Pitney Bowes (NYSE:PBI) Shares Gap Up - Still a Buy?

Key Points

• Pitney Bowes shares gapped up, opening at $14.25 vs a prior close of $13.19 and last trading around $14.53 on volume of ~1.68M, with a market cap of about $2.06B.
• Analyst sentiment is mixed with a consensus rating of Hold (2 Buys, 5 Holds, 1 Sell) and an average price target of $11.25, while Bank of America initiated coverage with an Underperform $9 target.
• The company beat EPS estimates ($0.45 vs $0.38) despite a 7.5% YoY revenue decline, set FY2026 guidance of 1.40–1.60 EPS, pays a $0.09 quarterly dividend (2.5% yield), and has seen recent insider sales amid ~67.9% institutional ownership.

Shares of Pitney Bowes Inc. (NYSE:PBI - Get Free Report) gapped up prior to trading on Tuesday . The stock had previously closed at $13.19, but opened at $14.25. Pitney Bowes shares last traded at $14.5340, with a volume of 1,678,432 shares trading hands.

Analyst Ratings Changes

PBI has been the topic of a number of recent research reports. Zacks Research lowered Pitney Bowes from a "strong-buy" rating to a "hold" rating in a research note on Thursday, February 19th. Weiss Ratings reiterated a "hold (c)" rating on shares of Pitney Bowes in a report on Friday, March 27th. Citigroup reiterated an "outperform" rating on shares of Pitney Bowes in a report on Friday. Citizens Jmp boosted their price target on Pitney Bowes from $13.00 to $14.00 and gave the company a "market outperform" rating in a report on Friday. Finally, Bank of America started coverage on Pitney Bowes in a report on Tuesday, February 17th. They issued an "underperform" rating and a $9.00 price target for the company. Two research analysts have rated the stock with a Buy rating, five have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the stock has an average rating of "Hold" and a consensus price target of $11.25.

Pitney Bowes Stock Performance

The company has a fifty day simple moving average of $10.85 and a two-hundred day simple moving average of $10.53. The company has a market capitalization of $2.06 billion, a price-to-earnings ratio of 17.26, a P/E/G ratio of 0.89 and a beta of 1.39.

Pitney Bowes (NYSE:PBI - Get Free Report) last issued its quarterly earnings results on Tuesday, February 17th. The technology company reported $0.45 earnings per share for the quarter, beating the consensus estimate of $0.38 by $0.07. The company had revenue of $477.63 million during the quarter, compared to the consensus estimate of $482.47 million. Pitney Bowes had a negative return on equity of 36.91% and a net margin of 7.65%.Pitney Bowes's revenue was down 7.5% on a year-over-year basis. During the same period in the previous year, the firm posted $0.32 EPS. Pitney Bowes has set its FY 2026 guidance at 1.400-1.600 EPS. As a group, analysts expect that Pitney Bowes Inc. will post 1.46 EPS for the current year.

Pitney Bowes Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Monday, March 30th. Stockholders of record on Friday, February 27th were issued a dividend of $0.09 per share. This represents a $0.36 dividend on an annualized basis and a dividend yield of 2.5%. The ex-dividend date was Friday, February 27th. Pitney Bowes's dividend payout ratio is presently 43.37%.

Insiders Place Their Bets

In other news, CEO Kurt James Wolf sold 39,919 shares of the company's stock in a transaction on Thursday, April 2nd. The stock was sold at an average price of $11.14, for a total transaction of $444,697.66. Following the completion of the sale, the chief executive officer directly owned 539,618 shares in the company, valued at $6,011,344.52. This represents a 6.89% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Brent D. Rosenthal acquired 4,000 shares of the company's stock in a transaction dated Friday, March 13th. The shares were purchased at an average price of $10.22 per share, with a total value of $40,880.00. Following the completion of the acquisition, the director owned 9,000 shares in the company, valued at approximately $91,980. The trade was a 80.00% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Over the last 90 days, insiders have sold 502,939 shares of company stock valued at $5,352,655. Insiders own 6.50% of the company's stock.

Institutional Trading of Pitney Bowes

A number of institutional investors and hedge funds have recently made changes to their positions in PBI. LSV Asset Management increased its holdings in shares of Pitney Bowes by 246.7% during the 4th quarter. LSV Asset Management now owns 4,197,189 shares of the technology company's stock worth $44,364,000 after buying an additional 2,986,689 shares during the last quarter. Cannell & Spears LLC increased its holdings in shares of Pitney Bowes by 89.5% during the 3rd quarter. Cannell & Spears LLC now owns 3,364,466 shares of the technology company's stock worth $38,389,000 after buying an additional 1,588,579 shares during the last quarter. Assenagon Asset Management S.A. acquired a new stake in shares of Pitney Bowes during the 1st quarter worth $16,403,000. Millennium Management LLC increased its holdings in shares of Pitney Bowes by 60.2% during the 4th quarter. Millennium Management LLC now owns 2,630,801 shares of the technology company's stock worth $27,808,000 after buying an additional 988,653 shares during the last quarter. Finally, Cibc World Market Inc. increased its holdings in shares of Pitney Bowes by 2,724.6% during the 3rd quarter. Cibc World Market Inc. now owns 836,071 shares of the technology company's stock worth $9,540,000 after buying an additional 806,471 shares during the last quarter. 67.88% of the stock is currently owned by institutional investors and hedge funds.

Pitney Bowes Company Profile

Pitney Bowes Inc NYSE: PBI is an American technology company that specializes in shipping, mailing, and e-commerce solutions. Founded in 1920 by Walter Bowes and Arthur Pitney, the company pioneered postage meter technology and has since evolved to offer a broad portfolio of hardware, software, and services designed to streamline physical and digital communications. Headquartered in Stamford, Connecticut, Pitney Bowes leverages a century of expertise to serve enterprises, small businesses, and government agencies around the globe.

The company's core offerings span mailing and shipping equipment, including postage meters, folder inserters, and address verification systems, alongside integrated software platforms for customer information management, data analytics, and location intelligence.

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