Virtusa (NASDAQ:VRTU) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research report issued to clients and investors on Saturday. The brokerage presently has a $52.00 target price on the information technology services provider’s stock. Zacks Investment Research‘s price target would indicate a potential upside of 13.61% from the stock’s current price.

According to Zacks, “Virtusa Corporation is a global provider of information technology (IT) consulting and outsourcing services that accelerate business outcomes for Global 2000 companies and leading software vendors in banking and financial services, insurance, healthcare, telecommunications, technology, and media & entertainment. The company also provides technology implementation services, such as application development, software product engineering. In addition, it offers application outsourcing services, such as the application maintenance and support, maintenance and enhancement of applications, and cloud-environment management and support; managed infrastructure services, and remote application monitoring and support; Virtusa delivers services across the IT lifecycle, including consulting, solution design, technology selection, implementation, testing, and maintenance, including infrastructure support. The company was formerly known as eRunway, Inc. and changed its name to Virtusa Corporation. “

VRTU has been the topic of several other research reports. BidaskClub lowered shares of Virtusa from a “buy” rating to a “hold” rating in a report on Wednesday. Barrington Research upped their price objective on shares of Virtusa to $52.00 and gave the company an “outperform” rating in a report on Thursday, November 9th. SunTrust Banks reiterated a “buy” rating and set a $52.00 price objective on shares of Virtusa in a report on Friday, November 10th. Cantor Fitzgerald reiterated a “buy” rating and set a $37.00 price objective on shares of Virtusa in a report on Sunday, November 5th. Finally, Cowen reiterated a “buy” rating and set a $37.00 price objective on shares of Virtusa in a report on Thursday, October 12th. Two investment analysts have rated the stock with a hold rating and eight have assigned a buy rating to the company. Virtusa presently has an average rating of “Buy” and an average target price of $49.25.

Shares of Virtusa (NASDAQ:VRTU) traded down $1.17 during midday trading on Friday, hitting $45.77. 184,023 shares of the stock traded hands, compared to its average volume of 180,997. Virtusa has a 52-week low of $24.84 and a 52-week high of $48.71. The firm has a market capitalization of $1,340.00, a price-to-earnings ratio of 64.46, a P/E/G ratio of 2.26 and a beta of 1.72. The company has a quick ratio of 4.03, a current ratio of 4.03 and a debt-to-equity ratio of 0.18.

Virtusa (NASDAQ:VRTU) last announced its quarterly earnings data on Wednesday, November 8th. The information technology services provider reported $0.35 earnings per share for the quarter, beating the consensus estimate of $0.24 by $0.11. Virtusa had a net margin of 2.54% and a return on equity of 4.86%. The firm had revenue of $248.20 million for the quarter, compared to analyst estimates of $237.48 million. During the same quarter in the prior year, the business earned $0.27 earnings per share. The business’s quarterly revenue was up 18.1% compared to the same quarter last year. sell-side analysts forecast that Virtusa will post 1.04 earnings per share for the current fiscal year.

In other news, insider Raj Rajgopal sold 14,025 shares of the business’s stock in a transaction dated Friday, November 10th. The shares were sold at an average price of $45.02, for a total transaction of $631,405.50. Following the completion of the sale, the insider now directly owns 108,576 shares of the company’s stock, valued at $4,888,091.52. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CEO Kris A. Canekeratne sold 12,000 shares of the company’s stock in a transaction dated Thursday, January 11th. The stock was sold at an average price of $46.12, for a total transaction of $553,440.00. Following the completion of the sale, the chief executive officer now directly owns 553,491 shares of the company’s stock, valued at $25,527,004.92. The disclosure for this sale can be found here. Over the last three months, insiders have sold 77,580 shares of company stock valued at $3,523,204. 5.96% of the stock is currently owned by insiders.

A number of hedge funds have recently modified their holdings of the business. Ameriprise Financial Inc. grew its position in Virtusa by 0.5% in the 2nd quarter. Ameriprise Financial Inc. now owns 146,502 shares of the information technology services provider’s stock worth $4,307,000 after purchasing an additional 705 shares in the last quarter. American International Group Inc. grew its position in Virtusa by 5.5% in the 3rd quarter. American International Group Inc. now owns 21,860 shares of the information technology services provider’s stock worth $826,000 after purchasing an additional 1,131 shares in the last quarter. Principal Financial Group Inc. grew its position in Virtusa by 0.6% in the 2nd quarter. Principal Financial Group Inc. now owns 210,762 shares of the information technology services provider’s stock worth $6,196,000 after purchasing an additional 1,275 shares in the last quarter. Schwab Charles Investment Management Inc. grew its position in Virtusa by 1.1% in the 2nd quarter. Schwab Charles Investment Management Inc. now owns 118,351 shares of the information technology services provider’s stock worth $3,480,000 after purchasing an additional 1,324 shares in the last quarter. Finally, Rhumbline Advisers grew its position in Virtusa by 2.9% in the 2nd quarter. Rhumbline Advisers now owns 54,201 shares of the information technology services provider’s stock worth $1,594,000 after purchasing an additional 1,523 shares in the last quarter. 88.00% of the stock is owned by institutional investors and hedge funds.

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Virtusa Company Profile

Virtusa Corporation (Virtusa) is an information technology services company. The Company’s services include information technology (IT) and business consulting, digital enablement services, user experience (UX) design, development of IT applications, maintenance and support services, systems integration, infrastructure and managed services.

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