Magic Software Enterprises (NASDAQ:MGIC) Shares Gap Up – What’s Next?

Magic Software Enterprises Ltd. (NASDAQ:MGIC)’s stock price gapped up before the market opened on Wednesday . The stock had previously closed at $22.36, but opened at $24.22. Magic Software Enterprises shares last traded at $24.1850, with a volume of 24,856 shares.

Analyst Ratings Changes

A number of research analysts have recently commented on MGIC shares. Zacks Research cut Magic Software Enterprises from a “strong-buy” rating to a “hold” rating in a research note on Monday, October 13th. Weiss Ratings initiated coverage on Magic Software Enterprises in a report on Monday. They issued a “hold (c)” rating for the company. Wall Street Zen lowered Magic Software Enterprises from a “buy” rating to a “hold” rating in a research note on Saturday, August 16th. Finally, Barclays boosted their price target on Magic Software Enterprises from $16.00 to $18.00 and gave the stock an “overweight” rating in a report on Wednesday, August 13th. One research analyst has rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and a consensus price target of $18.00.

Magic Software Enterprises Price Performance

The firm has a market capitalization of $1.18 billion, a P/E ratio of 30.92 and a beta of 0.90. The company has a fifty day moving average of $20.42 and a 200 day moving average of $18.96. The company has a debt-to-equity ratio of 0.14, a current ratio of 1.61 and a quick ratio of 1.61.

Magic Software Enterprises (NASDAQ:MGIC) last issued its quarterly earnings results on Wednesday, August 13th. The software maker reported $0.26 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.24 by $0.02. Magic Software Enterprises had a net margin of 6.58% and a return on equity of 15.85%. The firm had revenue of $151.60 million for the quarter, compared to the consensus estimate of $143.06 million. Sell-side analysts predict that Magic Software Enterprises Ltd. will post 0.95 earnings per share for the current year.

Institutional Trading of Magic Software Enterprises

Several hedge funds have recently modified their holdings of MGIC. Corton Capital Inc. bought a new position in Magic Software Enterprises during the second quarter worth $286,000. Menora Mivtachim Holdings LTD. acquired a new position in shares of Magic Software Enterprises during the first quarter valued at about $273,000. Y.D. More Investments Ltd grew its stake in shares of Magic Software Enterprises by 22.1% in the 1st quarter. Y.D. More Investments Ltd now owns 174,366 shares of the software maker’s stock valued at $2,240,000 after buying an additional 31,527 shares during the period. Nuveen LLC bought a new stake in Magic Software Enterprises in the 1st quarter valued at about $311,000. Finally, Ashton Thomas Private Wealth LLC acquired a new position in Magic Software Enterprises during the 2nd quarter worth approximately $298,000. Institutional investors own 24.70% of the company’s stock.

Magic Software Enterprises Company Profile

Magic Software Enterprises Ltd. provides proprietary application development, vertical software solutions, business process integration, information technologies (IT) outsourcing software services, and cloud-based services in Israel and internationally. Its Software Services segment develops, markets, sells, and supports application platform, software applications, and business and process integration solutions and related services.