Q3 Earnings Estimate for Pegasystems Issued By William Blair

Key Points

• William Blair has revised Pegasystems' Q3 2025 earnings per share (EPS) estimate down from $0.12 to $0.06, impacting sentiment around the technology company's performance.
• Pegasystems reported Q2 earnings of $0.28 EPS, exceeding analysts' expectations of $0.24, along with a revenue of $384.51 million, up 9.5% year-over-year.
• Despite negative revisions, Pegasystems maintains a consensus rating of "Moderate Buy" with an average price target of $59.80 from various analysts.

Pegasystems Inc. (NASDAQ:PEGA - Free Report) - Research analysts at William Blair lowered their Q3 2025 EPS estimates for shares of Pegasystems in a report released on Wednesday, July 23rd. William Blair analyst J. Roberge now anticipates that the technology company will post earnings of $0.06 per share for the quarter, down from their previous forecast of $0.12. The consensus estimate for Pegasystems' current full-year earnings is $1.89 per share. William Blair also issued estimates for Pegasystems' Q1 2026 earnings at $0.40 EPS and Q3 2026 earnings at $0.17 EPS.

Pegasystems (NASDAQ:PEGA - Get Free Report) last released its earnings results on Tuesday, July 22nd. The technology company reported $0.28 earnings per share for the quarter, topping the consensus estimate of $0.24 by $0.04. The business had revenue of $384.51 million for 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 firm's quarterly revenue was up 9.5% compared to the same quarter last year. During the same period last year, the firm posted $0.26 earnings per share.

Other analysts have also recently issued reports about the stock. Royal Bank Of Canada restated an "outperform" rating and issued a $60.00 price objective on shares of Pegasystems in a research note on Tuesday, June 3rd. Rosenblatt Securities boosted their price objective on shares of Pegasystems from $56.00 to $59.00 and gave the stock a "buy" rating in a research note on Monday, July 21st. DA Davidson upped their target price on shares of Pegasystems from $50.00 to $60.00 and gave the company a "neutral" rating in a research note on Thursday, July 24th. Wedbush upped their target price on shares of Pegasystems from $68.00 to $70.00 and gave the company an "outperform" rating in a research note on Thursday, July 24th. Finally, KeyCorp dropped their price objective on shares of Pegasystems from $59.00 to $47.00 and set an "overweight" rating for the company in a research note on Wednesday, April 16th. Two equities research analysts have rated the stock with a hold rating and nine have assigned a buy rating to the company's stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $59.80.

Pegasystems Trading Up 0.7%

NASDAQ PEGA traded up $0.41 during trading on Monday, reaching $60.20. The company's stock had a trading volume of 128,697 shares, compared to its average volume of 2,021,017. The stock has a market capitalization of $10.30 billion, a PE ratio of 51.65 and a beta of 1.13. The business has a 50-day moving average price of $51.88 and a 200-day moving average price of $45.94. Pegasystems has a 1-year low of $29.84 and a 1-year high of $60.96.

Pegasystems Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, July 15th. Stockholders of record on Tuesday, July 1st were issued a $0.03 dividend. This is a positive change from Pegasystems's previous quarterly dividend of $0.02. The ex-dividend date was Tuesday, July 1st. This represents a $0.12 annualized dividend and a dividend yield of 0.20%. Pegasystems's dividend payout ratio is presently 10.34%.

Insider Activity

In other Pegasystems news, CFO Kenneth Stillwell sold 4,000 shares of the stock in a transaction dated Tuesday, July 1st. The shares were sold at an average price of $52.64, for a total transaction of $210,560.00. Following the sale, the chief financial officer owned 49,350 shares of the company's stock, valued at $2,597,784. This represents a 7.50% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CAO Efstathios A. Kouninis sold 582 shares of the stock in a transaction dated Monday, July 28th. The stock was sold at an average price of $59.65, for a total transaction of $34,716.30. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 247,049 shares of company stock worth $14,142,653. 49.70% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Pegasystems

Hedge funds have recently added to or reduced their stakes in the stock. Treasurer of the State of North Carolina lifted its position in Pegasystems by 0.6% during the 4th quarter. Treasurer of the State of North Carolina now owns 19,597 shares of the technology company's stock valued at $1,826,000 after purchasing an additional 120 shares during the period. Tower Research Capital LLC TRC lifted its position in Pegasystems by 2.4% during the 4th quarter. Tower Research Capital LLC TRC now owns 5,875 shares of the technology company's stock valued at $548,000 after purchasing an additional 139 shares during the period. Amalgamated Bank lifted its position in Pegasystems by 5.3% during the 1st quarter. Amalgamated Bank now owns 3,060 shares of the technology company's stock valued at $213,000 after purchasing an additional 153 shares during the period. GAMMA Investing LLC lifted its position in Pegasystems by 50.5% during the 1st quarter. GAMMA Investing LLC now owns 599 shares of the technology company's stock valued at $42,000 after purchasing an additional 201 shares during the period. Finally, Focus Partners Wealth lifted its position in Pegasystems by 9.1% during the 4th quarter. Focus Partners Wealth now owns 3,533 shares of the technology company's stock valued at $329,000 after purchasing an additional 294 shares during the period. Institutional investors own 46.89% of the company's stock.

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.