Morgan Stanley Cuts Endava (NYSE:DAVA) Price Target to $4.00

Endava (NYSE:DAVA) had its target price reduced by research analysts at Morgan Stanley from $8.00 to $4.00 in a research note issued to investors on Friday,Benzinga reports. The firm currently has an “equal weight” rating on the stock. Morgan Stanley’s target price points to a potential upside of 16.96% from the company’s current price.

DAVA has been the topic of a number of other reports. CLSA set a $5.00 price target on shares of Endava in a research report on Friday. TD Cowen dropped their target price on shares of Endava from $6.50 to $6.00 and set a “buy” rating on the stock in a research report on Monday, April 6th. Needham & Company LLC cut their target price on Endava from $7.00 to $5.00 and set a “buy” rating on the stock in a research note on Thursday. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Endava in a research report on Tuesday, April 7th. Finally, Guggenheim decreased their price target on shares of Endava from $15.00 to $13.00 and set a “buy” rating for the company in a research note on Friday, February 13th. Three analysts have rated the stock with a Buy rating, four have given a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, Endava presently has an average rating of “Hold” and a consensus target price of $7.43.

Endava Price Performance

Shares of NYSE:DAVA opened at $3.42 on Friday. The company has a current ratio of 2.39, a quick ratio of 2.39 and a debt-to-equity ratio of 0.36. The stock has a market cap of $192.24 million, a PE ratio of -30.22 and a beta of 1.11. The stock’s fifty day simple moving average is $4.37 and its two-hundred day simple moving average is $5.64. Endava has a 1-year low of $3.20 and a 1-year high of $17.36.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the company. EverSource Wealth Advisors LLC raised its holdings in Endava by 733.6% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,909 shares of the company’s stock valued at $29,000 after buying an additional 1,680 shares during the last quarter. Advisory Services Network LLC bought a new stake in Endava in the 3rd quarter worth $28,000. Quadrant Capital Group LLC increased its position in shares of Endava by 901.8% in the fourth quarter. Quadrant Capital Group LLC now owns 6,101 shares of the company’s stock valued at $39,000 after acquiring an additional 5,492 shares during the period. Perennial Advisors LLC bought a new position in shares of Endava during the fourth quarter valued at about $63,000. Finally, Vident Advisory LLC bought a new position in shares of Endava during the second quarter valued at about $160,000. 62.23% of the stock is owned by hedge funds and other institutional investors.

Key Stories Impacting Endava

Here are the key news stories impacting Endava this week:

• Positive Sentiment: Needham kept a buy rating on Endava but cut its price target to $5.00 from $7.00, implying some analysts still see recovery potential despite the weak results.
• Neutral Sentiment: JPMorgan downgraded Endava from neutral to underweight and set a $5.00 target, reflecting a more cautious stance but still above the recent trading level.
• Negative Sentiment: Endava reported Q3 FY2026 EPS of $0.07, well below the $0.27 consensus estimate, and revenue of $236.4 million versus expectations of $242.8 million, signaling weaker-than-expected operating performance. Article Title
• Negative Sentiment: The company also issued Q4 FY2026 and full-year FY2026 guidance below Wall Street estimates, reinforcing concerns that demand remains uneven and deal cycles are taking longer. Article Title
• Negative Sentiment: Management said this has been one of Endava’s most challenging periods in recent years, citing extended sales cycles and clients scrutinizing technology spend, which suggests near-term revenue growth may stay pressured. Article Title

About Endava

Endava PLC is a publicly traded technology services company specializing in digital transformation and agile software development. The firm helps enterprise clients design, build and manage custom software solutions across industries such as financial services, payments, retail, telecommunications and media. Its service offerings span end-to-end product design, customer experience, application development, quality engineering, DevOps, automation and artificial intelligence, all delivered through agile methodologies.

Founded in 2000, Endava has grown from a small software provider into a global IT partner.