Amdocs (NASDAQ:DOX) Stock Price Down 6.2% on Analyst Downgrade

Amdocs Limited (NASDAQ:DOX)’s stock price was down 6.2% on Wednesday after Bank of America lowered their price target on the stock from $100.00 to $97.00. Bank of America currently has a buy rating on the stock. Amdocs traded as low as $79.08 and last traded at $78.7530. Approximately 886,233 shares traded hands during trading, an increase of 17% from the average daily volume of 756,949 shares. The stock had previously closed at $83.96.

Several other equities research analysts have also commented on the company. Weiss Ratings restated a “hold (c)” rating on shares of Amdocs in a research note on Thursday, October 30th. Stifel Nicolaus reduced their price target on shares of Amdocs from $100.00 to $97.00 and set a “buy” rating on the stock in a research report on Wednesday. Finally, Wall Street Zen lowered shares of Amdocs from a “buy” rating to a “hold” rating in a report on Saturday. Five investment analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $102.50.

Institutional Trading of Amdocs

Hedge funds have recently bought and sold shares of the company. Pzena Investment Management LLC grew its stake in shares of Amdocs by 0.6% in the third quarter. Pzena Investment Management LLC now owns 6,593,249 shares of the technology company’s stock worth $540,976,000 after purchasing an additional 42,184 shares in the last quarter. LSV Asset Management increased its stake in shares of Amdocs by 7.6% during the third quarter. LSV Asset Management now owns 3,648,703 shares of the technology company’s stock valued at $299,376,000 after acquiring an additional 257,193 shares during the period. Allspring Global Investments Holdings LLC lifted its position in Amdocs by 3.0% in the third quarter. Allspring Global Investments Holdings LLC now owns 3,111,312 shares of the technology company’s stock worth $252,856,000 after purchasing an additional 91,428 shares during the period. Vanguard Group Inc. boosted its stake in Amdocs by 0.3% during the 3rd quarter. Vanguard Group Inc. now owns 3,066,444 shares of the technology company’s stock valued at $251,602,000 after purchasing an additional 9,207 shares in the last quarter. Finally, Alyeska Investment Group L.P. raised its stake in shares of Amdocs by 38.6% in the 1st quarter. Alyeska Investment Group L.P. now owns 2,329,767 shares of the technology company’s stock worth $213,174,000 after buying an additional 648,693 shares in the last quarter. 92.02% of the stock is currently owned by institutional investors.

Amdocs Trading Down 5.8%

The company has a debt-to-equity ratio of 0.23, a current ratio of 1.22 and a quick ratio of 1.22. The stock has a market capitalization of $8.93 billion, a price-to-earnings ratio of 16.03, a price-to-earnings-growth ratio of 1.40 and a beta of 0.51. The business has a fifty day moving average of $83.49 and a 200-day moving average of $87.48.

Amdocs Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, January 30th. Stockholders of record on Wednesday, December 31st will be given a dividend of $0.527 per share. The ex-dividend date of this dividend is Wednesday, December 31st. This represents a $2.11 dividend on an annualized basis and a dividend yield of 2.7%. Amdocs’s payout ratio is 42.60%.

Amdocs Company Profile

Amdocs Limited, through its subsidiaries, provides software and services worldwide. It designs, develops, operates, implements, supports, and markets open and modular cloud portfolio. The company provides CES23, a 5G and cloud-native microservices-based market-leading customer experience suite, that enables service providers to build, deliver, and monetize advanced services; Amdocs Subscription Marketplace, a software-as-a-service-based platform that includes an expansive network of pre-integrated digital services, such as media, gaming, eLearning, sports, and retail to security and business services; the monetization suite for charging, billing, policy, and revenue management; Intelligent networking suite with a set of modular, flexible, and open service lifecycle management capabilities for network automation journeys; amAIz, a telco GenAI framework; Amdocs Digital Brands Suite, a pre-integrated digital business suite; and Amdocs eSIM Cloud for service providers.