Zacks Investment Research downgraded shares of Nuance Communications (NASDAQ:NUAN) from a buy rating to a hold rating in a research report report published on Wednesday morning.

According to Zacks, “Nuance Communications, Inc. is the leading provider of speech and imaging solutions for businesses and consumers around the world. Its technologies, applications and services make the user experience more compelling by transforming the way people interact with information and how they create, share and use documents. “

A number of other brokerages also recently weighed in on NUAN. BidaskClub raised Nuance Communications from a hold rating to a buy rating in a report on Wednesday, October 3rd. ValuEngine raised Nuance Communications from a sell rating to a hold rating in a report on Thursday, August 9th. Barclays raised their target price on Nuance Communications from $18.00 to $20.00 and gave the company an overweight rating in a report on Thursday, August 9th. Standpoint Research downgraded Nuance Communications from a buy rating to a hold rating in a report on Thursday, August 9th. Finally, Stifel Nicolaus raised their price objective on Nuance Communications from $15.00 to $17.00 and gave the company a hold rating in a report on Thursday, August 9th. Five research analysts have rated the stock with a hold rating and five have given a buy rating to the company’s stock. The company currently has a consensus rating of Buy and an average price target of $19.57.

Shares of NUAN stock traded up $0.22 during trading hours on Wednesday, reaching $16.85. The company’s stock had a trading volume of 2,094,771 shares, compared to its average volume of 2,647,624. The company has a market cap of $4.97 billion, a PE ratio of 28.08, a P/E/G ratio of 1.94 and a beta of 0.75. Nuance Communications has a fifty-two week low of $12.18 and a fifty-two week high of $18.75. The company has a debt-to-equity ratio of 1.32, a quick ratio of 1.35 and a current ratio of 1.35.

Nuance Communications (NASDAQ:NUAN) last issued its earnings results on Wednesday, August 8th. The software maker reported $0.27 earnings per share for the quarter, meeting the Zacks’ consensus estimate of $0.27. The firm had revenue of $502.89 million for the quarter, compared to the consensus estimate of $495.53 million. Nuance Communications had a positive return on equity of 9.67% and a negative net margin of 9.55%. The company’s revenue was up 3.4% compared to the same quarter last year. During the same quarter last year, the business posted $0.30 EPS. On average, equities analysts predict that Nuance Communications will post 0.75 EPS for the current fiscal year.

Nuance Communications announced that its board has authorized a stock buyback plan on Wednesday, August 8th that permits the company to buyback $500.00 million in outstanding shares. This buyback authorization permits the software maker to reacquire up to 10.9% of its shares through open market purchases. Shares buyback plans are generally an indication that the company’s leadership believes its stock is undervalued.

In related news, insider Robert Weideman sold 16,675 shares of the firm’s stock in a transaction on Monday, October 1st. The stock was sold at an average price of $17.35, for a total transaction of $289,311.25. Following the sale, the insider now owns 420,419 shares of the company’s stock, valued at approximately $7,294,269.65. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Daniel David Tempesta sold 3,000 shares of the firm’s stock in a transaction on Friday, September 7th. The shares were sold at an average price of $16.75, for a total value of $50,250.00. Following the sale, the insider now directly owns 329,883 shares in the company, valued at approximately $5,525,540.25. The disclosure for this sale can be found here. In the last three months, insiders have sold 52,025 shares of company stock worth $877,141. 1.24% of the stock is currently owned by company insiders.

Several hedge funds and other institutional investors have recently added to or reduced their stakes in NUAN. Sei Investments Co. raised its position in Nuance Communications by 1.3% during the 2nd quarter. Sei Investments Co. now owns 373,792 shares of the software maker’s stock worth $5,191,000 after purchasing an additional 4,761 shares during the last quarter. Reliance Trust Co. of Delaware raised its position in Nuance Communications by 20.8% during the 2nd quarter. Reliance Trust Co. of Delaware now owns 28,374 shares of the software maker’s stock worth $394,000 after purchasing an additional 4,894 shares during the last quarter. Argent Capital Management LLC raised its position in Nuance Communications by 23.5% during the 2nd quarter. Argent Capital Management LLC now owns 31,205 shares of the software maker’s stock worth $433,000 after purchasing an additional 5,930 shares during the last quarter. Sicart Associates LLC raised its position in Nuance Communications by 5.5% during the 2nd quarter. Sicart Associates LLC now owns 117,195 shares of the software maker’s stock worth $1,627,000 after purchasing an additional 6,100 shares during the last quarter. Finally, Atria Investments LLC raised its position in Nuance Communications by 18.8% during the 2nd quarter. Atria Investments LLC now owns 41,040 shares of the software maker’s stock worth $570,000 after purchasing an additional 6,500 shares during the last quarter. 88.72% of the stock is currently owned by institutional investors.

About Nuance Communications

Nuance Communications, Inc provides voice recognition and natural language understanding solutions worldwide. It operates through four segments: Healthcare, Mobile, Enterprise, and Imaging. The Healthcare segment offers transcription solutions, which enable physicians to streamline clinical documentation with medical transcription platform; Dragon Medical, a dictation software that empowers physicians to capture and document patient care on various devices; clinical document improvement and coding solutions that ensure patient health information; diagnostic solutions that allow radiologists to document, collaborate, and share medical images and reports; and professional and personal productivity solutions to business users and consumers.

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