Vertex (NASDAQ:VERX) Board of Directors Initiates Stock Buyback Plan

Vertex (NASDAQ:VERX) announced that its Board of Directors has initiated a stock buyback plan on Monday, November 3rd, RTT News reports. The company plans to repurchase $150.00 million in shares. This repurchase authorization authorizes the company to repurchase up to 4.1% of its stock through open market purchases. Stock repurchase plans are often an indication that the company’s leadership believes its shares are undervalued.

Vertex Stock Down 3.8%

Shares of VERX opened at $19.91 on Wednesday. The company’s 50-day moving average price is $24.69 and its 200 day moving average price is $31.50. Vertex has a 12-month low of $19.21 and a 12-month high of $60.71. The company has a current ratio of 0.99, a quick ratio of 0.99 and a debt-to-equity ratio of 1.36. The firm has a market cap of $3.18 billion, a P/E ratio of -56.88, a price-to-earnings-growth ratio of 4.19 and a beta of 0.64.

Vertex (NASDAQ:VERX) last announced its quarterly earnings results on Monday, November 3rd. The company reported $0.17 earnings per share for the quarter, beating analysts’ consensus estimates of $0.16 by $0.01. The business had revenue of $192.11 million during the quarter, compared to analysts’ expectations of $191.62 million. Vertex had a negative net margin of 7.32% and a positive return on equity of 28.61%. During the same period last year, the business earned $0.16 earnings per share. The business’s revenue for the quarter was up 12.7% on a year-over-year basis. Vertex has set its Q4 2025 guidance at EPS. FY 2025 guidance at EPS. On average, sell-side analysts forecast that Vertex will post 0.38 earnings per share for the current year.

Wall Street Analyst Weigh In

Several research analysts have recently commented on the company. UBS Group reiterated a “market outperform” rating on shares of Vertex in a report on Tuesday. Robert W. Baird set a $25.00 price objective on shares of Vertex in a research report on Tuesday. Citizens Jmp decreased their target price on shares of Vertex from $50.00 to $37.00 and set a “market outperform” rating on the stock in a report on Tuesday. Needham & Company LLC dropped their price target on shares of Vertex from $40.00 to $30.00 and set a “buy” rating for the company in a research note on Tuesday. Finally, Piper Sandler cut their price target on shares of Vertex from $42.00 to $32.00 and set an “overweight” rating for the company in a report on Tuesday. Twelve investment analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $33.60.

About Vertex

Vertex, Inc, together with its subsidiaries, provides enterprise tax technology solutions for retail trade, wholesale trade, and manufacturing industries in the United States and internationally. The company offers tax determination; compliance and reporting, including workflow management tools, role-based security, and event logging; tax data management; document management; analytics and insights; pre-built integration that includes mapping data fields, and business logic and configurations; industry-specific solutions; and technology specific solutions, such as chain flow accelerator and SAP-specific tools.