Pegasystems Inc. (NASDAQ:PEGA) Receives $61.83 Consensus PT from Brokerages

Key Points

• Pegasystems Inc. has received a consensus rating of "Moderate Buy" from nine brokerages, with an average 12-month price target of $61.83.
• Recent insider selling includes Chairman Alan Trefler, who sold 63,000 shares for approximately $3 million, decreasing his position by 0.18%.
• Pegasystems has reported a 9.5% annual revenue increase with a quarterly revenue of $384.51 million, exceeding analyst expectations.

Shares of Pegasystems Inc. (NASDAQ:PEGA - Get Free Report) have earned an average rating of "Moderate Buy" from the nine brokerages that are presently covering the stock, MarketBeat Ratings reports. Two analysts have rated the stock with a hold rating and seven have assigned a buy rating to the company. The average 1-year price objective among analysts that have issued a report on the stock in the last year is $61.8333.

A number of analysts recently weighed in on PEGA shares. Royal Bank Of Canada restated an "outperform" rating and issued a $60.00 price objective on shares of Pegasystems in a report on Tuesday, June 3rd. JMP Securities increased their price objective on Pegasystems from $55.00 to $62.50 and gave the company a "market outperform" rating in a report on Tuesday, June 3rd. DA Davidson increased their price objective on Pegasystems from $50.00 to $60.00 and gave the company a "neutral" rating in a report on Thursday, July 24th. Barclays increased their price objective on Pegasystems from $50.00 to $58.00 and gave the company an "equal weight" rating in a report on Wednesday, July 23rd. Finally, Wall Street Zen cut shares of Pegasystems from a "strong-buy" rating to a "buy" rating in a research report on Saturday, July 26th.

Insiders Place Their Bets

In related news, CAO Efstathios A. Kouninis sold 1,196 shares of the firm's stock in a transaction dated Thursday, June 5th. The shares were sold at an average price of $51.50, for a total value of $61,594.00. Following the transaction, the chief accounting officer owned 332 shares of the company's stock, valued at approximately $17,098. This trade represents a 78.27% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Chairman Alan Trefler sold 63,000 shares of the firm's stock in a transaction dated Tuesday, May 27th. The shares were sold at an average price of $48.25, for a total transaction of $3,039,750.00. Following the completion of the transaction, the chairman directly owned 34,243,120 shares in the company, valued at approximately $1,652,230,540. The trade was a 0.18% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 247,049 shares of company stock worth $14,142,653 in the last 90 days. Company insiders own 50.10% of the company's stock.

Hedge Funds Weigh In On Pegasystems

Large investors have recently added to or reduced their stakes in the business. Spire Wealth Management increased its stake in Pegasystems by 274.2% in the 2nd quarter. Spire Wealth Management now owns 565 shares of the technology company's stock valued at $31,000 after buying an additional 414 shares during the last quarter. CX Institutional bought a new position in Pegasystems in the 1st quarter valued at $36,000. SBI Securities Co. Ltd. boosted its holdings in Pegasystems by 139.7% in the 1st quarter. SBI Securities Co. Ltd. now owns 549 shares of the technology company's stock valued at $38,000 after purchasing an additional 320 shares during the period. UMB Bank n.a. lifted its holdings in shares of Pegasystems by 159.8% during the 2nd quarter. UMB Bank n.a. now owns 730 shares of the technology company's stock worth $40,000 after acquiring an additional 449 shares during the last quarter. Finally, GAMMA Investing LLC lifted its holdings in shares of Pegasystems by 50.5% during the 1st quarter. GAMMA Investing LLC now owns 599 shares of the technology company's stock worth $42,000 after acquiring an additional 201 shares during the last quarter. Institutional investors own 46.89% of the company's stock.

Pegasystems Stock Performance

Shares of PEGA stock traded up $1.09 during trading on Friday, hitting $58.49. The company had a trading volume of 987,665 shares, compared to its average volume of 2,019,411. The firm has a market capitalization of $10.01 billion, a P/E ratio of 50.21 and a beta of 1.10. The stock's 50-day moving average price is $52.25 and its 200 day moving average price is $46.03. Pegasystems has a one year low of $29.84 and a one year high of $60.96.

Pegasystems (NASDAQ:PEGA - Get Free Report) last announced its quarterly earnings data on Tuesday, July 22nd. The technology company reported $0.28 EPS for the quarter, beating the consensus estimate of $0.24 by $0.04. The business had revenue of $384.51 million during the quarter, compared to the consensus estimate of $345.07 million. Pegasystems had a net margin of 13.14% and a return on equity of 42.42%. The company's revenue was up 9.5% on a year-over-year basis. During the same period in the previous year, the business earned $0.26 earnings per share. On average, research analysts anticipate that Pegasystems will post 1.89 earnings per share for the current fiscal year.

Pegasystems Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, July 15th. Investors of record on Tuesday, July 1st were given a $0.03 dividend. This represents a $0.12 annualized dividend and a yield of 0.2%. The ex-dividend date of this dividend was Tuesday, July 1st. This is a positive change from Pegasystems's previous quarterly dividend of $0.02. Pegasystems's payout ratio is 10.34%.

Pegasystems Company Profile

Pegasystems Inc develops, markets, licenses, hosts, and supports enterprise software in the United States, rest of the Americas, the United Kingdom, rest of Europe, the Middle East, Africa, and the Asia-Pacific. The company provides Pega Infinity, a software portfolio comprising of Pega Customer Decision Hub, a real-time AI-powered decision engine to enhance customer acquisition and experiences across inbound, outbound, and paid media channels; Pega Customer Service to anticipate customer needs, connect customers to people and systems, and automate customer interactions to evolve the customer service experience, as well as to allow enterprises to deliver interactions across channels and enhance employee productivity; and Pega Platform, an intelligent automation software for increasing efficiency of clients' processes and workflows.