Pegasystems Inc. (NASDAQ:PEGA) Receives Average Recommendation of “Moderate Buy” from Analysts

Shares of Pegasystems Inc. (NASDAQ:PEGA) have received a consensus recommendation of “Moderate Buy” from the twelve analysts that are covering the firm, Marketbeat Ratings reports. Two investment analysts have rated the stock with a hold recommendation, nine have assigned a buy recommendation and one has assigned a strong buy recommendation to the company. The average 1 year price target among brokerages that have issued a report on the stock in the last year is $67.60.

Several brokerages have weighed in on PEGA. Citizens Jmp dropped their target price on Pegasystems from $78.00 to $58.00 and set a “market outperform” rating on the stock in a research report on Thursday, February 12th. Citigroup upped their price target on shares of Pegasystems from $73.00 to $75.00 and gave the stock a “buy” rating in a research report on Wednesday, March 11th. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Pegasystems in a report on Monday, December 29th. JPMorgan Chase & Co. lifted their price objective on shares of Pegasystems from $65.00 to $74.00 and gave the company an “overweight” rating in a research report on Friday, December 5th. Finally, Rosenblatt Securities restated a “buy” rating and issued a $62.00 target price on shares of Pegasystems in a research report on Thursday, February 12th.

Pegasystems Trading Up 0.6%

NASDAQ:PEGA opened at $43.42 on Monday. The stock has a 50 day moving average of $45.62 and a 200-day moving average of $53.98. The firm has a market capitalization of $7.34 billion, a PE ratio of 20.34 and a beta of 1.06. Pegasystems has a 52 week low of $29.84 and a 52 week high of $68.10.

Pegasystems (NASDAQ:PEGA) last announced its quarterly earnings results on Tuesday, February 10th. The technology company reported $0.76 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.74 by $0.02. Pegasystems had a return on equity of 38.86% and a net margin of 22.54%.The business had revenue of $504.32 million for the quarter, compared to the consensus estimate of $494.60 million. During the same quarter last year, the business posted $0.80 EPS. The business’s revenue was up 2.8% on a year-over-year basis. Pegasystems has set its FY 2026 guidance at 2.750-2.750 EPS. As a group, analysts predict that Pegasystems will post 1.89 EPS for the current fiscal year.

Pegasystems Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 15th. Stockholders of record on Wednesday, April 1st will be given a dividend of $0.03 per share. The ex-dividend date is Wednesday, April 1st. This represents a $0.12 annualized dividend and a dividend yield of 0.3%. Pegasystems’s payout ratio is currently 5.63%.

Insiders Place Their Bets

In related news, Chairman Alan Trefler sold 45,000 shares of the stock in a transaction that occurred on Wednesday, January 21st. The stock was sold at an average price of $49.02, for a total value of $2,205,900.00. Following the completion of the transaction, the chairman directly owned 44,394,454 shares of the company’s stock, valued at $2,176,216,135.08. This represents a 0.10% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, CAO Efstathios A. Kouninis sold 1,000 shares of the firm’s stock in a transaction that occurred on Tuesday, March 17th. The shares were sold at an average price of $42.88, for a total value of $42,880.00. Following the completion of the sale, the chief accounting officer owned 3,365 shares in the company, valued at approximately $144,291.20. This represents a 22.91% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 97,594 shares of company stock valued at $4,549,924. 50.10% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Pegasystems

Hedge funds and other institutional investors have recently modified their holdings of the stock. AQR Capital Management LLC lifted its holdings in Pegasystems by 236.2% in the second quarter. AQR Capital Management LLC now owns 4,037,552 shares of the technology company’s stock worth $217,584,000 after purchasing an additional 2,836,733 shares during the period. State Street Corp increased its stake in Pegasystems by 255.3% during the 2nd quarter. State Street Corp now owns 2,907,677 shares of the technology company’s stock valued at $157,393,000 after buying an additional 2,089,375 shares during the period. Massachusetts Financial Services Co. MA increased its stake in Pegasystems by 86.3% during the 2nd quarter. Massachusetts Financial Services Co. MA now owns 4,050,075 shares of the technology company’s stock valued at $219,231,000 after buying an additional 1,875,896 shares during the period. Bares Capital Management Inc. raised its position in shares of Pegasystems by 76.6% during the 2nd quarter. Bares Capital Management Inc. now owns 3,542,716 shares of the technology company’s stock worth $191,767,000 after buying an additional 1,536,726 shares in the last quarter. Finally, American Century Companies Inc. raised its position in shares of Pegasystems by 357.6% during the 3rd quarter. American Century Companies Inc. now owns 1,586,793 shares of the technology company’s stock worth $91,241,000 after buying an additional 1,239,998 shares in the last quarter. 46.89% of the stock is currently owned by institutional investors.

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.