PagerDuty (NYSE:PD) Shares Gap Down – Here’s What Happened

Shares of PagerDuty (NYSE:PD) gapped down before the market opened on Tuesday . The stock had previously closed at $10.34, but opened at $9.75. PagerDuty shares last traded at $9.5480, with a volume of 302,576 shares changing hands.

Analysts Set New Price Targets

Several equities analysts recently issued reports on PD shares. Canaccord Genuity Group raised their price objective on PagerDuty from $9.00 to $10.00 and gave the stock a “buy” rating in a research note on Friday, May 29th. Wall Street Zen upgraded shares of PagerDuty from a “hold” rating to a “buy” rating in a research note on Saturday, July 4th. Weiss Ratings raised shares of PagerDuty from a “sell (d)” rating to a “sell (d+)” rating in a report on Monday, July 13th. Morgan Stanley downgraded shares of PagerDuty from an “equal weight” rating to an “underweight” rating and reduced their price target for the stock from $10.00 to $9.00 in a research report on Tuesday. Finally, Truist Financial lifted their price target on shares of PagerDuty from $9.00 to $11.00 and gave the company a “buy” rating in a report on Thursday, July 9th. Three analysts have rated the stock with a Buy rating, five have assigned a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat.com, PagerDuty currently has a consensus rating of “Hold” and an average price target of $11.50.

PagerDuty Price Performance

The company has a current ratio of 1.95, a quick ratio of 1.95 and a debt-to-equity ratio of 1.83. The business has a 50-day moving average price of $8.91 and a two-hundred day moving average price of $8.41. The firm has a market capitalization of $738.42 million, a price-to-earnings ratio of 4.69, a PEG ratio of 2.64 and a beta of 0.94.

PagerDuty (NYSE:PD) last announced its quarterly earnings results on Thursday, May 28th. The company reported $0.32 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.24 by $0.08. PagerDuty had a return on equity of 18.20% and a net margin of 38.60%.The business had revenue of $120.97 million for the quarter, compared to the consensus estimate of $119.52 million. During the same quarter last year, the business posted $0.24 EPS. The business’s revenue was up 1.0% on a year-over-year basis. PagerDuty has set its Q2 2027 guidance at 0.290-0.310 EPS. As a group, research analysts forecast that PagerDuty will post 0.58 EPS for the current year.

PagerDuty announced that its Board of Directors has authorized a stock buyback program on Thursday, May 28th that authorizes the company to repurchase $100.00 million in outstanding shares. This repurchase authorization authorizes the company to repurchase up to 16.4% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company’s board of directors believes its shares are undervalued.

Hedge Funds Weigh In On PagerDuty

Several hedge funds and other institutional investors have recently modified their holdings of PD. Pacer Advisors Inc. boosted its holdings in shares of PagerDuty by 73.9% during the first quarter. Pacer Advisors Inc. now owns 569,907 shares of the company’s stock valued at $3,539,000 after acquiring an additional 242,100 shares during the period. Optiver Holding B.V. increased its holdings in shares of PagerDuty by 5,699.0% in the 1st quarter. Optiver Holding B.V. now owns 6,031 shares of the company’s stock worth $37,000 after acquiring an additional 5,927 shares during the period. Glenmede Trust Co. NA increased its holdings in shares of PagerDuty by 35.7% in the 1st quarter. Glenmede Trust Co. NA now owns 937,505 shares of the company’s stock worth $5,822,000 after acquiring an additional 246,482 shares during the period. Segall Bryant & Hamill LLC lifted its position in PagerDuty by 519.6% in the 1st quarter. Segall Bryant & Hamill LLC now owns 223,995 shares of the company’s stock valued at $1,391,000 after purchasing an additional 187,845 shares during the last quarter. Finally, Amundi lifted its position in PagerDuty by 47.3% in the 1st quarter. Amundi now owns 47,750 shares of the company’s stock valued at $297,000 after purchasing an additional 15,331 shares during the last quarter. Institutional investors and hedge funds own 97.26% of the company’s stock.

PagerDuty Company Profile

PagerDuty, Inc engages in the operation of a digital operations management platform in the United States and internationally. The company’s digital operations management platform collects data and digital signals from virtually any software-enabled system or device and leverage machine learning to correlate, process, and predict opportunities and issues. Its platform includes PagerDuty Incident Management that provides a real-time view across the status of a digital service while incorporating noise reduction to remove false positives; AIOps that applies machine learning to correlate and automate the identification of incidents from billions of events; Process Automation offers centralized design time and run time environment for orchestrating automated workflows that span across departments, technologies, and networks; Customer Service Operations, which is offered to orchestrate, automate, and scale responses to customer impacting issues.