Zendesk (NYSE:ZEN) Stock Rating Reaffirmed by Zacks Investment Research

Zacks Investment Research reiterated their hold rating on shares of Zendesk (NYSE:ZEN) in a research report sent to investors on Saturday, Zacks.com reports. The brokerage currently has a $82.00 target price on the software maker’s stock.

According to Zacks, “Zendesk, Inc. is a software development company. It provides a software-as-a-service, or SaaS, customer service platform. The Company offers applications that allow clients to manage incoming support requests from end customers from any Internet connected computer. It provides customer service through its platform in approximately 40 languages to customers in various industries, such as business technology, telecommunications, education/non-profit, consumer technology, media/entertainment, and retail/ecommerce. Zendesk, Inc. is headquartered in San Francisco, California. “

A number of other research analysts have also weighed in on ZEN. Stifel Nicolaus set a $92.00 price target on Zendesk and gave the stock a hold rating in a research note on Wednesday, July 31st. KeyCorp reissued a buy rating and set a $108.00 price target (up previously from $102.00) on shares of Zendesk in a research note on Tuesday, July 30th. Royal Bank of Canada reduced their price target on Zendesk from $106.00 to $100.00 and set an outperform rating on the stock in a research note on Tuesday, October 15th. ValuEngine lowered Zendesk from a strong-buy rating to a buy rating in a research note on Wednesday, October 2nd. Finally, UBS Group set a $98.00 price target on Zendesk and gave the stock a hold rating in a research note on Wednesday, July 31st. Four equities research analysts have rated the stock with a hold rating and eighteen have given a buy rating to the stock. The stock has a consensus rating of Buy and an average price target of $95.99.

Shares of Zendesk stock opened at $63.87 on Friday. Zendesk has a fifty-two week low of $45.60 and a fifty-two week high of $94.89. The firm has a market cap of $7.54 billion, a PE ratio of -67.23 and a beta of 1.22. The business’s fifty day moving average is $73.73 and its two-hundred day moving average is $82.75. The company has a quick ratio of 0.67, a current ratio of 0.67 and a debt-to-equity ratio of 0.23.

Zendesk (NYSE:ZEN) last issued its quarterly earnings results on Tuesday, July 30th. The software maker reported $0.05 earnings per share for the quarter, topping analysts’ consensus estimates of ($0.28) by $0.33. Zendesk had a negative return on equity of 27.44% and a negative net margin of 23.70%. The company had revenue of $194.58 million for the quarter, compared to analyst estimates of $192.47 million. During the same quarter in the prior year, the company posted $0.03 EPS. The business’s revenue for the quarter was up 37.1% compared to the same quarter last year. Equities research analysts anticipate that Zendesk will post -1.1 EPS for the current year.

In related news, CEO Mikkel Svane sold 100,000 shares of the stock in a transaction on Tuesday, August 20th. The stock was sold at an average price of $77.04, for a total value of $7,704,000.00. Following the completion of the sale, the chief executive officer now directly owns 1,228,532 shares in the company, valued at approximately $94,646,105.28. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, CMO Jeffrey J. Titterton sold 700 shares of the stock in a transaction on Friday, October 18th. The shares were sold at an average price of $67.47, for a total value of $47,229.00. Following the completion of the sale, the chief marketing officer now owns 12,891 shares of the company’s stock, valued at $869,755.77. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 250,148 shares of company stock valued at $19,327,444. Insiders own 4.60% of the company’s stock.

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Rothschild & Co Wealth Management UK Ltd acquired a new stake in Zendesk in the 2nd quarter valued at $25,000. Capital Investment Advisory Services LLC increased its holdings in Zendesk by 50.0% in the 2nd quarter. Capital Investment Advisory Services LLC now owns 600 shares of the software maker’s stock valued at $56,000 after purchasing an additional 200 shares in the last quarter. Advisory Services Network LLC acquired a new stake in Zendesk in the 2nd quarter valued at $80,000. FUKOKU MUTUAL LIFE INSURANCE Co acquired a new stake in Zendesk in the 2nd quarter valued at $89,000. Finally, Focused Wealth Management Inc acquired a new stake in Zendesk in the 2nd quarter valued at $127,000. Hedge funds and other institutional investors own 92.79% of the company’s stock.

About Zendesk

Zendesk, Inc, a software development company, provides SaaS products for organizations. Its flagship product is Zendesk Support, a system for tracking, prioritizing, and solving customer support tickets across various channels. The company also offers Zendesk Chat, a live chat software to connect with customers on Websites, applications, and mobile devices; Zendesk Talk, a cloud-based call center software; Zendesk Guide, a knowledge base that powers customer self-service and support agent productivity; Zendesk Sell, a sales force automation software to enhance productivity, processes, and pipeline visibility for sales teams; Zendesk Connect that manages customer communication across channels; and Zendesk Explore, which provides analytics for businesses to measure and enhance the customer experience.

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