Truist Financial raised their target price on PagerDuty from $9.00 to $11.00 and gave the company a "buy" rating in a report on Thursday, July 9th. Finally, Wall Street Zen lowered PagerDuty from a "buy" rating to a "hold" rating in a report on Saturday, July 25th.

PagerDuty Stock Down 0.9%

Shares of PagerDuty stock opened at $11.12 on Friday. The stock has a market capitalization of $857.73 million, a P/E ratio of 5.45, a PEG ratio of 2.88 and a beta of 0.93. The company has a quick ratio of 1.95, a current ratio of 1.95 and a debt-to-equity ratio of 1.83. The stock has a 50 day moving average price of $9.73 and a two-hundred day moving average price of $8.21. PagerDuty has a 12-month low of $5.70 and a 12-month high of $17.29.

PagerDuty (NYSE:PD - Get Free Report) last announced its quarterly earnings results on Thursday, May 28th. The company reported $0.32 EPS for the quarter, beating the consensus estimate of $0.24 by $0.08. PagerDuty had a return on equity of 18.20% and a net margin of 38.60%.The company had revenue of $120.97 million for the quarter, compared to the consensus estimate of $119.52 million. During the same quarter last year, the company posted $0.24 earnings per share. The company's revenue for the quarter was up 1.0% compared to the same quarter last year. PagerDuty has set its Q2 2027 guidance at 0.290-0.310 EPS. Equities analysts expect that PagerDuty will post 0.58 earnings per share for the current year.

PagerDuty declared that its Board of Directors has approved a share repurchase program on Thursday, May 28th that allows the company to buyback $100.00 million in shares. This buyback authorization allows the company to repurchase up to 16.4% of its stock through open market purchases. Stock buyback programs are usually an indication that the company's leadership believes its shares are undervalued.

Institutional Investors Weigh In On PagerDuty

Several hedge funds and other institutional investors have recently modified their holdings of the stock. Vanguard Group Inc. increased its position in PagerDuty by 3.8% during the fourth quarter. Vanguard Group Inc. now owns 13,066,929 shares of the company's stock worth $171,307,000 after acquiring an additional 472,975 shares during the period. Geode Capital Management LLC boosted its holdings in PagerDuty by 2.9% in the 4th quarter. Geode Capital Management LLC now owns 2,113,117 shares of the company's stock valued at $27,708,000 after purchasing an additional 58,881 shares during the period. Ameriprise Financial Inc. grew its position in PagerDuty by 333.2% in the 3rd quarter. Ameriprise Financial Inc. now owns 1,450,429 shares of the company's stock worth $23,961,000 after purchasing an additional 1,115,577 shares during the last quarter. Loomis Sayles & Co. L P grew its position in PagerDuty by 0.3% in the 4th quarter. Loomis Sayles & Co. L P now owns 1,092,963 shares of the company's stock worth $14,329,000 after purchasing an additional 3,276 shares during the last quarter. Finally, Millennium Management LLC increased its holdings in shares of PagerDuty by 55.4% during the 1st quarter. Millennium Management LLC now owns 1,005,111 shares of the company's stock worth $18,363,000 after purchasing an additional 358,347 shares during the period. Institutional investors and hedge funds own 97.26% of the company's stock.

About PagerDuty

PagerDuty, Inc engages in the operation of a digital operations management platform in the United States and internationally. The company's digital operations management platform collects data and digital signals from virtually any software-enabled system or device and leverage machine learning to correlate, process, and predict opportunities and issues. Its platform includes PagerDuty Incident Management that provides a real-time view across the status of a digital service while incorporating noise reduction to remove false positives; AIOps that applies machine learning to correlate and automate the identification of incidents from billions of events; Process Automation offers centralized design time and run time environment for orchestrating automated workflows that span across departments, technologies, and networks; Customer Service Operations, which is offered to orchestrate, automate, and scale responses to customer impacting issues.

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