Endava (NYSE:DAVA) Stock Rating Lowered by Zacks Research

Endava (NYSE:DAVA) was downgraded by investment analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a research note issued to investors on Thursday,Zacks.com reports.

Other analysts also recently issued research reports about the company. Guggenheim cut their price target on Endava from $15.00 to $13.00 and set a “buy” rating on the stock in a research note on Friday, February 13th. CLSA set a $5.00 price target on Endava in a research note on Friday. Morgan Stanley cut their price target on Endava from $8.00 to $4.00 and set an “equal weight” rating on the stock in a research note on Friday. Weiss Ratings restated a “sell (d)” rating on shares of Endava in a research note on Tuesday, April 7th. Finally, TD Cowen reaffirmed a “buy” rating on shares of Endava in a research report on Friday. Two research analysts have rated the stock with a Buy rating, four have issued a Hold rating and three have assigned a Sell rating to the company’s stock. According to data from MarketBeat, Endava presently has an average rating of “Reduce” and a consensus price target of $7.14.

Endava Stock Performance

Endava stock opened at $3.34 on Thursday. The company has a quick ratio of 2.39, a current ratio of 2.39 and a debt-to-equity ratio of 0.36. The company has a market capitalization of $187.46 million, a P/E ratio of -0.32 and a beta of 1.11. The stock’s 50 day moving average is $4.33 and its 200 day moving average is $5.62. Endava has a twelve month low of $3.20 and a twelve month high of $17.36.

Endava (NYSE:DAVA) last posted its quarterly earnings results on Thursday, May 21st. The company reported $0.07 earnings per share for the quarter, missing the consensus estimate of $0.27 by ($0.20). The company had revenue of $236.44 million during the quarter, compared to analysts’ expectations of $242.79 million. Endava had a positive return on equity of 2.14% and a negative net margin of 57.01%.Endava has set its Q4 2026 guidance at 0.120-0.180 EPS and its FY 2026 guidance at 0.610-0.660 EPS. On average, equities research analysts predict that Endava will post 0.48 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Endava

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. EverSource Wealth Advisors LLC lifted its position in Endava by 733.6% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,909 shares of the company’s stock valued at $29,000 after acquiring an additional 1,680 shares in the last quarter. Advisory Services Network LLC bought a new position in Endava in the 3rd quarter valued at approximately $28,000. Quadrant Capital Group LLC lifted its position in Endava by 901.8% in the 4th quarter. Quadrant Capital Group LLC now owns 6,101 shares of the company’s stock valued at $39,000 after acquiring an additional 5,492 shares in the last quarter. Perennial Advisors LLC bought a new position in Endava in the 4th quarter valued at approximately $63,000. Finally, Vident Advisory LLC bought a new position in Endava in the 2nd quarter valued at approximately $160,000. 62.23% of the stock is owned by institutional investors.

Endava News Roundup

Here are the key news stories impacting Endava this week:

• Positive Sentiment: Needham & Company trimmed its price target but kept a buy rating, suggesting some analysts still see rebound potential for Endava despite the weak quarter.
• Neutral Sentiment: TD Cowen lowered its target to $4.00 and maintained a hold view, reflecting a more cautious but not outright bearish stance on the name.
• Neutral Sentiment: Morgan Stanley cut its target to $4.00 and kept an equal weight rating, indicating the firm sees limited near-term upside but not a dramatic deterioration beyond current expectations.
• Neutral Sentiment: JPMorgan reaffirmed an underweight rating while reducing its target, underscoring that sentiment on the stock remains subdued after the earnings update.
• Negative Sentiment: Endava reported fiscal Q3 EPS of $0.07 versus the $0.27 consensus and revenue of $236.4 million versus $242.8 million expected, then cut FY26 EPS and revenue guidance below estimates. Endava Announces Third Quarter Fiscal Year 2026 Results
• Negative Sentiment: Johnson Fistel said it is investigating potential securities-law violations tied to investor losses, adding a legal-overhang headline that may further weigh on shares. Endava plc Shareholders Are Encouraged to Reach Out to Johnson Fistel for More Information about Potentially Recovering Their Losses

Endava Company Profile

Endava PLC is a publicly traded technology services company specializing in digital transformation and agile software development. The firm helps enterprise clients design, build and manage custom software solutions across industries such as financial services, payments, retail, telecommunications and media. Its service offerings span end-to-end product design, customer experience, application development, quality engineering, DevOps, automation and artificial intelligence, all delivered through agile methodologies.

Founded in 2000, Endava has grown from a small software provider into a global IT partner.