First Citizens Bank & Trust Co. Acquires Shares of 21,993 Pegasystems Inc. $PEGA

First Citizens Bank & Trust Co. bought a new position in shares of Pegasystems Inc. (NASDAQ:PEGA) during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The firm bought 21,993 shares of the technology company’s stock, valued at approximately $936,000.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. International Assets Investment Management LLC bought a new stake in Pegasystems during the fourth quarter worth $28,000. EFG International AG purchased a new position in Pegasystems in the fourth quarter worth $32,000. Fifth Third Bancorp grew its stake in Pegasystems by 96.5% in the 4th quarter. Fifth Third Bancorp now owns 617 shares of the technology company’s stock valued at $37,000 after purchasing an additional 303 shares during the period. Bayforest Capital Ltd grew its stake in Pegasystems by 316.6% in the 4th quarter. Bayforest Capital Ltd now owns 704 shares of the technology company’s stock valued at $42,000 after purchasing an additional 535 shares during the period. Finally, Brown Brothers Harriman & Co. grew its stake in Pegasystems by 386.3% in the 4th quarter. Brown Brothers Harriman & Co. now owns 710 shares of the technology company’s stock valued at $42,000 after purchasing an additional 564 shares during the period. Hedge funds and other institutional investors own 46.89% of the company’s stock.

Pegasystems News Summary

Here are the key news stories impacting Pegasystems this week:

• Positive Sentiment: Pegasystems highlighted cloud growth and recurring revenue strength, and management outlined a long-term free cash flow target of more than $700 million by 2028. Pegasystems outlines $700M+ 2028 free cash flow target while highlighting no per token costs for ai agents
• Positive Sentiment: Several analysts kept bullish ratings, saying the selloff may create an attractive entry point despite near-term AI disruption and reset expectations. Analyst Maintains Buy on Pegasystems, Viewing Near-Term Weakness as Temporary and Market Selloff as an Attractive Entry Point
• Positive Sentiment: Rosenblatt cut its price target but still reiterated a Buy rating, implying meaningful upside from current levels. Pegasystems PT Lowered to $47 at Rosenblatt
• Neutral Sentiment: Management said the new Pega Infinity 26 launch and AI agent messaging could support longer-term positioning, but investors are still waiting to see whether it translates into stronger demand. Pegasystems (PEGA) Stock Could Be Undervalued As Pega Infinity 26 Launches
• Negative Sentiment: The Q2 miss triggered a broad downgrade wave, with analysts trimming forecasts and price targets after the weaker-than-expected report. Pegasystems Analysts Cut Their Forecasts After Downbeat Q2 Earnings
• Negative Sentiment: The stock also came under pressure because customers appear to be delaying software purchases while reassessing spending in the AI era, which could weigh on near-term growth. Pegasystems Just Did an IBM, Only Its AI Warning May Be Even Worse

Pegasystems Price Performance

Shares of PEGA opened at $26.01 on Friday. The firm has a market cap of $4.28 billion, a PE ratio of 14.69 and a beta of 0.87. The stock’s fifty day moving average price is $32.27 and its two-hundred day moving average price is $39.79. Pegasystems Inc. has a 1 year low of $25.10 and a 1 year high of $68.10.

Pegasystems (NASDAQ:PEGA) last posted its quarterly earnings results on Tuesday, July 21st. The technology company reported $0.35 earnings per share for the quarter, missing the consensus estimate of $0.43 by ($0.08). Pegasystems had a return on equity of 32.21% and a net margin of 18.66%.The firm had revenue of $420.72 million for the quarter, compared to the consensus estimate of $427.38 million. During the same quarter in the previous year, the company posted $0.28 EPS. The firm’s revenue was up 9.4% compared to the same quarter last year. Sell-side analysts anticipate that Pegasystems Inc. will post 1.93 earnings per share for the current fiscal year.

Pegasystems Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, July 15th. Shareholders of record on Wednesday, July 1st were issued a dividend of $0.03 per share. The ex-dividend date of this dividend was Wednesday, July 1st. This represents a $0.12 annualized dividend and a yield of 0.5%. Pegasystems’s dividend payout ratio is 6.45%.

Insider Activity

In other news, insider Rifat Kerim Akgonul sold 4,545 shares of the business’s stock in a transaction that occurred on Tuesday, May 19th. The shares were sold at an average price of $33.35, for a total value of $151,575.75. Following the sale, the insider owned 107,070 shares of the company’s stock, valued at $3,570,784.50. The trade was a 4.07% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, CAO Efstathios A. Kouninis sold 750 shares of the business’s stock in a transaction that occurred on Monday, June 1st. The shares were sold at an average price of $36.99, for a total transaction of $27,742.50. Following the completion of the sale, the chief accounting officer directly owned 2,144 shares in the company, valued at approximately $79,306.56. This trade represents a 25.92% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders have sold 6,795 shares of company stock worth $229,613. Insiders own 48.40% of the company’s stock.

Analyst Ratings Changes

A number of equities research analysts have recently commented on PEGA shares. Zacks Research cut Pegasystems from a “strong-buy” rating to a “hold” rating in a research note on Friday, April 24th. KeyCorp lowered shares of Pegasystems from an “overweight” rating to a “sector weight” rating in a research report on Wednesday. Rosenblatt Securities decreased their price objective on shares of Pegasystems from $58.00 to $47.00 and set a “buy” rating for the company in a report on Thursday. Barclays reaffirmed an “overweight” rating and issued a $39.00 price objective (down from $48.00) on shares of Pegasystems in a research report on Thursday. Finally, DA Davidson reiterated a “buy” rating and issued a $55.00 target price on shares of Pegasystems in a research note on Wednesday, June 10th. Six research analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the stock. According to data from MarketBeat, Pegasystems currently has an average rating of “Hold” and a consensus price target of $52.40.

About Pegasystems

Pegasystems Inc is a software company specializing in customer engagement and digital process automation solutions. Headquartered in Cambridge, Massachusetts, Pegasystems develops enterprise applications designed to help organizations streamline operations, manage customer interactions and automate complex workflows. Its platform supports a wide range of use cases, from sales and marketing optimization to case management and robotic process automation.

The core of Pegasystems’ offering is the Pega Platform, a low-code development environment that enables businesses to build and deploy applications with minimal hand-coding.