Verint Systems (NASDAQ:VRNT) Downgraded to "Hold" Rating by Royal Bank Of Canada

Key Points

• Verint Systems was downgraded by the Royal Bank of Canada from a "moderate buy" rating to a "hold" rating, reflecting a cautious outlook on the stock.
• Several other research firms also downgraded Verint, leading to a consensus rating of "hold" with an average price target of $27.71.
• The company's recent quarterly earnings report showed a miss on EPS estimates, with actual earnings of $0.29 compared to the expected $0.41, and a revenue decrease of 6% year-over-year.

Verint Systems (NASDAQ:VRNT - Get Free Report) was downgraded by equities researchers at Royal Bank Of Canada from a "moderate buy" rating to a "hold" rating in a research note issued to investors on Monday,Zacks.com reports.

A number of other research firms also recently weighed in on VRNT. Rosenblatt Securities downgraded Verint Systems from a "buy" rating to a "hold" rating and decreased their target price for the stock from $40.00 to $20.50 in a research report on Monday. Wedbush reissued an "outperform" rating and set a $30.00 price objective on shares of Verint Systems in a report on Wednesday, June 4th. Cowen restated a "buy" rating on shares of Verint Systems in a research report on Wednesday, June 4th. Finally, Needham & Company LLC downgraded shares of Verint Systems from a "buy" rating to a "hold" rating in a research note on Monday. One investment analyst has rated the stock with a Buy rating and seven have given a Hold rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Hold" and an average price target of $27.71.

Verint Systems Stock Performance

Verint Systems stock opened at $20.34 on Monday. The firm has a market capitalization of $1.22 billion, a PE ratio of 24.81, a PEG ratio of 0.81 and a beta of 1.46. The business's 50-day simple moving average is $20.22 and its 200-day simple moving average is $19.69. Verint Systems has a 52 week low of $14.15 and a 52 week high of $34.80.

Verint Systems (NASDAQ:VRNT - Get Free Report) last posted its quarterly earnings data on Wednesday, June 4th. The technology company reported $0.29 earnings per share for the quarter, missing the consensus estimate of $0.41 by ($0.12). Verint Systems had a net margin of 7.66% and a return on equity of 12.35%. The business had revenue of $173.62 million during the quarter, compared to the consensus estimate of $194.61 million. During the same period in the prior year, the company posted $0.59 earnings per share. The firm's revenue was down 6.0% compared to the same quarter last year. Verint Systems has set its FY 2026 guidance at 2.930-2.930 EPS. Research analysts forecast that Verint Systems will post 1.92 earnings per share for the current year.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of VRNT. Vanguard Group Inc. boosted its stake in shares of Verint Systems by 0.7% in the 1st quarter. Vanguard Group Inc. now owns 7,819,401 shares of the technology company's stock valued at $139,576,000 after purchasing an additional 55,918 shares in the last quarter. Dimensional Fund Advisors LP lifted its holdings in Verint Systems by 15.8% during the 4th quarter. Dimensional Fund Advisors LP now owns 2,479,163 shares of the technology company's stock valued at $68,054,000 after purchasing an additional 338,454 shares during the last quarter. Global Alpha Capital Management Ltd. boosted its position in Verint Systems by 41.0% in the second quarter. Global Alpha Capital Management Ltd. now owns 2,468,603 shares of the technology company's stock valued at $48,557,000 after buying an additional 718,000 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its stake in Verint Systems by 148.3% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 2,175,147 shares of the technology company's stock worth $38,826,000 after buying an additional 1,299,085 shares during the last quarter. Finally, Prudential Financial Inc. increased its holdings in shares of Verint Systems by 5.1% during the second quarter. Prudential Financial Inc. now owns 1,708,803 shares of the technology company's stock worth $33,612,000 after buying an additional 83,397 shares in the last quarter. 94.95% of the stock is currently owned by institutional investors and hedge funds.

About Verint Systems

Verint Systems Inc provides customer engagement solutions worldwide. It offers forecasting and scheduling, channels and routing, knowledge management, fraud and security solutions, quality and compliance, analytics and insights, real-time assistance, self-services, financial compliance, and voice pf the consumer solutions.

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