Amdocs (NASDAQ:DOX) Hits New 52-Week High on Strong Earnings

Amdocs Limited (NASDAQ:DOX) reached a new 52-week high during trading on Thursday following a better than expected earnings announcement. The stock traded as high as $94.61 and last traded at $93.64, with a volume of 178664 shares changing hands. The stock had previously closed at $89.34.

The technology company reported $1.78 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.71 by $0.07. Amdocs had a return on equity of 18.89% and a net margin of 10.19%. The business had revenue of $1.13 billion for the quarter, compared to the consensus estimate of $1.12 billion. During the same period in the prior year, the firm posted $1.56 earnings per share. The business’s quarterly revenue was down 9.4% on a year-over-year basis.

Amdocs Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, July 25th. Shareholders of record on Monday, June 30th will be issued a $0.527 dividend. This represents a $2.11 annualized dividend and a yield of 2.28%. The ex-dividend date is Monday, June 30th. Amdocs’s dividend payout ratio is presently 48.72%.

Analysts Set New Price Targets

Separately, StockNews.com lowered shares of Amdocs from a “strong-buy” rating to a “buy” rating in a research report on Friday, February 28th. One equities research analyst has rated the stock with a hold rating and five have issued a buy rating to the company’s stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $101.20.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of DOX. Alyeska Investment Group L.P. increased its holdings in Amdocs by 86.8% in the 4th quarter. Alyeska Investment Group L.P. now owns 1,681,074 shares of the technology company’s stock worth $143,127,000 after buying an additional 781,061 shares during the period. Wellington Management Group LLP increased its stake in shares of Amdocs by 25.4% in the fourth quarter. Wellington Management Group LLP now owns 2,680,422 shares of the technology company’s stock worth $228,211,000 after acquiring an additional 543,490 shares during the period. Raymond James Financial Inc. purchased a new position in shares of Amdocs during the fourth quarter worth $44,494,000. Vanguard Group Inc. lifted its position in Amdocs by 16.1% during the fourth quarter. Vanguard Group Inc. now owns 3,074,424 shares of the technology company’s stock valued at $261,756,000 after purchasing an additional 426,035 shares during the period. Finally, The Manufacturers Life Insurance Company boosted its holdings in Amdocs by 2,489.0% in the fourth quarter. The Manufacturers Life Insurance Company now owns 376,383 shares of the technology company’s stock valued at $32,045,000 after purchasing an additional 361,845 shares during the last quarter. 92.02% of the stock is owned by institutional investors and hedge funds.

Amdocs Price Performance

The firm has a 50-day simple moving average of $87.26 and a two-hundred day simple moving average of $87.02. The company has a market capitalization of $10.45 billion, a price-to-earnings ratio of 21.47, a P/E/G ratio of 1.47 and a beta of 0.51. The company has a current ratio of 1.16, a quick ratio of 1.20 and a debt-to-equity ratio of 0.22.

About Amdocs

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.