CDK Global Inc. (CDK) Rating Lowered to Hold at Zacks Investment Research
CDK Global Inc. (NASDAQ:CDK) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a report released on Wednesday.
According to Zacks, “CDK Global, Inc. provides integrated information technology and digital marketing solutions to the automotive retail industry. The Company operates in three segments: Automotive Retail Solutions North America, Automotive Retail Solutions International, and Digital Marketing Solutions. It integrates workflow processes from pre-sale targeted advertising and marketing campaigns to the sale, financing, insurance, parts supply, repair and maintenance of vehicles. CDK Global, Inc. is based in Hoffman Estates, Illinois. “
CDK Global (NASDAQ:CDK) opened at 56.23 on Wednesday. CDK Global has a 12-month low of $39.67 and a 12-month high of $60.09. The firm’s 50-day moving average is $57.44 and its 200 day moving average is $54.17. The stock has a market capitalization of $8.44 billion, a P/E ratio of 37.24 and a beta of 0.65.
CDK Global (NASDAQ:CDK) last issued its quarterly earnings data on Wednesday, August 3rd. The company reported $0.49 earnings per share for the quarter, topping the consensus estimate of $0.46 by $0.03. The business earned $542.20 million during the quarter, compared to the consensus estimate of $533.84 million. CDK Global had a net margin of 11.32% and a return on equity of 45.25%. The company’s revenue was up 7.8% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.28 EPS. Equities analysts expect that CDK Global will post $2.32 EPS for the current year.
The firm also recently announced a quarterly dividend, which was paid on Friday, September 30th. Stockholders of record on Friday, September 16th were issued a $0.135 dividend. The ex-dividend date was Wednesday, September 14th. This represents a $0.54 dividend on an annualized basis and a dividend yield of 0.96%. CDK Global’s payout ratio is 35.76%.
Institutional investors have recently made changes to their positions in the stock. WFG Advisors LP boosted its position in shares of CDK Global by 0.8% in the second quarter. WFG Advisors LP now owns 1,803 shares of the company’s stock worth $100,000 after buying an additional 15 shares during the last quarter. Van ECK Associates Corp boosted its position in shares of CDK Global by 37.5% in the second quarter. Van ECK Associates Corp now owns 2,087 shares of the company’s stock worth $116,000 after buying an additional 569 shares during the last quarter. M&R Capital Management Inc. acquired a new position in shares of CDK Global during the second quarter worth approximately $182,000. Strs Ohio boosted its position in shares of CDK Global by 21.7% in the second quarter. Strs Ohio now owns 3,394 shares of the company’s stock worth $188,000 after buying an additional 606 shares during the last quarter. Finally, Point72 Asia Hong Kong Ltd acquired a new position in shares of CDK Global during the second quarter worth approximately $196,000. 85.36% of the stock is currently owned by institutional investors and hedge funds.
About CDK Global
CDK Global, Inc is a provider of integrated information technology and digital marketing/advertising solutions to the automotive retail industry. The Company’s segments are Automotive Retail North America (ARNA), Automotive Retail International (ARI) and Digital Marketing (DM). The Company’s solutions automate workflow processes from pre-sale targeted advertising and marketing campaigns to the sale, financing, insurance, parts supply, and repair and maintenance of vehicles.
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