Oak Associates Ltd. OH Acquires New Position in Pegasystems Inc. $PEGA

Oak Associates Ltd. OH bought a new position in shares of Pegasystems Inc. (NASDAQ:PEGA) during the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm bought 42,478 shares of the technology company’s stock, valued at approximately $1,808,000.

Several other hedge funds and other institutional investors have also recently bought and sold shares of the company. NewEdge Advisors LLC raised its holdings in Pegasystems by 1.4% in the 3rd quarter. NewEdge Advisors LLC now owns 13,652 shares of the technology company’s stock valued at $785,000 after acquiring an additional 189 shares during the last quarter. Amundi lifted its stake in shares of Pegasystems by 0.6% during the 4th quarter. Amundi now owns 39,881 shares of the technology company’s stock worth $2,382,000 after purchasing an additional 249 shares during the period. PNC Financial Services Group Inc. boosted its holdings in shares of Pegasystems by 3.4% during the fourth quarter. PNC Financial Services Group Inc. now owns 8,378 shares of the technology company’s stock worth $500,000 after purchasing an additional 272 shares during the last quarter. State of Michigan Retirement System boosted its holdings in shares of Pegasystems by 1.4% during the first quarter. State of Michigan Retirement System now owns 22,000 shares of the technology company’s stock worth $936,000 after purchasing an additional 300 shares during the last quarter. Finally, Fifth Third Bancorp grew its position in shares of Pegasystems by 96.5% in the fourth 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. 46.89% of the stock is owned by hedge funds and other institutional investors.

Pegasystems News Roundup

Here are the key news stories impacting Pegasystems this week:

• Positive Sentiment: Pegasystems highlighted cloud growth and recurring revenue strength, and management outlined a long-term free cash flow target of more than $700 million by 2028. Pegasystems outlines $700M+ 2028 free cash flow target while highlighting no per token costs for ai agents
• Positive Sentiment: Several analysts kept bullish ratings, saying the selloff may create an attractive entry point despite near-term AI disruption and reset expectations. Analyst Maintains Buy on Pegasystems, Viewing Near-Term Weakness as Temporary and Market Selloff as an Attractive Entry Point
• Positive Sentiment: Rosenblatt cut its price target but still reiterated a Buy rating, implying meaningful upside from current levels. Pegasystems PT Lowered to $47 at Rosenblatt
• Neutral Sentiment: Management said the new Pega Infinity 26 launch and AI agent messaging could support longer-term positioning, but investors are still waiting to see whether it translates into stronger demand. Pegasystems (PEGA) Stock Could Be Undervalued As Pega Infinity 26 Launches
• Negative Sentiment: The Q2 miss triggered a broad downgrade wave, with analysts trimming forecasts and price targets after the weaker-than-expected report. Pegasystems Analysts Cut Their Forecasts After Downbeat Q2 Earnings
• Negative Sentiment: The stock also came under pressure because customers appear to be delaying software purchases while reassessing spending in the AI era, which could weigh on near-term growth. Pegasystems Just Did an IBM, Only Its AI Warning May Be Even Worse

Insider Activity

In related news, CAO Efstathios A. Kouninis sold 750 shares of the firm’s stock in a transaction that occurred on Friday, May 29th. The shares were sold at an average price of $34.75, for a total value of $26,062.50. Following the transaction, the chief accounting officer owned 2,894 shares in the company, valued at approximately $100,566.50. This trade represents a 20.58% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, insider Rifat Kerim Akgonul sold 4,545 shares of Pegasystems stock in a transaction that occurred on Tuesday, May 19th. The shares were sold at an average price of $33.35, for a total transaction of $151,575.75. Following the transaction, the insider directly owned 107,070 shares in the company, valued at approximately $3,570,784.50. This trade represents a 4.07% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 6,795 shares of company stock worth $229,613 over the last ninety days. Corporate insiders own 48.40% of the company’s stock.

Pegasystems Trading Up 0.1%

Shares of PEGA opened at $26.01 on Friday. The firm has a market capitalization of $4.28 billion, a P/E ratio of 14.69 and a beta of 0.87. The stock’s fifty day simple moving average is $32.27 and its 200 day simple moving average is $39.79. Pegasystems Inc. has a twelve month low of $25.10 and a twelve month high of $68.10.

Pegasystems (NASDAQ:PEGA) last issued its earnings results on Tuesday, July 21st. The technology company reported $0.35 earnings per share for the quarter, missing analysts’ consensus estimates of $0.43 by ($0.08). Pegasystems had a net margin of 18.66% and a return on equity of 32.21%. The firm had revenue of $420.72 million during the quarter, compared to analyst estimates of $427.38 million. During the same quarter in the previous year, the business posted $0.28 EPS. Pegasystems’s revenue was up 9.4% compared to the same quarter last year. Sell-side analysts predict that Pegasystems Inc. will post 1.93 earnings per share for the current year.

Pegasystems Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, July 15th. Stockholders of record on Wednesday, July 1st were paid a $0.03 dividend. This represents a $0.12 annualized dividend and a dividend yield of 0.5%. The ex-dividend date of this dividend was Wednesday, July 1st. Pegasystems’s payout ratio is currently 6.45%.

Analysts Set New Price Targets

Several research firms recently commented on PEGA. Barclays reiterated an “overweight” rating and issued a $39.00 target price (down from $48.00) on shares of Pegasystems in a research note on Thursday. DA Davidson reissued a “buy” rating and issued a $55.00 price target on shares of Pegasystems in a research note on Wednesday, June 10th. Wedbush restated an “outperform” rating and issued a $60.00 price target on shares of Pegasystems in a report on Thursday, April 23rd. Royal Bank Of Canada set a $35.00 price objective on shares of Pegasystems and gave the company an “outperform” rating in a research note on Thursday. Finally, KeyCorp lowered shares of Pegasystems from an “overweight” rating to a “sector weight” rating in a report on Wednesday. Six analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $52.40.

Pegasystems 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.