Amdocs (NASDAQ:DOX) Shares Gap Up – Here’s Why

Amdocs Limited (NASDAQ:DOX)’s stock price gapped up before the market opened on Thursday. The stock had previously closed at $57.18, but opened at $59.70. Amdocs shares last traded at $59.8020, with a volume of 93,518 shares trading hands.

Wall Street Analysts Forecast Growth

A number of equities research analysts have commented on DOX shares. Weiss Ratings restated a “hold (c-)” rating on shares of Amdocs in a research note on Wednesday, August 5th. Wall Street Zen upgraded shares of Amdocs from a “hold” rating to a “buy” rating in a research report on Saturday, August 29th. Finally, KeyCorp initiated coverage on shares of Amdocs in a research note on Monday, June 29th. They issued a “sector weight” rating for the company. Three equities research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the company has a consensus rating of “Hold” and a consensus price target of $86.67.

Amdocs Stock Up 2.5%

The company has a quick ratio of 0.94, a current ratio of 0.94 and a debt-to-equity ratio of 0.23. The stock has a market capitalization of $6.33 billion, a P/E ratio of 13.94, a PEG ratio of 1.00 and a beta of 0.42. The company has a fifty day moving average price of $59.05 and a 200-day moving average price of $59.75.

Amdocs (NASDAQ:DOX) last announced its quarterly earnings results on Thursday, August 6th. The technology company reported $1.84 EPS for the quarter, meeting analysts’ consensus estimates of $1.84. The company had revenue of $1.17 billion during the quarter, compared to analyst estimates of $1.18 billion. Amdocs had a return on equity of 20.28% and a net margin of 9.75%.The firm’s revenue was up 2.7% on a year-over-year basis. During the same period in the prior year, the company earned $1.72 earnings per share. As a group, research analysts forecast that Amdocs Limited will post 6.56 EPS for the current fiscal year.

Amdocs Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, October 30th. Stockholders of record on Wednesday, September 30th will be given a dividend of $0.5690 per share. This represents a $2.28 dividend on an annualized basis and a dividend yield of 3.9%. The ex-dividend date is Wednesday, September 30th. Amdocs’s dividend payout ratio is currently 54.29%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the business. MidFirst Bank bought a new stake in Amdocs in the fourth quarter worth $54,000. GAMMA Investing LLC lifted its position in Amdocs by 65.7% during the second quarter. GAMMA Investing LLC now owns 1,725 shares of the technology company’s stock valued at $87,000 after purchasing an additional 684 shares during the last quarter. Hennessy Advisors Inc. purchased a new position in shares of Amdocs in the 2nd quarter worth $92,000. EverSource Wealth Advisors LLC grew its stake in shares of Amdocs by 32.3% in the 1st quarter. EverSource Wealth Advisors LLC now owns 2,255 shares of the technology company’s stock worth $147,000 after buying an additional 550 shares in the last quarter. Finally, Martin Capital Partners LLC bought a new stake in shares of Amdocs in the 2nd quarter worth about $201,000. 92.02% of the stock is owned by hedge funds and other institutional investors.

Amdocs Company Profile

Amdocs Limited (NASDAQ: DOX) is a global provider of software and services for communications, media and entertainment companies. Its offerings help service providers manage customer relationships, billing, product catalogs, ordering, network operations and digital experiences across consumer and enterprise markets.

The company provides business support systems and operational support systems, along with cloud-based platforms, artificial intelligence and data solutions, cybersecurity, network services and managed services.