Connor Clark & Lunn Investment Management Ltd. Purchases Shares of 294,556 PagerDuty $PD

Connor Clark & Lunn Investment Management Ltd. purchased a new position in PagerDuty (NYSE:PD) in the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor purchased 294,556 shares of the company’s stock, valued at approximately $2,842,000. Connor Clark & Lunn Investment Management Ltd. owned approximately 0.38% of PagerDuty as of its most recent SEC filing.

Several other institutional investors have also recently made changes to their positions in PD. WealthCollab LLC bought a new position in shares of PagerDuty during the 1st quarter valued at approximately $25,000. PNC Financial Services Group Inc. raised its stake in PagerDuty by 1,219.9% during the 1st quarter. PNC Financial Services Group Inc. now owns 4,976 shares of the company’s stock worth $31,000 after acquiring an additional 4,599 shares during the period. EverSource Wealth Advisors LLC raised its stake in PagerDuty by 419.3% during the 1st quarter. EverSource Wealth Advisors LLC now owns 5,136 shares of the company’s stock worth $32,000 after acquiring an additional 4,147 shares during the period. Kestra Advisory Services LLC bought a new stake in PagerDuty during the 4th quarter worth approximately $68,000. Finally, Optiver Holding B.V. lifted its holdings in PagerDuty by 5,699.0% during the first quarter. Optiver Holding B.V. now owns 6,031 shares of the company’s stock valued at $37,000 after purchasing an additional 5,927 shares in the last quarter. Institutional investors own 97.26% of the company’s stock.

Wall Street Analyst Weigh In

A number of equities analysts have weighed in on PD shares. TD Cowen reiterated a “buy” rating on shares of PagerDuty in a research report on Wednesday. Weiss Ratings upgraded shares of PagerDuty from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Friday, August 21st. Morgan Stanley lifted their target price on shares of PagerDuty from $9.00 to $10.00 and gave the company an “underweight” rating in a research note on Friday. Canaccord Genuity Group upped their target price on shares of PagerDuty from $10.00 to $15.00 and gave the stock a “buy” rating in a report on Friday. Finally, Truist Financial increased their price target on PagerDuty from $11.00 to $13.00 and gave the stock a “buy” rating in a research note on Thursday, August 20th. Three investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Hold” and a consensus target price of $12.94.

PagerDuty News Roundup

Here are the key news stories impacting PagerDuty this week:

• Positive Sentiment: Q2 results exceeded expectations. PagerDuty reported adjusted earnings of $0.32 per share versus the $0.31 consensus estimate and revenue of $124.44 million, ahead of expectations for $123.27 million. Revenue increased 0.8% year over year. PagerDuty Q2 Earnings Results
• Positive Sentiment: Management raised its earnings outlook. Fiscal 2027 EPS guidance of $1.33 to $1.37 is well above the $1.17 analyst consensus, while third-quarter EPS guidance of $0.34 to $0.36 also exceeds expectations. Full-year revenue guidance of $491.5 million to $496.5 million is broadly in line with estimates. PagerDuty Guidance Update
• Positive Sentiment: Cost reductions are supporting margins. PagerDuty plans to cut approximately 15% of its workforce and forecast third-quarter operating margins of 26.5% to 27.5%. Investors appear to be viewing the restructuring as a way to accelerate profitable growth. The company also highlighted more than $500 million in annual recurring revenue and $33 million in quarterly free cash flow. PagerDuty Margin Forecast and Restructuring
• Positive Sentiment: Canaccord Genuity upgraded its valuation view. The firm raised its price target from $10 to $15 and maintained a Buy rating, providing additional support for the stock’s advance. Canaccord Raises PagerDuty Price Target
• Neutral Sentiment: Analyst opinion remains mixed. Monness analyst Brian White reiterated a Hold rating, citing sluggish demand and mixed fundamentals. This suggests investors may question whether the improved profitability can be sustained if growth remains limited. PagerDuty Hold Rating

PagerDuty Trading Up 9.3%

Shares of PD opened at $13.80 on Friday. The company has a debt-to-equity ratio of 1.83, a current ratio of 1.95 and a quick ratio of 1.95. PagerDuty has a 1 year low of $5.70 and a 1 year high of $17.29. The company has a 50 day simple moving average of $10.68 and a two-hundred day simple moving average of $8.44. The firm has a market cap of $1.06 billion, a P/E ratio of 6.90, a price-to-earnings-growth ratio of 3.24 and a beta of 0.93.

PagerDuty (NYSE:PD) last released its earnings results on Thursday, August 27th. The company reported $0.32 EPS for the quarter, hitting the consensus estimate of $0.32. PagerDuty had a net margin of 37.50% and a return on equity of 17.97%. The firm had revenue of $124.44 million for the quarter, compared to the consensus estimate of $124.22 million. During the same quarter in the previous year, the firm earned $0.30 earnings per share. The company’s quarterly revenue was up .8% compared to the same quarter last year. PagerDuty has set its FY 2027 guidance at 1.330-1.370 EPS and its Q3 2027 guidance at 0.340-0.360 EPS. On average, equities analysts expect that PagerDuty will post 0.58 earnings per share for the current fiscal year.

PagerDuty declared that its board has approved a stock repurchase plan on Thursday, May 28th that authorizes the company to buyback $100.00 million in shares. This buyback authorization authorizes the company to reacquire up to 16.4% of its shares through open market purchases. Shares buyback plans are generally a sign that the company’s leadership believes its shares are undervalued.

About PagerDuty

PagerDuty, Inc engages in the operation of a digital operations management platform in the United States and internationally. The company’s digital operations management platform collects data and digital signals from virtually any software-enabled system or device and leverage machine learning to correlate, process, and predict opportunities and issues. Its platform includes PagerDuty Incident Management that provides a real-time view across the status of a digital service while incorporating noise reduction to remove false positives; AIOps that applies machine learning to correlate and automate the identification of incidents from billions of events; Process Automation offers centralized design time and run time environment for orchestrating automated workflows that span across departments, technologies, and networks; Customer Service Operations, which is offered to orchestrate, automate, and scale responses to customer impacting issues.