Royal Bank of Canada Has Lowered Expectations for PagerDuty (NYSE:PD) Stock Price

PagerDuty (NYSE:PD) had its price target cut by research analysts at Royal Bank of Canada from $24.00 to $22.00 in a research report issued to clients and investors on Friday,Benzinga reports. The firm presently has an “outperform” rating on the stock. Royal Bank of Canada’s target price suggests a potential upside of 19.49% from the company’s current price.

Other equities analysts have also recently issued reports about the company. Bank of America cut PagerDuty from a “buy” rating to an “underperform” rating and cut their price target for the stock from $23.00 to $18.00 in a report on Thursday, January 30th. JPMorgan Chase & Co. restated an “underweight” rating and set a $21.00 price target on shares of PagerDuty in a report on Wednesday, December 11th. Two analysts have rated the stock with a sell rating, five have issued a hold rating and four have assigned a buy rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and an average target price of $20.73.

PagerDuty Price Performance

Shares of NYSE PD opened at $18.41 on Friday. The company has a market capitalization of $1.66 billion, a PE ratio of -23.01 and a beta of 1.12. The company has a quick ratio of 1.97, a current ratio of 1.97 and a debt-to-equity ratio of 3.52. PagerDuty has a twelve month low of $15.49 and a twelve month high of $23.85. The firm has a fifty day simple moving average of $18.24 and a 200 day simple moving average of $18.68.

PagerDuty (NYSE:PD) last posted its quarterly earnings data on Thursday, March 13th. The company reported $0.22 earnings per share for the quarter, topping the consensus estimate of $0.16 by $0.06. The firm had revenue of $121.45 million during the quarter, compared to analyst estimates of $119.53 million. PagerDuty had a negative return on equity of 22.02% and a negative net margin of 16.29%. The business’s quarterly revenue was up 9.3% on a year-over-year basis. During the same period last year, the company posted $0.17 EPS. On average, sell-side analysts forecast that PagerDuty will post -0.27 EPS for the current year.

PagerDuty declared that its Board of Directors has initiated a share repurchase program on Thursday, March 13th that permits the company to repurchase $150.00 million in outstanding shares. This repurchase authorization permits the company to purchase up to 10.7% of its stock through open market purchases. Stock repurchase programs are generally an indication that the company’s leadership believes its shares are undervalued.

Insider Buying and Selling

In other PagerDuty news, insider Shelley Webb sold 7,879 shares of the firm’s stock in a transaction on Monday, January 6th. The stock was sold at an average price of $18.19, for a total transaction of $143,319.01. Following the transaction, the insider now directly owns 199,122 shares in the company, valued at approximately $3,622,029.18. This trade represents a 3.81 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Jennifer Tejada sold 1,569 shares of the firm’s stock in a transaction on Tuesday, January 28th. The shares were sold at an average price of $20.00, for a total value of $31,380.00. Following the transaction, the chief executive officer now owns 868,311 shares in the company, valued at approximately $17,366,220. This trade represents a 0.18 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 10,048 shares of company stock worth $186,699 in the last ninety days. Corporate insiders own 7.60% of the company’s stock.

Institutional Investors Weigh In On PagerDuty

Several large investors have recently made changes to their positions in PD. JPMorgan Chase & Co. increased its position in shares of PagerDuty by 285.8% during the 3rd quarter. JPMorgan Chase & Co. now owns 1,263,841 shares of the company’s stock valued at $23,444,000 after purchasing an additional 936,257 shares during the last quarter. Marshall Wace LLP increased its holdings in PagerDuty by 989.0% in the 4th quarter. Marshall Wace LLP now owns 721,953 shares of the company’s stock worth $13,183,000 after acquiring an additional 655,655 shares during the last quarter. Two Sigma Investments LP increased its holdings in PagerDuty by 1,222.8% in the 4th quarter. Two Sigma Investments LP now owns 431,252 shares of the company’s stock worth $7,875,000 after acquiring an additional 398,650 shares during the last quarter. Two Sigma Advisers LP purchased a new stake in PagerDuty in the 4th quarter worth about $6,734,000. Finally, Raymond James Financial Inc. purchased a new stake in PagerDuty in the 4th quarter worth about $6,574,000. 97.26% of the stock is owned by hedge funds and other institutional investors.

PagerDuty Company Profile

PagerDuty, Inc engages in the operation of a digital operations management platform in the United States and internationally. The company’s digital operations management platform collects data and digital signals from virtually any software-enabled system or device and leverage machine learning to correlate, process, and predict opportunities and issues.