Amdocs Sees Unusually High Options Volume (NASDAQ:DOX)

Amdocs Limited (NASDAQ:DOX) was the recipient of unusually large options trading on Friday. Traders acquired 2,152 call options on the stock. This represents an increase of 430% compared to the typical daily volume of 406 call options.

Amdocs Stock Up 0.9%

NASDAQ:DOX traded up $0.39 during trading hours on Friday, reaching $44.50. 531,811 shares of the stock were exchanged, compared to its average volume of 1,318,326. The stock has a market cap of $4.80 billion, a PE ratio of 9.53, a PEG ratio of 1.40 and a beta of 0.42. Amdocs has a twelve month low of $39.96 and a twelve month high of $84.95. The firm has a 50 day moving average of $57.88 and a 200 day moving average of $61.17. The company has a debt-to-equity ratio of 0.23, a current ratio of 0.94 and a quick ratio of 0.94.

Amdocs (NASDAQ:DOX) last posted its quarterly earnings data on Tuesday, November 3rd. The technology company reported $1.98 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $1.98. The company had revenue of $1.19 billion for the quarter, compared to the consensus estimate of $1.19 billion. Amdocs had a net margin of 10.59% and a return on equity of 20.81%. The firm’s revenue was up 3.8% compared to the same quarter last year. During the same period last year, the company earned $1.83 earnings per share. On average, equities analysts expect that Amdocs will post 5.82 earnings per share for the current year.

Amdocs Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, January 29th. Investors of record on Thursday, December 31st will be given a $0.5690 dividend. The ex-dividend date of this dividend is Thursday, December 31st. This represents a $2.28 dividend on an annualized basis and a yield of 5.1%. Amdocs’s dividend payout ratio (DPR) is 48.82%.

Top Amdocs Stories

These are some of the DOX stories that stood out recently:

• Positive Sentiment: Several directors bought shares in open-market transactions, including John Anthony Macdonald, who purchased 1,000 shares for about $41,630, and Yvette Kanouff, who bought 2,400 shares for $100,800. Insider buying can indicate confidence, though it does not eliminate business risks. Director purchase report
• Positive Sentiment: Amdocs is seeking shareholder backing for a 3% increase in its quarterly dividend, which could modestly enhance shareholder returns if approved. Dividend proposal report
• Negative Sentiment: The key overhang remains disappointing fiscal 2027 guidance tied to an escalating dispute with T-Mobile. The outlook triggered a roughly 30% one-session decline on November 4, despite quarterly earnings and revenue meeting consensus. Securities investigation notice

Insider Activity

In other Amdocs news, Director Yvette Kanouff purchased 2,400 shares of the company’s stock in a transaction dated Monday, November 9th. The shares were bought at an average price of $42.00 per share, with a total value of $100,800.00. Following the completion of the transaction, the director directly owned 26,600 shares in the company, valued at $1,117,200. This trade represents a 9.92% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director John Anthony Macdonald purchased 1,000 shares of the company’s stock in a transaction dated Tuesday, November 10th. The shares were acquired at an average cost of $41.63 per share, for a total transaction of $41,630.00. Following the transaction, the director owned 25,189 shares of the company’s stock, valued at $1,048,618.07. This trade represents a 4.13% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Over the last quarter, insiders have acquired 3,534 shares of company stock worth $147,966. Corporate insiders own 15.40% of the company’s stock.

Institutional Investors Weigh In On Amdocs

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Farther Finance Advisors LLC boosted its stake in shares of Amdocs by 16.4% during the 3rd quarter. Farther Finance Advisors LLC now owns 1,292 shares of the technology company’s stock worth $74,000 after buying an additional 182 shares during the last quarter. Alpine Bank Wealth Management raised its holdings in Amdocs by 58.2% during the third quarter. Alpine Bank Wealth Management now owns 500 shares of the technology company’s stock worth $29,000 after acquiring an additional 184 shares in the last quarter. Sequoia Financial Advisors LLC boosted its position in Amdocs by 3.5% during the first quarter. Sequoia Financial Advisors LLC now owns 6,443 shares of the technology company’s stock valued at $420,000 after purchasing an additional 218 shares during the last quarter. Covestor Ltd boosted its position in Amdocs by 11.8% during the third quarter. Covestor Ltd now owns 2,461 shares of the technology company’s stock valued at $141,000 after purchasing an additional 259 shares during the last quarter. Finally, Global Retirement Partners LLC boosted its position in Amdocs by 16.8% during the third quarter. Global Retirement Partners LLC now owns 2,007 shares of the technology company’s stock valued at $115,000 after purchasing an additional 289 shares during the last quarter. 92.02% of the stock is owned by institutional investors.

Wall Street Analyst Weigh In

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

Amdocs Company Profile

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.