Zacks Investment Research upgraded shares of Amdocs (NASDAQ:DOX) from a hold rating to a buy rating in a report released on Friday, Zacks.com reports. The firm currently has $68.00 target price on the technology company’s stock.

According to Zacks, “Amdocs’ fiscal second-quarter results benefited from new customer gains, penetration into new regions and a number of managed services awards. Digital modernization requirements of many of Amdocs’ communications, Pay TV and media customers are driving sales in North America. The company is also benefiting from partnerships with key companies. Moreover, it stands to greatly benefit from the impending merger between T-Mobile and Sprint, both of which are Amdocs’ customers. The company continues to aid digital, media and network transformations of its clients, which is improving its revenue growth rate. Its cloud native digital solutions platform DigitalONE is expected to be a key growth driver. However, persistent drag in the directory systems market remains a headwind. Shares have underperformed the industry year to date.”

Other research analysts have also recently issued reports about the company. ValuEngine upgraded Amdocs from a sell rating to a hold rating in a report on Wednesday. JPMorgan Chase & Co. cut their target price on Amdocs from $70.00 to $67.00 and set a neutral rating on the stock in a research report on Wednesday. Finally, BidaskClub lowered Amdocs from a hold rating to a sell rating in a research report on Thursday, March 14th. One research analyst has rated the stock with a sell rating, four have given a hold rating and two have assigned a buy rating to the company. The company presently has a consensus rating of Hold and a consensus price target of $71.40.

DOX traded down $0.08 during trading hours on Friday, reaching $60.80. The company’s stock had a trading volume of 960,069 shares, compared to its average volume of 898,538. Amdocs has a fifty-two week low of $52.60 and a fifty-two week high of $70.31. The stock has a market capitalization of $8.50 billion, a PE ratio of 16.26, a P/E/G ratio of 1.79 and a beta of 0.52.

Amdocs (NASDAQ:DOX) last released its quarterly earnings data on Tuesday, May 14th. The technology company reported $1.06 EPS for the quarter, beating analysts’ consensus estimates of $1.03 by $0.03. Amdocs had a return on equity of 15.18% and a net margin of 8.96%. The firm had revenue of $1.02 billion for the quarter, compared to analysts’ expectations of $1.02 billion. During the same period in the prior year, the firm posted $0.95 earnings per share. The firm’s quarterly revenue was up 2.8% on a year-over-year basis. As a group, equities analysts predict that Amdocs will post 4 earnings per share for the current year.

The company also recently announced a quarterly dividend, which will be paid on Friday, July 19th. Shareholders of record on Friday, June 28th will be given a $0.285 dividend. This represents a $1.14 dividend on an annualized basis and a yield of 1.88%. The ex-dividend date is Thursday, June 27th. Amdocs’s payout ratio is 30.48%.

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Assenagon Asset Management S.A. raised its position in Amdocs by 1.6% in the first quarter. Assenagon Asset Management S.A. now owns 13,100 shares of the technology company’s stock valued at $709,000 after purchasing an additional 200 shares during the period. Macquarie Group Ltd. increased its position in shares of Amdocs by 0.3% during the fourth quarter. Macquarie Group Ltd. now owns 68,943 shares of the technology company’s stock worth $4,039,000 after acquiring an additional 226 shares during the period. Cox Capital Mgt LLC increased its position in shares of Amdocs by 3.0% during the fourth quarter. Cox Capital Mgt LLC now owns 8,875 shares of the technology company’s stock worth $491,000 after acquiring an additional 256 shares during the period. O Shares Investment Advisers LLC increased its position in shares of Amdocs by 3.0% during the first quarter. O Shares Investment Advisers LLC now owns 9,590 shares of the technology company’s stock worth $519,000 after acquiring an additional 280 shares during the period. Finally, Smith Moore & CO. increased its position in shares of Amdocs by 4.5% during the fourth quarter. Smith Moore & CO. now owns 7,185 shares of the technology company’s stock worth $421,000 after acquiring an additional 308 shares during the period. 93.02% of the stock is currently owned by institutional investors.

Amdocs Company Profile

Amdocs Limited, through its subsidiaries, provides software and services to the communications, pay TV, entertainment, and media industry service providers worldwide. The company offers amdocsONE a line of services designed for various stages of a service provider's lifecycle, including planning, delivery, implementation, and ongoing support, as well as consumer experience and monetization, media and digital, enterprise and connected society, service-driven network, and services and agile operation solutions.

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