Canada Pension Plan Investment Board Takes Position in Pegasystems Inc. $PEGA

Canada Pension Plan Investment Board bought a new stake in Pegasystems Inc. (NASDAQ:PEGA) in the 2nd quarter, Holdings Channel.com reports. The fund bought 350,500 shares of the technology company’s stock, valued at approximately $10,504,000.

Other large investors have also made changes to their positions in the company. NewEdge Advisors LLC boosted its holdings in Pegasystems by 1.4% in the third quarter. NewEdge Advisors LLC now owns 13,652 shares of the technology company’s stock valued at $785,000 after acquiring an additional 189 shares during the last quarter. Amundi raised its stake in shares of Pegasystems by 0.6% during the fourth quarter. Amundi now owns 39,881 shares of the technology company’s stock worth $2,382,000 after buying an additional 249 shares during the last quarter. PNC Financial Services Group Inc. lifted its holdings in Pegasystems by 3.4% in the fourth quarter. PNC Financial Services Group Inc. now owns 8,378 shares of the technology company’s stock valued at $500,000 after buying an additional 272 shares during the period. State of Michigan Retirement System lifted its holdings in Pegasystems by 1.4% in the first quarter. State of Michigan Retirement System now owns 22,000 shares of the technology company’s stock valued at $936,000 after buying an additional 300 shares during the period. Finally, Fifth Third Bancorp boosted its stake in Pegasystems by 96.5% in the fourth quarter. Fifth Third Bancorp now owns 617 shares of the technology company’s stock valued at $37,000 after acquiring an additional 303 shares during the last quarter. Institutional investors and hedge funds own 46.89% of the company’s stock.

Key Headlines Impacting Pegasystems

Here are the key news stories impacting Pegasystems this week:

• Positive Sentiment: Expanded Coforge partnership: Coforge can now brand, sell and implement Pegasystems’ AI solutions, including industry-focused applications for enterprise modernization. The arrangement could broaden Pega’s distribution, accelerate adoption of its automation platform and create additional long-term revenue opportunities. Coforge expands partnership with Pega
• Positive Sentiment: AI positioning is attracting buyers: Coverage highlights Pegasystems as a potential beneficiary of enterprises becoming more selective about AI deployment. Pega’s workflow automation, low-code development and governance capabilities may appeal to companies seeking practical, controlled enterprise AI rather than experimental tools. The stock also benefited from a broader software-sector rally following Salesforce’s strong results, particularly among beaten-down agentic-AI names. Could Pegasystems Stock Win as Enterprises Rethink AI Deployment?
• Neutral Sentiment: Insider transaction was limited: Chief Product Officer Rifat Kerim Akgonul sold 3,000 shares for approximately $101,970, reducing his holdings by about 2.7%. The sale may prompt caution, but he continues to own more than 108,000 shares, limiting the significance of the transaction by itself. Pegasystems Insider Sells Stock
• Negative Sentiment: Analyst downgrade and legal investigation: Zacks Research downgraded PEGA from “hold” to “strong sell.” Separately, Pomerantz LLP announced an investigation into potential claims on behalf of investors, creating a possible legal overhang and additional volatility. Pomerantz Investor Alert

Pegasystems Stock Up 0.8%

PEGA opened at $36.17 on Friday. Pegasystems Inc. has a 12 month low of $25.10 and a 12 month high of $68.10. The company has a fifty day simple moving average of $31.46 and a 200 day simple moving average of $36.53. The stock has a market cap of $5.95 billion, a P/E ratio of 20.44 and a beta of 0.87.

Pegasystems (NASDAQ:PEGA) last posted its earnings results on Tuesday, July 21st. The technology company reported $0.35 earnings per share for the quarter, missing the consensus estimate of $0.43 by ($0.08). Pegasystems had a return on equity of 32.21% and a net margin of 18.66%.The business had revenue of $420.72 million for the quarter, compared to the consensus estimate of $427.38 million. During the same quarter in the prior year, the firm posted $0.28 earnings per share. The business’s revenue was up 9.4% on a year-over-year basis. On average, equities research analysts expect that Pegasystems Inc. will post 1.71 earnings per share for the current fiscal year.

Pegasystems Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, July 15th. Stockholders of record on Wednesday, July 1st were given a dividend of $0.03 per share. The ex-dividend date of this dividend was Wednesday, July 1st. This represents a $0.12 dividend on an annualized basis and a dividend yield of 0.3%. Pegasystems’s dividend payout ratio (DPR) is currently 6.78%.

Insider Transactions at Pegasystems

In other news, CAO Efstathios A. Kouninis sold 750 shares of Pegasystems stock in a transaction dated Monday, June 1st. The stock was sold at an average price of $36.99, for a total transaction of $27,742.50. Following the transaction, the chief accounting officer owned 2,144 shares in the company, valued at $79,306.56. The trade was a 25.92% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Rifat Kerim Akgonul sold 3,000 shares of the business’s stock in a transaction that occurred on Tuesday, August 25th. The shares were sold at an average price of $33.99, for a total value of $101,970.00. Following the completion of the transaction, the insider owned 108,049 shares of the company’s stock, valued at $3,672,585.51. This represents a 2.70% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders have sold 4,500 shares of company stock worth $153,945. 48.40% of the stock is currently owned by insiders.

Analyst Ratings Changes

A number of research analysts have recently weighed in on the company. KeyCorp downgraded Pegasystems from an “overweight” rating to a “sector weight” rating in a research note on Wednesday, July 22nd. Barclays restated an “overweight” rating and set a $39.00 target price (down from $48.00) on shares of Pegasystems in a report on Thursday, July 23rd. Royal Bank Of Canada set a $35.00 target price on Pegasystems and gave the stock an “outperform” rating in a research report on Thursday, July 23rd. Citizens Jmp cut Pegasystems from an “outperform” rating to a “market perform” rating in a research note on Wednesday, July 22nd. Finally, Loop Capital downgraded shares of Pegasystems from a “buy” rating to a “hold” rating and cut their price target for the company from $55.00 to $25.00 in a research report on Thursday, July 23rd. Six equities research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, Pegasystems has an average rating of “Hold” and an average price target of $50.10.

Pegasystems Company Profile

Pegasystems Inc is a software company specializing in customer engagement and digital process automation solutions. Headquartered in Cambridge, Massachusetts, Pegasystems develops enterprise applications designed to help organizations streamline operations, manage customer interactions and automate complex workflows. Its platform supports a wide range of use cases, from sales and marketing optimization to case management and robotic process automation.

The core of Pegasystems’ offering is the Pega Platform, a low-code development environment that enables businesses to build and deploy applications with minimal hand-coding.