Citrix Systems (CTXS) Lifted to “Buy” at Zacks Investment Research
Zacks Investment Research upgraded shares of Citrix Systems (NASDAQ:CTXS) from a hold rating to a buy rating in a report released on Monday morning. They currently have $122.00 price objective on the cloud computing company’s stock.
According to Zacks, “Citrix Systems is a provider of virtualization, networking and cloud computing solutions. The company is benefiting from robust adoption of its Subscription based services. Solid adoption of unified workspace solutions and hybrid cloud offerings are key positive. Traction witnessed by ShareFile is notable. The company also provided an impressive guidance. Efforts to reward shareholders through share buybacks are a positive. Buyout of Cedexis is likely to improve company’s operational performance. The company has deployed its Cloud services including XenDesktop and XenApp on Oracle Cloud Marketplace. This is likely to have led to new customer additions, consequently generating incremental revenues. Its strong customer base is another positive. Further, the merger between LogMeIn and Citrix's GoTo business, concluded last year, is likely to be value accretive, going forward. However, adverse foreign exchange movements remain a headwind.”
A number of other equities research analysts also recently issued reports on the company. BidaskClub raised Citrix Systems from a hold rating to a buy rating in a research report on Saturday, September 1st. Stifel Nicolaus boosted their price target on Citrix Systems from $105.00 to $120.00 and gave the company a hold rating in a research report on Thursday, July 26th. Morgan Stanley boosted their price target on Citrix Systems from $92.00 to $101.00 and gave the company an underweight rating in a research report on Thursday, July 26th. Robert W. Baird reissued a hold rating and set a $120.00 price target on shares of Citrix Systems in a research report on Thursday, July 26th. Finally, Cowen reissued a hold rating and set a $120.00 price target on shares of Citrix Systems in a research report on Thursday, July 26th. One equities research analyst has rated the stock with a sell rating, nine have given a hold rating, six have given a buy rating and one has assigned a strong buy rating to the company. The stock currently has a consensus rating of Hold and an average target price of $114.21.
Citrix Systems (NASDAQ:CTXS) last announced its quarterly earnings data on Wednesday, October 24th. The cloud computing company reported $1.40 EPS for the quarter, beating the Zacks’ consensus estimate of $1.25 by $0.15. The business had revenue of $732.47 million during the quarter, compared to the consensus estimate of $722.76 million. Citrix Systems had a return on equity of 91.46% and a net margin of 4.27%. The business’s revenue for the quarter was up 6.0% on a year-over-year basis. During the same quarter in the previous year, the business earned $1.22 earnings per share. On average, research analysts anticipate that Citrix Systems will post 4.39 earnings per share for the current fiscal year.
Citrix Systems announced that its Board of Directors has authorized a stock buyback program on Wednesday, October 24th that authorizes the company to repurchase $750.00 million in shares. This repurchase authorization authorizes the cloud computing company to buy up to 5.4% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company’s board of directors believes its shares are undervalued.
The business also recently announced a quarterly dividend, which will be paid on Friday, December 21st. Stockholders of record on Friday, December 7th will be given a $0.35 dividend. This represents a $1.40 annualized dividend and a dividend yield of 1.31%. The ex-dividend date of this dividend is Thursday, December 6th.
In other news, insider Robert Calderoni sold 2,128 shares of the company’s stock in a transaction dated Tuesday, September 4th. The stock was sold at an average price of $113.28, for a total value of $241,059.84. Following the completion of the sale, the insider now owns 145,790 shares of the company’s stock, valued at $16,515,091.20. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, VP Jessica Soisson sold 1,136 shares of the company’s stock in a transaction dated Wednesday, August 29th. The stock was sold at an average price of $113.78, for a total value of $129,254.08. The disclosure for this sale can be found here. Insiders sold 21,641 shares of company stock valued at $2,315,751 in the last ninety days. Company insiders own 0.56% of the company’s stock.
Several hedge funds and other institutional investors have recently modified their holdings of CTXS. Atria Investments LLC purchased a new stake in shares of Citrix Systems in the second quarter worth about $241,000. Nisa Investment Advisors LLC boosted its position in shares of Citrix Systems by 16.9% in the second quarter. Nisa Investment Advisors LLC now owns 56,847 shares of the cloud computing company’s stock worth $5,960,000 after buying an additional 8,206 shares during the period. James Investment Research Inc. purchased a new stake in shares of Citrix Systems in the second quarter worth about $1,926,000. Whittier Trust Co. boosted its position in shares of Citrix Systems by 51.5% in the second quarter. Whittier Trust Co. now owns 7,643 shares of the cloud computing company’s stock worth $478,000 after buying an additional 2,598 shares during the period. Finally, Zeke Capital Advisors LLC boosted its position in shares of Citrix Systems by 19.9% in the second quarter. Zeke Capital Advisors LLC now owns 5,241 shares of the cloud computing company’s stock worth $549,000 after buying an additional 870 shares during the period.
Citrix Systems Company Profile
Citrix Systems, Inc delivers solutions to secure and access applications worldwide. The company offers workspace services, including XenDesktop, a cloud-enabled desktop virtualization solution that gives customers the flexibility to deliver desktops and applications as a service from cloud and on-premises datacenters; and XenApp that allows Windows applications to be delivered as cloud services to Android and iOS mobile devices, Macs, PCs, and thin clients.
Featured Story: Short Selling Stocks, A Beginner’s Guide
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for Citrix Systems Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Citrix Systems and related companies with MarketBeat.com's FREE daily email newsletter.