CSG Systems International (NASDAQ:CSGS) Announces Quarterly Earnings Results, Beats Expectations By $0.20 EPS

CSG Systems International (NASDAQ:CSGS) posted its earnings results on Wednesday. The technology company reported $1.53 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.33 by $0.20, FiscalAI reports. CSG Systems International had a net margin of 6.85% and a return on equity of 42.54%. The firm had revenue of $323.09 million during the quarter, compared to analyst estimates of $296.25 million.

CSG Systems International Price Performance

Shares of NASDAQ:CSGS traded down $0.24 during trading hours on Wednesday, hitting $79.45. 418,288 shares of the company’s stock traded hands, compared to its average volume of 542,898. The company’s fifty day simple moving average is $78.17 and its two-hundred day simple moving average is $71.07. The company has a market cap of $2.27 billion, a price-to-earnings ratio of 26.93, a price-to-earnings-growth ratio of 1.89 and a beta of 0.88. The company has a debt-to-equity ratio of 1.86, a quick ratio of 1.50 and a current ratio of 1.50. CSG Systems International has a 52 week low of $54.65 and a 52 week high of $80.28.

CSG Systems International Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, April 1st. Shareholders of record on Wednesday, March 18th will be issued a $0.34 dividend. This represents a $1.36 dividend on an annualized basis and a yield of 1.7%. The ex-dividend date of this dividend is Wednesday, March 18th. This is a positive change from CSG Systems International’s previous quarterly dividend of $0.32. CSG Systems International’s dividend payout ratio is currently 43.39%.

CSG Systems International News Roundup

Here are the key news stories impacting CSG Systems International this week:

• Positive Sentiment: Non‑GAAP beat and revenue upside — CSG reported non‑GAAP EPS of $1.53 versus consensus $1.33 and revenue of $323.1M, above estimates; this supports the stock’s fundamentals. CSG Press Release
• Positive Sentiment: Dividend increased — Board raised the quarterly dividend 6% to $0.34 (13th consecutive year of increases), which supports yield‑sensitive holders. Dividend Release
• Neutral Sentiment: Stronger cash balance but mixed cash flow — cash and equivalents rose to ~$180M, but operating cash flow fell ~28% YoY; this reduces near‑term flexibility despite a larger cash cushion. Quiver Summary
• Neutral Sentiment: Analyst outlook is roughly in line — recent median price target near $80.85, suggesting limited near‑term upside from current levels. Price Target Summary
• Neutral Sentiment: Mixed institutional activity — filings show both large reductions (e.g., Vanguard) and sizable adds by some funds; this indicates moving position sizes rather than clear directional buying. Institutional Moves
• Negative Sentiment: GAAP profit compression — GAAP EPS was $0.25, operating profit down ~31% YoY and net income attributable to common shareholders plunged ~80% YoY; that deterioration is a clear negative for valuation if it persists. Profit Decline Details
• Negative Sentiment: Softer operating cash flow — cash from operations declined materially year‑over‑year, which raises questions about earnings quality and free cash generation going forward. BusinessWire Results

Wall Street Analyst Weigh In

Several equities analysts have recently issued reports on CSGS shares. Oppenheimer downgraded CSG Systems International to a “market perform” rating in a research report on Wednesday, October 29th. Benchmark lowered CSG Systems International from a “buy” rating to a “hold” rating in a research report on Wednesday, October 29th. Royal Bank Of Canada cut CSG Systems International from an “outperform” rating to a “sector perform” rating and increased their price target for the stock from $72.00 to $80.70 in a research note on Wednesday, October 29th. William Blair cut shares of CSG Systems International from a “strong-buy” rating to a “hold” rating in a research note on Wednesday, October 29th. Finally, Wall Street Zen lowered shares of CSG Systems International from a “buy” rating to a “hold” rating in a research report on Saturday, November 1st. Four investment analysts have rated the stock with a Buy rating and eight have assigned a Hold rating to the company. According to data from MarketBeat, CSG Systems International has an average rating of “Hold” and an average target price of $73.81.

Institutional Trading of CSG Systems International

Large investors have recently added to or reduced their stakes in the business. Lazard Asset Management LLC increased its holdings in shares of CSG Systems International by 75.7% in the second quarter. Lazard Asset Management LLC now owns 145,650 shares of the technology company’s stock valued at $9,512,000 after buying an additional 62,763 shares in the last quarter. Marshall Wace LLP acquired a new position in shares of CSG Systems International in the 2nd quarter worth $3,321,000. California State Teachers Retirement System raised its position in shares of CSG Systems International by 0.9% during the second quarter. California State Teachers Retirement System now owns 27,174 shares of the technology company’s stock worth $1,775,000 after purchasing an additional 241 shares during the period. Danske Bank A S acquired a new stake in shares of CSG Systems International during the third quarter worth $637,000. Finally, Jump Financial LLC purchased a new stake in shares of CSG Systems International during the second quarter valued at $240,000. 91.07% of the stock is currently owned by institutional investors.

About CSG Systems International

CSG Systems International (NASDAQ: CSGS) is a global provider of business support systems and digital monetization solutions designed for communications and media service providers. Headquartered in Englewood, Colorado, the company delivers a suite of subscription billing, customer care, revenue management and digital commerce offerings that enable operators to launch, manage and monetize connectivity, entertainment and IoT services. CSG’s software platforms are built to support high-volume transaction processing, real-time rating and modern customer engagement capabilities.

Since its incorporation in 1982, CSG has expanded its footprint across North America, Latin America, Europe, the Middle East, Africa and the Asia-Pacific region.