TD Cowen Reaffirms Hold Rating for Endava (NYSE:DAVA)

Endava (NYSE:DAVA)‘s stock had its “hold” rating restated by stock analysts at TD Cowen in a research report issued on Tuesday, Benzinga reports. They presently have a $3.50 price objective on the stock. TD Cowen’s price target would indicate a potential upside of 63.93% from the company’s current price.

A number of other equities analysts have also recently issued reports on the stock. Weiss Ratings restated a “sell (e+)” rating on shares of Endava in a research report on Tuesday, September 8th. Zacks Research raised shares of Endava from a “strong sell” rating to a “hold” rating in a research note on Monday, July 20th. Guggenheim downgraded Endava from a “buy” rating to a “neutral” rating in a research report on Wednesday, May 27th. Deutsche Bank Aktiengesellschaft reduced their target price on Endava from $3.00 to $2.00 and set a “hold” rating on the stock in a research note on Tuesday. Finally, William Blair cut Endava from a “market perform” rating to an “underperform” rating in a report on Tuesday. One equities research analyst has rated the stock with a Buy rating, five have issued a Hold rating and three have given a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Reduce” and an average target price of $5.36.

Endava Price Performance

Shares of Endava stock traded down $0.66 on Tuesday, hitting $2.13. The company’s stock had a trading volume of 3,586,650 shares, compared to its average volume of 364,528. The company has a market capitalization of $120.01 million, a P/E ratio of -0.20 and a beta of 1.03. Endava has a 52-week low of $2.07 and a 52-week high of $9.88. The firm has a fifty day moving average price of $2.98 and a 200-day moving average price of $3.54. The company has a quick ratio of 2.07, a current ratio of 2.07 and a debt-to-equity ratio of 1.13.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of DAVA. Barometer Capital Management Inc. lifted its stake in shares of Endava by 32.5% during the 1st quarter. Barometer Capital Management Inc. now owns 106,300 shares of the company’s stock worth $470,000 after purchasing an additional 26,080 shares during the period. SmartHarvest Portfolios LLC purchased a new stake in shares of Endava in the first quarter valued at $84,000. Alpine Global Management LLC acquired a new position in Endava in the fourth quarter valued at $87,000. CDAM UK Ltd increased its stake in Endava by 28.2% in the fourth quarter. CDAM UK Ltd now owns 2,979,658 shares of the company’s stock valued at $18,831,000 after purchasing an additional 655,078 shares during the last quarter. Finally, Savant Capital LLC acquired a new position in Endava in the fourth quarter valued at $76,000. 62.23% of the stock is currently owned by institutional investors and hedge funds.

Key Stories Impacting Endava

Here are the key news stories impacting Endava this week:

• Positive Sentiment: Endava appointed Conor McShane of AlixPartners as interim CFO. His financial and restructuring experience could help provide additional oversight and support the accounting review, although the appointment also underscores the seriousness of the situation. Endava Appoints Conor McShane as Interim Chief Financial Officer
• Neutral Sentiment: Deutsche Bank reduced its price target to $2 from $3 while maintaining a Hold rating, indicating lower expected value but not a complete loss of confidence in the company. Deutsche Bank Cuts Price Target on Endava to $2 From $3, Keeps Hold Rating
• Negative Sentiment: The CFO’s leave during an accounting investigation is the primary catalyst for the decline. Investors face uncertainty over whether financial statements, internal controls or previously issued guidance will need revision. Endava ADRs Slide After CFO Placed on Leave During Accounting Investigation
• Negative Sentiment: William Blair downgraded Endava to Underperform from Market Perform, adding to concerns about the company’s outlook and near-term execution. William Blair Downgrades Endava to Underperform
• Negative Sentiment: Multiple law firms, including Block & Leviton and Glancy Prongay, announced investigations into potential securities-law violations. These announcements could increase litigation, compliance and reputational risks, though they do not establish wrongdoing. DAVA Securities Fraud Investigation by Block and Leviton

Endava Company Profile

Endava plc is a technology services company that helps organizations design, build and operate digital products and technology platforms. Its services include software engineering, cloud modernization, data and analytics, artificial intelligence, customer experience, cybersecurity and technology consulting.

The company works with clients across industries such as payments, banking, insurance, telecommunications, media, retail, mobility, healthcare and technology. Endava supports projects ranging from digital transformation and application development to platform modernization and ongoing technology operations.

Founded in 2000 and headquartered in London, Endava serves clients across Europe, North America, Latin America and the Asia-Pacific region.