Amdocs Limited $DOX Stock: Pzena Investment Management LLC Raises Stake

Pzena Investment Management LLC raised its holdings in shares of Amdocs Limited (NASDAQ:DOX) by 3.4% during the 3rd quarter, Holdings Channel reports. The fund owned 14,454,911 shares of the technology company’s stock after purchasing an additional 469,581 shares during the period. Amdocs makes up approximately 2.5% of Pzena Investment Management LLC’s portfolio, making the stock its 16th largest holding. Pzena Investment Management LLC owned approximately 0.13% of Amdocs worth $826,532,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other institutional investors have also recently added to or reduced their stakes in the company. Alpine Bank Wealth Management boosted its stake in Amdocs by 58.2% during the third quarter. Alpine Bank Wealth Management now owns 500 shares of the technology company’s stock valued at $29,000 after buying an additional 184 shares in the last quarter. Mirae Asset Global Investments Co. Ltd. purchased a new stake in shares of Amdocs during the 3rd quarter worth about $57,000. Versant Capital Management Inc increased its position in Amdocs by 3,340.6% during the third quarter. Versant Capital Management Inc now owns 1,101 shares of the technology company’s stock worth $63,000 after buying an additional 1,069 shares during the last quarter. Farther Finance Advisors LLC lifted its stake in shares of Amdocs by 16.4% in the third quarter. Farther Finance Advisors LLC now owns 1,292 shares of the technology company’s stock worth $74,000 after buying an additional 182 shares during the last quarter. Finally, GAMMA Investing LLC lifted its holdings in shares of Amdocs by 65.7% during the second quarter. GAMMA Investing LLC now owns 1,725 shares of the technology company’s stock worth $87,000 after buying an additional 684 shares during the last quarter. 92.02% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

A number of research firms recently weighed in on DOX. Weiss Ratings raised Amdocs from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Friday, October 23rd. Oppenheimer cut Amdocs from an “outperform” rating to a “market perform” rating in a report on Wednesday. Wall Street Zen upgraded shares of Amdocs from a “hold” rating to a “buy” rating in a research report on Saturday, August 29th. Finally, Stifel Nicolaus reduced their target price on shares of Amdocs from $71.00 to $46.00 and set a “buy” rating on the stock in a research note on Wednesday. Three equities research analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, Amdocs currently has a consensus rating of “Hold” and an average target price of $78.33.

Amdocs News Roundup

Here are the key news stories impacting Amdocs this week:

• Positive Sentiment: Amdocs announced an expanded collaboration with AT&T, which could support longer-term business opportunities. AT&T and Amdocs Expand Collaboration
• Positive Sentiment: The company agreed to acquire insurance software provider EIS for $340 million, a move that could diversify its business, though integration and execution risks remain. Amdocs acquires insurance tech firm EIS for $340 million
• Neutral Sentiment: Fiscal Q4 adjusted EPS of $1.98 and revenue of $1.19 billion matched analyst estimates; revenue grew 3.8% year over year. The in-line results offered little offset to concern about the outlook. Amdocs Meets Q4 Earnings Estimates
• Negative Sentiment: The T-Mobile contract dispute is the main catalyst for the selloff. Amdocs’ fiscal 2027 outlook reportedly allows for revenue to fall as much as 18%, including the possibility that its T-Mobile agreements end. Management has not detailed the company’s revenue exposure to T-Mobile, adding uncertainty. Amdocs Stock Has Its Worst Day in 24 Years as T-Mobile Business Is at Risk
• Negative Sentiment: Several law firms announced investigations into potential securities-law violations related to alleged misrepresentations about the T-Mobile relationship. These are allegations under investigation, not findings of wrongdoing, but could add legal and reputational risk. Hagens Berman investigation
• Negative Sentiment: Analyst actions added pressure: Oppenheimer downgraded the stock to Perform, while Stifel cut its price target from $71 to $46, despite retaining a Buy rating.

Amdocs Stock Performance

Shares of DOX opened at $43.66 on Thursday. The firm has a market cap of $4.71 billion, a P/E ratio of 9.42, a PEG ratio of 1.00 and a beta of 0.42. The company has a debt-to-equity ratio of 0.23, a quick ratio of 0.94 and a current ratio of 0.94. Amdocs Limited has a twelve month low of $41.44 and a twelve month high of $85.63. The firm’s 50 day moving average price is $60.27 and its two-hundred day moving average price is $62.38.

Amdocs (NASDAQ:DOX) last released its earnings results on Tuesday, November 3rd. The technology company reported $1.98 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $1.98. The firm had revenue of $1.19 billion during the quarter, compared to analysts’ expectations of $1.19 billion. Amdocs had a return on equity of 20.70% and a net margin of 10.59%. The company’s revenue was up 3.8% on a year-over-year basis. During the same quarter in the prior year, the company earned $1.83 EPS. On average, analysts forecast that Amdocs Limited will post 7.12 EPS for the current fiscal year.

Amdocs Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, January 29th. Shareholders of record on Thursday, December 31st will be given a dividend of $0.5690 per share. The ex-dividend date of this dividend is Thursday, December 31st. This represents a $2.28 annualized dividend and a yield of 5.2%. Amdocs’s payout ratio is 54.29%.

About Amdocs

Amdocs Ltd. (NASDAQ: DOX) is a global provider of software and technology services for communications, media and entertainment companies. Its solutions help service providers manage customer relationships, billing, subscriptions, product offerings and digital experiences across consumer and enterprise markets.

The company’s portfolio includes business support systems and operational support systems, cloud-based software, artificial intelligence and automation tools, network and service management platforms, and solutions for media distribution and monetization.