Telus Digital (NYSE:TIXT) Given New $3.40 Price Target at Morgan Stanley

Key Points

• Morgan Stanley has reduced the price target for Telus Digital from $3.49 to $3.40, suggesting a potential downside of 7.98% from its previous close.
• Analysts have varied target prices, with estimates ranging from $3.00 to $4.50, and Telus Digital currently holds a consensus rating of "Hold" among research analysts.
• Despite the lower price targets, Telus Digital reported earnings of $0.06 per share, surpassing analyst expectations, along with revenues of $711.33 million for the last quarter.

Telus Digital (NYSE:TIXT - Free Report) had its target price trimmed by Morgan Stanley from $3.49 to $3.40 in a research report report published on Monday morning,Benzinga reports. The brokerage currently has an equal weight rating on the stock.

A number of other research analysts also recently weighed in on TIXT. Barclays decreased their target price on shares of Telus Digital from $5.00 to $3.00 and set an "equal weight" rating for the company in a research report on Friday, April 25th. National Bank Financial lowered shares of Telus Digital from an "outperform" rating to a "sector perform" rating and set a $4.00 price target on the stock. in a report on Monday, July 21st. Wall Street Zen lowered shares of Telus Digital from a "buy" rating to a "hold" rating in a report on Sunday, July 20th. CIBC reduced their price objective on shares of Telus Digital from $4.50 to $3.40 and set a "neutral" rating on the stock in a research note on Friday, June 13th. Finally, Scotiabank boosted their target price on shares of Telus Digital from $3.00 to $3.40 and gave the company a "sector perform" rating in a research report on Tuesday, June 17th. Twelve analysts have rated the stock with a hold rating, one has issued a buy rating and one has given a strong buy rating to the company's stock. Based on data from MarketBeat.com, Telus Digital has a consensus rating of "Hold" and a consensus price target of $3.70.

Telus Digital Trading Down 0.1%

NYSE:TIXT traded down $0.01 during trading hours on Monday, hitting $3.58. The stock had a trading volume of 341,277 shares, compared to its average volume of 563,302. Telus Digital has a one year low of $2.13 and a one year high of $4.60. The company has a debt-to-equity ratio of 0.85, a quick ratio of 0.86 and a current ratio of 0.84. The company has a market cap of $985.45 million, a price-to-earnings ratio of -2.57 and a beta of 0.90. The business's 50 day moving average is $3.58 and its 200-day moving average is $3.18.

Telus Digital (NYSE:TIXT - Get Free Report) last issued its quarterly earnings data on Friday, August 1st. The company reported $0.06 EPS for the quarter, topping analysts' consensus estimates of $0.05 by $0.01. Telus Digital had a negative net margin of 14.09% and a positive return on equity of 1.99%. The business had revenue of $711.33 million for the quarter, compared to analyst estimates of $660.87 million. Sell-side analysts anticipate that Telus Digital will post 0.32 EPS for the current fiscal year.

Hedge Funds Weigh In On Telus Digital

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Mackenzie Financial Corp boosted its position in Telus Digital by 31.1% during the fourth quarter. Mackenzie Financial Corp now owns 10,868,451 shares of the company's stock worth $42,673,000 after purchasing an additional 2,578,241 shares during the period. QV Investors Inc. boosted its position in shares of Telus Digital by 25.8% in the second quarter. QV Investors Inc. now owns 7,614,325 shares of the company's stock valued at $27,623,000 after acquiring an additional 1,561,690 shares during the period. Arrowstreet Capital Limited Partnership boosted its position in shares of Telus Digital by 209.4% in the fourth quarter. Arrowstreet Capital Limited Partnership now owns 2,095,220 shares of the company's stock valued at $8,222,000 after acquiring an additional 1,418,119 shares during the period. Medina Value Partners LLC bought a new position in shares of Telus Digital in the fourth quarter valued at approximately $8,211,000. Finally, D. E. Shaw & Co. Inc. boosted its position in shares of Telus Digital by 365.5% in the fourth quarter. D. E. Shaw & Co. Inc. now owns 739,609 shares of the company's stock valued at $2,904,000 after acquiring an additional 580,726 shares during the period. Institutional investors own 59.55% of the company's stock.

Telus Digital Company Profile

TELUS Digital Inc design, builds, and delivers digital solutions for customer experience (CX) in the Asia-Pacific, the Central America, Europe, Africa, North America, and internationally. The company provides digital experience solutions, such as AI and bots, omnichannel CX, enterprise mobility solutions, cloud contact center, big data analytics, platform transformation, and UX/UI design; and customer experience solutions, including work anywhere/work from home, contact center outsourcing, technical support, sales growth and customer retention, healthcare/patient experience, and debt collection.