Citrix Systems Inc. (CTXS) Lowered to “Hold” at Zacks Investment Research
According to Zacks, “Citrix’s third quarter results impressed as both earnings and revenues surpassed estimates. The company witnessed an improvement in revenues across key segments such as License updates and maintenance and Software-as-a-Service (SaaS). The company’s revenues increased in Americas and Asia Pacific. However revenues in the EMEA region declined. Citrix continues to expand its product offering through rapid innovation. The company is expected to benefit from its product diversification and operations across Desktop Virtualization and Cloud Infrastructure segments. We are positive on the proposed merger between LogMeIn and Citrix's GoTo business. Despite concern of adverse foreign exchange movement, we are, impressed with Citrix raising its earnings per share guidance (adjusted basis) for 2016 to a band of $5.18–$5.20 from $5.00–$5.10. However we are concerned about macroeconomic headwinds. “
CTXS has been the topic of several other reports. Morgan Stanley upped their price objective on shares of Citrix Systems from $77.00 to $84.00 and gave the stock an underweight rating in a research note on Thursday, October 20th. Jefferies Group cut shares of Citrix Systems from a hold rating to an underperform rating and decreased their price objective for the stock from $80.00 to $71.00 in a research note on Monday, August 1st. They noted that the move was a valuation call. Stifel Nicolaus cut shares of Citrix Systems from a buy rating to a hold rating in a research note on Wednesday, July 27th. They noted that the move was a valuation call. Cowen and Company upped their price objective on shares of Citrix Systems from $95.00 to $97.00 and gave the stock an outperform rating in a research note on Thursday, October 20th. Finally, Raymond James Financial Inc. reissued a market perform rating on shares of Citrix Systems in a research note on Sunday, October 23rd. Two investment analysts have rated the stock with a sell rating, thirteen have issued a hold rating and ten have assigned a buy rating to the company. The stock has an average rating of Hold and an average price target of $90.54.
Citrix Systems (NASDAQ:CTXS) opened at 87.94 on Thursday. The stock’s 50 day moving average price is $85.36 and its 200 day moving average price is $85.10. The firm has a market capitalization of $13.72 billion, a P/E ratio of 29.40 and a beta of 1.66. Citrix Systems has a 12 month low of $60.91 and a 12 month high of $90.00.
Citrix Systems (NASDAQ:CTXS) last issued its quarterly earnings data on Wednesday, October 19th. The cloud computing company reported $1.32 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $1.19 by $0.13. The firm had revenue of $841.30 million for the quarter, compared to analysts’ expectations of $827.21 million. Citrix Systems had a net margin of 13.69% and a return on equity of 32.90%. The company’s quarterly revenue was up 3.4% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.04 earnings per share. On average, analysts forecast that Citrix Systems will post $5.20 earnings per share for the current year.
In related news, CFO David J. Henshall sold 300 shares of the firm’s stock in a transaction on Thursday, November 10th. The shares were sold at an average price of $87.50, for a total transaction of $26,250.00. Following the sale, the chief financial officer now directly owns 206,481 shares in the company, valued at $18,067,087.50. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, SVP Klaus Oestermann sold 3,188 shares of the firm’s stock in a transaction on Wednesday, November 9th. The stock was sold at an average price of $83.46, for a total transaction of $266,070.48. Following the sale, the senior vice president now owns 31,308 shares in the company, valued at $2,612,965.68. The disclosure for this sale can be found here. Corporate insiders own 0.48% of the company’s stock.
Several large investors have recently modified their holdings of the company. Bank of Montreal Can bought a new stake in shares of Citrix Systems during the second quarter worth approximately $213,278,000. FMR LLC raised its stake in shares of Citrix Systems by 65.3% in the second quarter. FMR LLC now owns 4,754,745 shares of the cloud computing company’s stock worth $380,807,000 after buying an additional 1,878,884 shares during the last quarter. Nordea Investment Management AB raised its stake in shares of Citrix Systems by 70.2% in the third quarter. Nordea Investment Management AB now owns 3,259,636 shares of the cloud computing company’s stock valued at $277,786,000 after buying an additional 1,344,047 shares during the last quarter. Westpac Banking Corp raised its stake in shares of Citrix Systems by 687.1% in the third quarter. Westpac Banking Corp now owns 1,203,424 shares of the cloud computing company’s stock valued at $102,556,000 after buying an additional 1,050,527 shares during the last quarter. Finally, ING Groep NV raised its stake in shares of Citrix Systems by 8,880.2% in the second quarter. ING Groep NV now owns 725,958 shares of the cloud computing company’s stock valued at $58,135,000 after buying an additional 717,874 shares during the last quarter. Institutional investors and hedge funds own 95.70% of the company’s stock.
About Citrix Systems
Citrix Systems, Inc develops and sells products and services that enable delivery of applications and data over public, private or hybrid clouds or networks, to virtually any type of device. The Company operates through two segments: Enterprise and Service Provider, and Mobility Apps. The Company’s Enterprise and Service Provider segment consists of Workspace Services and Delivery Networking products.
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