Pegasystems (NASDAQ:PEGA) Sets New 1-Year Low – Time to Sell?

Pegasystems Inc. (NASDAQ:PEGA) shares reached a new 52-week low during mid-day trading on Tuesday . The stock traded as low as $28.72 and last traded at $29.38, with a volume of 2964739 shares. The stock had previously closed at $30.09.

Analyst Upgrades and Downgrades

Several brokerages recently weighed in on PEGA. Zacks Research lowered Pegasystems from a “strong-buy” rating to a “hold” rating in a research report on Friday, April 24th. Weiss Ratings downgraded Pegasystems from a “hold (c+)” rating to a “hold (c)” rating in a research report on Thursday, June 4th. Wedbush restated an “outperform” rating and issued a $60.00 price objective on shares of Pegasystems in a report on Thursday, April 23rd. Royal Bank Of Canada reaffirmed an “outperform” rating on shares of Pegasystems in a research note on Tuesday, June 9th. Finally, Citigroup reiterated a “market outperform” rating on shares of Pegasystems in a report on Wednesday, June 10th. Eight analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat.com, Pegasystems has a consensus rating of “Moderate Buy” and a consensus target price of $63.30.

Pegasystems Trading Down 2.4%

The stock has a market capitalization of $4.91 billion, a P/E ratio of 15.80 and a beta of 0.86. The stock’s 50 day simple moving average is $35.58 and its 200 day simple moving average is $44.55.

Pegasystems (NASDAQ:PEGA) last announced its quarterly earnings data on Tuesday, April 21st. The technology company reported $0.46 earnings per share for the quarter, missing the consensus estimate of $0.68 by ($0.22). Pegasystems had a net margin of 20.04% and a return on equity of 30.05%. The firm had revenue of $429.97 million during the quarter, compared to the consensus estimate of $473.24 million. During the same period in the prior year, the firm earned $0.76 earnings per share. The firm’s quarterly revenue was down 9.6% compared to the same quarter last year. On average, sell-side analysts expect that Pegasystems Inc. will post 1.93 EPS for the current fiscal year.

Pegasystems Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, July 15th. Shareholders of record on Wednesday, July 1st will be paid a $0.03 dividend. The ex-dividend date is Wednesday, July 1st. This represents a $0.12 annualized dividend and a dividend yield of 0.4%. Pegasystems’s dividend payout ratio (DPR) is presently 6.45%.

Insider Activity at Pegasystems

In other Pegasystems news, insider Rifat Kerim Akgonul sold 4,545 shares of the business’s stock in a transaction dated Tuesday, May 19th. The shares were sold at an average price of $33.35, for a total value of $151,575.75. Following the sale, the insider directly owned 107,070 shares in the company, valued at approximately $3,570,784.50. The trade was a 4.07% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CAO Efstathios A. Kouninis sold 750 shares of the business’s stock in a transaction that occurred on Monday, June 1st. The stock was sold at an average price of $36.99, for a total transaction of $27,742.50. Following the completion of the sale, the chief accounting officer owned 2,144 shares in the company, valued at $79,306.56. The trade was a 25.92% 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 6,795 shares of company stock worth $229,613. 48.40% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the company. International Assets Investment Management LLC acquired a new position in Pegasystems during the fourth quarter valued at $28,000. EFG International AG purchased a new position in Pegasystems during the 4th quarter valued at about $32,000. Fifth Third Bancorp increased its holdings in shares of Pegasystems by 96.5% in the 4th quarter. Fifth Third Bancorp now owns 617 shares of the technology company’s stock valued at $37,000 after purchasing an additional 303 shares during the period. Signature Equity Partners LLC lifted its position in shares of Pegasystems by 302.2% in the first quarter. Signature Equity Partners LLC now owns 929 shares of the technology company’s stock worth $40,000 after purchasing an additional 698 shares in the last quarter. Finally, Bayforest Capital Ltd boosted its holdings in shares of Pegasystems by 316.6% during the fourth quarter. Bayforest Capital Ltd now owns 704 shares of the technology company’s stock worth $42,000 after purchasing an additional 535 shares during the period. 46.89% of the stock is currently owned by institutional investors and hedge funds.

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.