Magic Software Enterprises (NASDAQ:MGIC) Shares Gap Up – Here’s What Happened

Shares of Magic Software Enterprises Ltd. (NASDAQ:MGIC) gapped up prior to trading on Monday . The stock had previously closed at $15.84, but opened at $16.20. Magic Software Enterprises shares last traded at $16.16, with a volume of 17,698 shares trading hands.

Analyst Upgrades and Downgrades

A number of brokerages recently commented on MGIC. StockNews.com upgraded Magic Software Enterprises from a “buy” rating to a “strong-buy” rating in a report on Thursday, March 13th. Barclays raised their price target on Magic Software Enterprises from $15.00 to $16.00 and gave the company an “overweight” rating in a report on Thursday, March 13th. Finally, William Blair cut Magic Software Enterprises from an “outperform” rating to a “market perform” rating in a research report on Wednesday, March 12th.

Magic Software Enterprises Price Performance

The firm has a 50 day moving average price of $13.65 and a 200 day moving average price of $12.67. The company has a quick ratio of 1.76, a current ratio of 1.76 and a debt-to-equity ratio of 0.13. The stock has a market cap of $795.65 million, a P/E ratio of 23.15 and a beta of 0.99.

Magic Software Enterprises (NASDAQ:MGIC) last posted its quarterly earnings data on Tuesday, March 11th. The software maker reported $0.24 EPS for the quarter, missing the consensus estimate of $0.25 by ($0.01). The company had revenue of $142.58 million during the quarter, compared to the consensus estimate of $137.00 million. Magic Software Enterprises had a return on equity of 15.42% and a net margin of 6.49%. On average, analysts forecast that Magic Software Enterprises Ltd. will post 0.95 EPS for the current fiscal year.

Magic Software Enterprises Increases Dividend

The firm also recently announced a semi-annual dividend, which was paid on Wednesday, May 7th. Investors of record on Tuesday, April 22nd were paid a dividend of $0.327 per share. This represents a yield of 4.6%. The ex-dividend date of this dividend was Tuesday, April 22nd. This is an increase from Magic Software Enterprises’s previous semi-annual dividend of $0.24. Magic Software Enterprises’s dividend payout ratio (DPR) is 86.67%.

Institutional Trading of Magic Software Enterprises

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. IFP Advisors Inc increased its stake in Magic Software Enterprises by 100.0% in the 4th quarter. IFP Advisors Inc now owns 4,000 shares of the software maker’s stock worth $48,000 after acquiring an additional 2,000 shares during the last quarter. JPMorgan Chase & Co. boosted its holdings in Magic Software Enterprises by 77.4% during the 3rd quarter. JPMorgan Chase & Co. now owns 93,166 shares of the software maker’s stock valued at $1,101,000 after acquiring an additional 40,642 shares during the period. Barclays PLC boosted its holdings in Magic Software Enterprises by 4,274.4% during the 3rd quarter. Barclays PLC now owns 5,818 shares of the software maker’s stock valued at $69,000 after acquiring an additional 5,685 shares during the period. Truffle Hound Capital LLC purchased a new position in Magic Software Enterprises during the 4th quarter valued at $5,173,000. Finally, Truist Financial Corp purchased a new stake in shares of Magic Software Enterprises in the 4th quarter worth $189,000. 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.