Zendesk (NYSE:ZEN) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a report released on Sunday. The firm presently has a $41.00 target price on the software maker’s stock. Zacks Investment Research‘s price target indicates a potential upside of 10.60% from the stock’s previous close.
According to Zacks, “Zendesk, Inc. is a software development company. It provides a software-as-a-service, or SaaS, customer service platform. The Company offers applications that allow clients to manage incoming support requests from end customers from any Internet connected computer. It provides customer service through its platform in approximately 40 languages to customers in various industries, such as business technology, telecommunications, education/non-profit, consumer technology, media/entertainment, and retail/ecommerce. Zendesk, Inc. is headquartered in San Francisco, California. “
A number of other research analysts have also weighed in on the company. Stephens lowered Zendesk from an “equal weight” rating to an “underweight” rating and set a $25.00 price objective on the stock. in a report on Monday, October 9th. Morgan Stanley raised their price objective on Zendesk from $33.00 to $35.00 and gave the company an “overweight” rating in a report on Monday, October 23rd. Wells Fargo & Co restated an “outperform” rating and issued a $40.00 price objective (up previously from $32.00) on shares of Zendesk in a report on Thursday, November 2nd. KeyCorp restated a “buy” rating and issued a $35.00 price objective on shares of Zendesk in a report on Sunday, October 15th. Finally, UBS Group restated a “neutral” rating and issued a $38.00 price objective (up previously from $37.00) on shares of Zendesk in a report on Thursday, November 9th. Two equities research analysts have rated the stock with a sell rating, three have assigned a hold rating and twelve have given a buy rating to the company. The stock presently has an average rating of “Buy” and an average target price of $35.07.
Zendesk (NYSE:ZEN) last announced its earnings results on Wednesday, November 1st. The software maker reported ($0.02) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.06) by $0.04. The firm had revenue of $112.79 million for the quarter, compared to analyst estimates of $109.19 million. Zendesk had a negative return on equity of 32.50% and a negative net margin of 27.43%. The business’s revenue was up 39.7% on a year-over-year basis. During the same quarter last year, the firm posted ($0.04) EPS. analysts expect that Zendesk will post -1.03 earnings per share for the current year.
In related news, SVP John Geschke sold 10,000 shares of the firm’s stock in a transaction dated Tuesday, January 16th. The stock was sold at an average price of $37.27, for a total transaction of $372,700.00. Following the completion of the sale, the senior vice president now directly owns 16,795 shares of the company’s stock, valued at approximately $625,949.65. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Elena Gomez sold 13,155 shares of the firm’s stock in a transaction dated Thursday, November 2nd. The stock was sold at an average price of $35.00, for a total value of $460,425.00. Following the sale, the chief financial officer now directly owns 16,858 shares of the company’s stock, valued at $590,030. The disclosure for this sale can be found here. In the last quarter, insiders have sold 165,833 shares of company stock worth $5,778,410. Insiders own 5.30% of the company’s stock.
Several large investors have recently modified their holdings of the stock. FMR LLC increased its position in shares of Zendesk by 2.0% during the 2nd quarter. FMR LLC now owns 14,844,224 shares of the software maker’s stock worth $412,372,000 after purchasing an additional 293,055 shares during the last quarter. BlackRock Inc. increased its position in shares of Zendesk by 54.9% during the 2nd quarter. BlackRock Inc. now owns 8,835,508 shares of the software maker’s stock worth $245,450,000 after purchasing an additional 3,133,287 shares during the last quarter. Vanguard Group Inc. increased its position in shares of Zendesk by 10.9% during the 2nd quarter. Vanguard Group Inc. now owns 7,365,549 shares of the software maker’s stock worth $204,615,000 after purchasing an additional 721,652 shares during the last quarter. Janus Henderson Group PLC acquired a new stake in shares of Zendesk during the 2nd quarter worth about $137,975,000. Finally, Wasatch Advisors Inc. increased its position in shares of Zendesk by 26.5% during the 2nd quarter. Wasatch Advisors Inc. now owns 3,919,479 shares of the software maker’s stock worth $108,883,000 after purchasing an additional 820,465 shares during the last quarter. 95.67% of the stock is owned by hedge funds and other institutional investors.
Zendesk, Inc (Zendesk) is a software development company. The Zendesk family of products is built to work together to help organizations understand and manage customer relationships. All Zendesk products share a common interface and are being developed to support a shared services infrastructure and common customer data platform.
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