Endava (NYSE:DAVA) Trading Down 6.8% After Earnings Miss

Endava plc (NYSE:DAVA) shares were down 6.8% during trading on Friday after the company announced weaker than expected quarterly earnings. The company traded as low as $28.20 and last traded at $28.88. Approximately 174,398 shares were traded during mid-day trading, a decline of 70% from the average daily volume of 590,057 shares. The stock had previously closed at $30.98.

The company reported ($0.04) EPS for the quarter, missing the consensus estimate of $0.06 by ($0.10). Endava had a return on equity of 11.77% and a net margin of 8.88%. The company had revenue of $221.14 million for the quarter, compared to analyst estimates of $220.59 million.

Analyst Upgrades and Downgrades

Several equities research analysts have recently issued reports on DAVA shares. HSBC raised shares of Endava from a “hold” rating to a “buy” rating and set a $45.00 price objective for the company in a research report on Wednesday, May 1st. Morgan Stanley restated an “equal weight” rating and issued a $40.00 target price on shares of Endava in a research note on Monday, April 22nd. JPMorgan Chase & Co. decreased their target price on shares of Endava from $49.00 to $43.00 and set an “overweight” rating for the company in a research note on Thursday, May 2nd. Citigroup decreased their target price on shares of Endava from $40.00 to $33.00 and set a “neutral” rating for the company in a research note on Monday, April 22nd. Finally, Guggenheim initiated coverage on shares of Endava in a research note on Tuesday, March 19th. They set a “buy” rating and a $60.00 price objective on the stock. Three equities research analysts have rated the stock with a hold rating and seven have given a buy rating to the stock. According to data from MarketBeat.com, Endava has an average rating of “Moderate Buy” and an average target price of $47.65.

Institutional Trading of Endava

A number of large investors have recently modified their holdings of the company. Virtu Financial LLC acquired a new stake in shares of Endava in the 1st quarter worth about $596,000. Silvercrest Asset Management Group LLC increased its holdings in shares of Endava by 9.8% in the 1st quarter. Silvercrest Asset Management Group LLC now owns 311,992 shares of the company’s stock worth $11,868,000 after acquiring an additional 27,797 shares during the period. Lazard Asset Management LLC increased its holdings in shares of Endava by 15,560.6% in the 1st quarter. Lazard Asset Management LLC now owns 171,170 shares of the company’s stock worth $6,511,000 after acquiring an additional 170,077 shares during the period. Quadrature Capital Ltd acquired a new stake in shares of Endava in the 1st quarter worth about $841,000. Finally, Mitsubishi UFJ Trust & Banking Corp increased its holdings in shares of Endava by 42.4% in the 1st quarter. Mitsubishi UFJ Trust & Banking Corp now owns 166,310 shares of the company’s stock worth $6,267,000 after acquiring an additional 49,511 shares during the period. Institutional investors and hedge funds own 62.23% of the company’s stock.

Endava Stock Performance

The stock has a market cap of $1.68 billion, a price-to-earnings ratio of 20.03 and a beta of 1.14. The company’s 50 day simple moving average is $32.86 and its 200 day simple moving average is $54.45.

Endava Company Profile

Endava plc provides technology services for clients in the consumer products, healthcare, mobility, and retail verticals in North America, Europe, the United Kingdom, and internationally. It offers ideation and production services in the payments and financial services, telecommunications, media, and technology verticals; and business analysis, data analytics, program management, digital product strategy, private equity value enhancement, IT strategy, architecture, extended reality, machine learning and artificial intelligence, product design, and user experience and visual design services.