Amdocs (NASDAQ:DOX) Reaches New 1-Year Low After Analyst Downgrade

Amdocs Limited (NASDAQ:DOX)’s share price hit a new 52-week low during mid-day trading on Tuesday after Zacks Research downgraded the stock from a hold rating to a strong sell rating. The stock traded as low as $40.28 and last traded at $40.0760, with a volume of 280,944 shares changing hands. The stock had previously closed at $41.74.

Several other equities analysts have also weighed in on DOX. Stifel Nicolaus cut their price objective on shares of Amdocs from $71.00 to $46.00 and set a “buy” rating on the stock in a research report on Wednesday, November 4th. Wall Street Zen downgraded shares of Amdocs from a “buy” rating to a “hold” rating in a research report on Saturday, November 7th. Oppenheimer downgraded shares of Amdocs from an “outperform” rating to a “market perform” rating in a research report on Wednesday, November 4th. Finally, Weiss Ratings upgraded shares of Amdocs from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Friday, October 23rd. Two analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Amdocs presently has a consensus rating of “Hold” and an average target price of $69.00.

Institutional Investors Weigh In On Amdocs

Several hedge funds have recently modified their holdings of the business. Alpine Bank Wealth Management raised its stake in Amdocs by 58.2% during the 3rd quarter. Alpine Bank Wealth Management now owns 500 shares of the technology company’s stock valued at $29,000 after purchasing an additional 184 shares during the last quarter. Mirae Asset Global Investments Co. Ltd. bought a new stake in Amdocs in the 3rd quarter valued at $57,000. Versant Capital Management Inc boosted its holdings in Amdocs by 3,340.6% in the 3rd quarter. Versant Capital Management Inc now owns 1,101 shares of the technology company’s stock valued at $63,000 after purchasing an additional 1,069 shares during the period. Rothschild Investment LLC grew its position in Amdocs by 296.2% in the 3rd quarter. Rothschild Investment LLC now owns 1,240 shares of the technology company’s stock worth $71,000 after purchasing an additional 927 shares during the last quarter. Finally, Farther Finance Advisors LLC grew its position in Amdocs by 16.4% in the 3rd quarter. Farther Finance Advisors LLC now owns 1,292 shares of the technology company’s stock worth $74,000 after purchasing an additional 182 shares during the last quarter. 92.02% of the stock is owned by institutional investors.

Amdocs Stock Performance

The firm’s fifty day moving average price is $58.25 and its 200-day moving average price is $61.37. The company has a market cap of $4.61 billion, a P/E ratio of 9.18, a P/E/G ratio of 1.35 and a beta of 0.42. The company has a current ratio of 0.94, a quick ratio of 0.94 and a debt-to-equity ratio of 0.23.

Amdocs (NASDAQ:DOX) last released its earnings results on Tuesday, November 3rd. The technology company reported $1.98 earnings per share for the quarter, meeting the consensus estimate of $1.98. Amdocs had a net margin of 10.59% and a return on equity of 20.81%. The business had revenue of $1.19 billion during the quarter, compared to analysts’ expectations of $1.19 billion. During the same quarter last year, the company earned $1.83 earnings per share. The firm’s revenue was up 3.8% on a year-over-year basis. As a group, research analysts forecast that Amdocs Limited will post 5.82 EPS for the current fiscal year.

Amdocs Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, January 29th. Shareholders of record on Thursday, December 31st will be given a $0.5690 dividend. The ex-dividend date is Thursday, December 31st. This represents a $2.28 dividend on an annualized basis and a dividend yield of 5.3%. Amdocs’s dividend payout ratio (DPR) is currently 48.82%.

About Amdocs

Amdocs provides software and services to communications and media companies. Its offerings include business and operational support systems for billing, customer management, service delivery and network operations, as well as cloud and digital solutions that help clients modernize their businesses and improve customer experiences. Founded in 1982, Amdocs serves communications and media providers in markets around the world. The company is headquartered in the St. Louis, Missouri, area and is led by President and Chief Executive Officer Shuky Sheffer.