Amdocs (NASDAQ:DOX) Upgraded to Buy at Wall Street Zen

Wall Street Zen upgraded shares of Amdocs (NASDAQ:DOX) from a hold rating to a buy rating in a research report released on Saturday morning.

A number of other equities research analysts also recently commented on the stock. Weiss Ratings reissued a “hold (c)” rating on shares of Amdocs in a research report on Tuesday, January 27th. Barclays dropped their price objective on shares of Amdocs from $111.00 to $92.00 and set an “overweight” rating on the stock in a research report on Wednesday, February 4th. Finally, Stifel Nicolaus dropped their target price on shares of Amdocs from $97.00 to $88.00 and set a “buy” rating on the stock in a research report on Wednesday, February 4th. Three research analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. Based on data from MarketBeat, Amdocs currently has an average rating of “Moderate Buy” and an average target price of $92.33.

Amdocs Trading Up 1.6%

Shares of NASDAQ:DOX opened at $67.63 on Friday. Amdocs has a 52 week low of $62.75 and a 52 week high of $95.41. The company’s 50 day moving average is $67.17 and its two-hundred day moving average is $75.89. The company has a current ratio of 1.06, a quick ratio of 1.06 and a debt-to-equity ratio of 0.23. The company has a market cap of $7.30 billion, a PE ratio of 13.08, a P/E/G ratio of 1.18 and a beta of 0.46.

Amdocs (NASDAQ:DOX) last announced its quarterly earnings data on Tuesday, February 3rd. The technology company reported $1.81 EPS for the quarter, beating analysts’ consensus estimates of $1.75 by $0.06. Amdocs had a net margin of 12.47% and a return on equity of 20.19%. The company had revenue of $1.16 billion for the quarter, compared to the consensus estimate of $1.15 billion. During the same period in the prior year, the firm posted $1.66 EPS. The company’s quarterly revenue was up 4.1% compared to the same quarter last year. Amdocs has set its Q2 2026 guidance at 1.730-1.790 EPS and its FY 2026 guidance at 7.270-7.550 EPS. Equities analysts predict that Amdocs will post 6.21 earnings per share for the current fiscal year.

Amdocs Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, April 24th. Investors of record on Tuesday, March 31st will be given a $0.569 dividend. This is a positive change from Amdocs’s previous quarterly dividend of $0.53. The ex-dividend date of this dividend is Tuesday, March 31st. This represents a $2.28 dividend on an annualized basis and a dividend yield of 3.4%. Amdocs’s payout ratio is 43.91%.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of DOX. Pzena Investment Management LLC grew its position in shares of Amdocs by 82.6% in the 4th quarter. Pzena Investment Management LLC now owns 12,037,015 shares of the technology company’s stock valued at $969,100,000 after buying an additional 5,443,766 shares during the last quarter. Alyeska Investment Group L.P. boosted its stake in Amdocs by 155.1% during the 4th quarter. Alyeska Investment Group L.P. now owns 2,110,393 shares of the technology company’s stock worth $169,908,000 after purchasing an additional 1,283,231 shares during the period. Alliancebernstein L.P. boosted its stake in Amdocs by 32.1% during the 3rd quarter. Alliancebernstein L.P. now owns 2,359,779 shares of the technology company’s stock worth $193,620,000 after purchasing an additional 573,349 shares during the period. Dimensional Fund Advisors LP boosted its stake in Amdocs by 24.0% during the 4th quarter. Dimensional Fund Advisors LP now owns 2,892,761 shares of the technology company’s stock worth $232,903,000 after purchasing an additional 560,380 shares during the period. Finally, Squarepoint Ops LLC boosted its stake in Amdocs by 469.4% during the 4th quarter. Squarepoint Ops LLC now owns 543,875 shares of the technology company’s stock worth $43,787,000 after purchasing an additional 448,358 shares during the period. 92.02% of the stock is owned by hedge funds and other institutional investors.

About Amdocs

Amdocs (NASDAQ: DOX) is a global software and services provider specializing in solutions for communications, media and entertainment companies. The company designs, develops and integrates revenue management, customer experience and digital services platforms that enable service providers to launch and monetize new offerings, streamline operations and enhance subscriber engagement. Amdocs’ product suite encompasses billing and order management, customer relationship management, digital commerce and network function virtualization, supported by professional services for implementation, integration and managed operations.

Founded in 1982 and structured as a separate public company in 1998, Amdocs has its corporate headquarters in Chesterfield, Missouri, and maintains major development centers in Ra’anana, Israel.