Wall Street Zen Downgrades PagerDuty (NYSE:PD) to Hold

PagerDuty (NYSE:PD) was downgraded by research analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a report released on Saturday.

Other equities analysts also recently issued reports about the company. Weiss Ratings upgraded PagerDuty from a “sell (d)” rating to a “sell (d+)” rating in a research report on Monday, July 13th. Morgan Stanley cut 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, July 21st. 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. Truist Financial lifted their price objective on PagerDuty from $9.00 to $11.00 and gave the company a “buy” rating in a research report on Thursday, July 9th. Finally, Royal Bank Of Canada boosted their price objective on PagerDuty from $8.00 to $9.00 and gave the company a “sector perform” rating in a research note on Friday, May 29th. Three analysts have rated the stock with a Buy rating, five have assigned a Hold rating and three have assigned a Sell rating to the stock. According to data from MarketBeat.com, the company has an average rating of “Hold” and a consensus price target of $11.50.

PagerDuty Stock Down 0.1%

PD opened at $9.07 on Friday. The firm’s 50 day simple moving average is $9.09 and its two-hundred day simple moving average is $8.30. The company has a market capitalization of $699.86 million, a PE ratio of 4.45, a PEG ratio of 2.33 and a beta of 0.94. PagerDuty has a 1-year low of $5.70 and a 1-year high of $18.00. The company has a current ratio of 1.95, a quick ratio of 1.95 and a debt-to-equity ratio of 1.83.

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

PagerDuty announced that its board has initiated a stock repurchase program on Thursday, May 28th that allows the company to buyback $100.00 million in shares. This buyback authorization allows the company to reacquire up to 16.4% of its stock through open market purchases. Stock buyback programs are usually a sign that the company’s management believes its stock is undervalued.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the business. Pacer Advisors Inc. grew its holdings in PagerDuty by 73.9% during the 1st quarter. Pacer Advisors Inc. now owns 569,907 shares of the company’s stock valued at $3,539,000 after buying an additional 242,100 shares in the last quarter. Optiver Holding B.V. raised its position in shares of PagerDuty by 5,699.0% during the first quarter. Optiver Holding B.V. now owns 6,031 shares of the company’s stock valued at $37,000 after buying an additional 5,927 shares during the last quarter. Glenmede Trust Co. NA raised its position in shares of PagerDuty by 35.7% during the first quarter. Glenmede Trust Co. NA now owns 937,505 shares of the company’s stock valued at $5,822,000 after buying an additional 246,482 shares during the last quarter. Segall Bryant & Hamill LLC lifted its holdings in shares of PagerDuty by 519.6% in the first quarter. Segall Bryant & Hamill LLC now owns 223,995 shares of the company’s stock worth $1,391,000 after buying an additional 187,845 shares in the last quarter. Finally, Amundi lifted its holdings in shares of PagerDuty by 47.3% in the first quarter. Amundi now owns 47,750 shares of the company’s stock worth $297,000 after buying an additional 15,331 shares in the last quarter. 97.26% of the stock is owned by hedge funds and other institutional investors.

About PagerDuty

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.