Pegasystems (NASDAQ:PEGA) Rating Increased to Strong-Buy at KeyCorp

KeyCorp upgraded shares of Pegasystems (NASDAQ:PEGA) to a strong-buy rating in a report released on Monday,Zacks.com reports. KeyCorp also issued estimates for Pegasystems’ Q1 2025 earnings at $0.21 EPS, Q2 2025 earnings at $0.21 EPS and Q3 2025 earnings at $0.11 EPS.

Several other analysts have also weighed in on the stock. Royal Bank of Canada boosted their target price on shares of Pegasystems from $90.00 to $115.00 and gave the company an “outperform” rating in a research note on Friday, January 3rd. Barclays increased their price objective on shares of Pegasystems from $74.00 to $82.00 and gave the stock an “equal weight” rating in a research note on Friday, October 25th. Rosenblatt Securities lifted their target price on Pegasystems from $90.00 to $95.00 and gave the company a “buy” rating in a research note on Friday, October 25th. StockNews.com upgraded Pegasystems from a “hold” rating to a “buy” rating in a research report on Thursday, November 21st. Finally, Citigroup boosted their price objective on Pegasystems from $99.00 to $123.00 and gave the company a “buy” rating in a research report on Wednesday, December 18th. Three research analysts have rated the stock with a hold rating, nine have issued a buy rating and one has assigned a strong buy rating to the company. According to MarketBeat, Pegasystems has an average rating of “Moderate Buy” and an average target price of $93.91.

Pegasystems Stock Performance

Shares of PEGA stock opened at $93.77 on Monday. The stock has a market capitalization of $8.04 billion, a price-to-earnings ratio of 68.45 and a beta of 1.09. Pegasystems has a one year low of $45.36 and a one year high of $97.94. The company’s 50-day simple moving average is $93.01 and its 200-day simple moving average is $77.12.

Pegasystems (NASDAQ:PEGA) last released its earnings results on Wednesday, October 23rd. The technology company reported $0.39 EPS for the quarter, topping analysts’ consensus estimates of $0.35 by $0.04. The company had revenue of $325.10 million for the quarter, compared to the consensus estimate of $326.16 million. Pegasystems had a return on equity of 37.83% and a net margin of 8.29%. Pegasystems’s quarterly revenue was down 2.8% compared to the same quarter last year. During the same quarter last year, the business posted $0.14 EPS. As a group, research analysts forecast that Pegasystems will post 1.61 EPS for the current year.

Pegasystems Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, January 16th. Investors of record on Thursday, January 2nd will be given a $0.03 dividend. This represents a $0.12 annualized dividend and a yield of 0.13%. The ex-dividend date is Thursday, January 2nd. Pegasystems’s dividend payout ratio is currently 8.76%.

Insiders Place Their Bets

In related news, CFO Kenneth Stillwell sold 5,792 shares of Pegasystems stock in a transaction dated Friday, October 25th. The shares were sold at an average price of $79.15, for a total transaction of $458,436.80. Following the sale, the chief financial officer now directly owns 17,400 shares in the company, valued at $1,377,210. The trade was a 24.97 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Leon Trefler sold 752 shares of the company’s stock in a transaction dated Tuesday, December 31st. The stock was sold at an average price of $93.83, for a total transaction of $70,560.16. Following the completion of the sale, the insider now directly owns 37,973 shares of the company’s stock, valued at $3,563,006.59. The trade was a 1.94 % decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 27,914 shares of company stock worth $2,414,935. 50.10% of the stock is owned by company insiders.

Hedge Funds Weigh In On Pegasystems

Several hedge funds have recently modified their holdings of PEGA. Rhumbline Advisers boosted its position in shares of Pegasystems by 2.1% during the 2nd quarter. Rhumbline Advisers now owns 52,022 shares of the technology company’s stock valued at $3,149,000 after purchasing an additional 1,087 shares in the last quarter. Dimensional Fund Advisors LP lifted its stake in Pegasystems by 266.8% during the second quarter. Dimensional Fund Advisors LP now owns 390,580 shares of the technology company’s stock valued at $23,641,000 after purchasing an additional 284,095 shares during the last quarter. Renaissance Technologies LLC lifted its stake in Pegasystems by 4.5% during the second quarter. Renaissance Technologies LLC now owns 107,824 shares of the technology company’s stock valued at $6,527,000 after purchasing an additional 4,600 shares during the last quarter. Edgestream Partners L.P. grew its position in Pegasystems by 254.1% in the second quarter. Edgestream Partners L.P. now owns 63,607 shares of the technology company’s stock worth $3,850,000 after buying an additional 45,646 shares during the last quarter. Finally, Vanguard Personalized Indexing Management LLC lifted its position in shares of Pegasystems by 28.4% during the 2nd quarter. Vanguard Personalized Indexing Management LLC now owns 5,760 shares of the technology company’s stock valued at $349,000 after acquiring an additional 1,273 shares during the last quarter. 46.89% of the stock is currently owned by institutional investors and hedge funds.

Pegasystems Company Profile

Pegasystems Inc develops, markets, licenses, hosts, and supports enterprise software in the United States, rest of the Americas, the United Kingdom, rest of Europe, the Middle East, Africa, and the Asia-Pacific. The company provides Pega Infinity, a software portfolio comprising of Pega Customer Decision Hub, a real-time AI-powered decision engine to enhance customer acquisition and experiences across inbound, outbound, and paid media channels; Pega Customer Service to anticipate customer needs, connect customers to people and systems, and automate customer interactions to evolve the customer service experience, as well as to allow enterprises to deliver interactions across channels and enhance employee productivity; and Pega Platform, an intelligent automation software for increasing efficiency of clients’ processes and workflows.