Pegasystems (NASDAQ:PEGA) Updates FY 2026 Earnings Guidance

Pegasystems (NASDAQ:PEGA) issued an update on its FY 2026 earnings guidance on Tuesday morning. The company provided earnings per share (EPS) guidance of 2.750-2.750 for the period, compared to the consensus estimate of 2.220. The company issued revenue guidance of $2.0 billion-$2.0 billion, compared to the consensus revenue estimate of $1.9 billion.

Pegasystems Trading Up 2.8%

Shares of NASDAQ PEGA traded up $1.19 during mid-day trading on Tuesday, hitting $43.03. The company had a trading volume of 3,987,477 shares, compared to its average volume of 1,908,837. The stock’s 50-day moving average price is $54.62 and its 200-day moving average price is $56.04. The company has a market capitalization of $7.30 billion, a price-to-earnings ratio of 28.88 and a beta of 1.07. Pegasystems has a 1 year low of $29.84 and a 1 year high of $68.10.

Pegasystems (NASDAQ:PEGA) last announced its quarterly earnings results on Tuesday, February 10th. The technology company reported $0.76 EPS for the quarter, beating the consensus estimate of $0.74 by $0.02. Pegasystems had a net margin of 16.05% and a return on equity of 43.49%. The firm had revenue of $504.32 million during the quarter, compared to the consensus estimate of $494.60 million. Pegasystems has set its FY 2026 guidance at 2.750-2.750 EPS. As a group, equities research analysts forecast that Pegasystems will post 1.89 earnings per share for the current year.

Pegasystems Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, January 16th. Investors of record on Friday, January 2nd were given a $0.03 dividend. The ex-dividend date was Friday, January 2nd. This represents a $0.12 dividend on an annualized basis and a yield of 0.3%. Pegasystems’s payout ratio is presently 8.05%.

Analyst Upgrades and Downgrades

A number of research analysts have commented on the stock. Rosenblatt Securities reduced their price target on shares of Pegasystems from $70.00 to $62.00 and set a “buy” rating on the stock in a research report on Friday. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Pegasystems in a report on Monday, December 29th. Barclays boosted their price target on shares of Pegasystems from $58.00 to $67.00 and gave the stock an “equal weight” rating in a research note on Thursday, October 23rd. DA Davidson raised Pegasystems from a “neutral” rating to a “buy” rating and raised their price objective for the company from $60.00 to $85.00 in a research note on Wednesday, October 22nd. Finally, Royal Bank Of Canada reiterated an “outperform” rating and issued a $80.00 price objective (up previously from $70.00) on shares of Pegasystems in a report on Wednesday, October 22nd. Nine equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to data from MarketBeat.com, Pegasystems has an average rating of “Moderate Buy” and a consensus price target of $70.55.

Insider Activity

In other news, insider Rifat Kerim Akgonul sold 4,000 shares of the stock in a transaction dated Monday, December 8th. The shares were sold at an average price of $60.19, for a total transaction of $240,760.00. Following the completion of the sale, the insider directly owned 112,845 shares in the company, valued at approximately $6,792,140.55. This represents a 3.42% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CFO Kenneth Stillwell sold 14,405 shares of the business’s stock in a transaction dated Friday, December 5th. The shares were sold at an average price of $57.87, for a total value of $833,617.35. Following the transaction, the chief financial officer owned 131,621 shares in the company, valued at approximately $7,616,907.27. This represents a 9.86% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 108,405 shares of company stock valued at $5,896,127. Insiders own 50.10% of the company’s stock.

Institutional Trading of Pegasystems

A number of institutional investors and hedge funds have recently added to or reduced their stakes in PEGA. NewEdge Advisors LLC lifted its position in Pegasystems by 141,900.0% during the first quarter. NewEdge Advisors LLC now owns 4,260 shares of the technology company’s stock valued at $296,000 after buying an additional 4,257 shares during the period. Jones Financial Companies Lllp increased its stake in shares of Pegasystems by 450.4% in the 1st quarter. Jones Financial Companies Lllp now owns 1,844 shares of the technology company’s stock worth $128,000 after acquiring an additional 1,509 shares in the last quarter. Goldman Sachs Group Inc. lifted its position in Pegasystems by 5.6% during the 1st quarter. Goldman Sachs Group Inc. now owns 248,168 shares of the technology company’s stock valued at $17,253,000 after acquiring an additional 13,075 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its stake in Pegasystems by 18.0% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 155,783 shares of the technology company’s stock worth $10,830,000 after acquiring an additional 23,713 shares in the last quarter. Finally, Focus Partners Wealth grew its holdings in Pegasystems by 55.0% in the first quarter. Focus Partners Wealth now owns 5,476 shares of the technology company’s stock worth $381,000 after purchasing an additional 1,943 shares during the period. Hedge funds and other institutional investors own 46.89% of the company’s stock.

Pegasystems Company Profile

Pegasystems Inc is a software company specializing in customer engagement and digital process automation solutions. Headquartered in Cambridge, Massachusetts, Pegasystems develops enterprise applications designed to help organizations streamline operations, manage customer interactions and automate complex workflows. Its platform supports a wide range of use cases, from sales and marketing optimization to case management and robotic process automation.

The core of Pegasystems’ offering is the Pega Platform, a low-code development environment that enables businesses to build and deploy applications with minimal hand-coding.