Barclays has revised its price target for Pegasystems (PEGA, Financial), bringing it down to $84 from a previous $97 while maintaining an Equal Weight rating on the company's shares. This adjustment comes as part of an overview of the upcoming first-quarter earnings for U.S. software firms.
Barclays suggests that the first quarter is unlikely to serve as a significant driver for stocks within the software sector. Despite observing that current channel checks indicate a weaker performance, the situation is not considered catastrophic. The focus of investors is expected to shift towards the guidance provided by companies rather than the results of the quarter itself.
The firm also notes that many management teams may choose to maintain their financial projections, as the impact of the first quarter is relatively minor. Barclays anticipates a clearer picture and possibly more substantial adjustments to forecasts as the year progresses into the second quarter.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 12 analysts, the average target price for Pegasystems Inc (PEGA, Financial) is $102.63 with a high estimate of $125.00 and a low estimate of $78.12. The average target implies an upside of 50.17% from the current price of $68.34. More detailed estimate data can be found on the Pegasystems Inc (PEGA) Forecast page.
Based on the consensus recommendation from 14 brokerage firms, Pegasystems Inc's (PEGA, Financial) average brokerage recommendation is currently 2.1, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Pegasystems Inc (PEGA, Financial) in one year is $51.16, suggesting a downside of 25.14% from the current price of $68.34. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Pegasystems Inc (PEGA) Summary page.
