Virtusa (NASDAQ:VRTU) Lifted to “Hold” at BidaskClub

BidaskClub upgraded shares of Virtusa (NASDAQ:VRTU) from a sell rating to a hold rating in a research report released on Tuesday, BidAskClub reports.

VRTU has been the subject of a number of other reports. ValuEngine downgraded Virtusa from a buy rating to a hold rating in a report on Saturday, August 10th. Needham & Company LLC downgraded Virtusa from a strong-buy rating to a buy rating and decreased their price objective for the stock from $50.00 to $48.00 in a report on Tuesday, September 10th. JPMorgan Chase & Co. decreased their price objective on Virtusa from $49.00 to $48.00 and set an overweight rating for the company in a report on Monday, October 7th. Barrington Research reissued a buy rating and set a $60.00 price target on shares of Virtusa in a research report on Tuesday, September 17th. Finally, Zacks Investment Research reissued a hold rating on shares of Virtusa in a research report on Saturday, October 12th. Three analysts have rated the stock with a hold rating and six have issued a buy rating to the stock. The stock presently has an average rating of Buy and an average target price of $53.29.

Shares of NASDAQ:VRTU traded up $2.93 during mid-day trading on Tuesday, reaching $42.71. 488,100 shares of the stock were exchanged, compared to its average volume of 171,613. The company has a quick ratio of 2.58, a current ratio of 2.58 and a debt-to-equity ratio of 0.99. The company has a market cap of $1.20 billion, a P/E ratio of 29.25, a P/E/G ratio of 1.14 and a beta of 1.19. Virtusa has a one year low of $31.99 and a one year high of $57.00. The stock’s 50 day simple moving average is $36.53 and its 200-day simple moving average is $41.78.

Virtusa (NASDAQ:VRTU) last posted its quarterly earnings data on Thursday, November 7th. The information technology services provider reported $0.54 earnings per share (EPS) for the quarter, topping the Zacks’ consensus estimate of $0.34 by $0.20. The business had revenue of $328.50 million during the quarter, compared to the consensus estimate of $327.07 million. Virtusa had a return on equity of 11.67% and a net margin of 2.23%. Analysts anticipate that Virtusa will post 1.93 EPS for the current fiscal year.

In related news, insider Samir Dhir sold 4,000 shares of the stock in a transaction that occurred on Friday, August 30th. The stock was sold at an average price of $35.91, for a total transaction of $143,640.00. Following the completion of the transaction, the insider now directly owns 157,780 shares of the company’s stock, valued at $5,665,879.80. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Kris A. Canekeratne sold 7,500 shares of the firm’s stock in a transaction that occurred on Wednesday, October 23rd. The shares were sold at an average price of $35.50, for a total value of $266,250.00. Following the completion of the sale, the chief executive officer now directly owns 706,748 shares of the company’s stock, valued at $25,089,554. The disclosure for this sale can be found here. Insiders have sold 30,500 shares of company stock valued at $1,108,640 over the last three months. Insiders own 4.73% of the company’s stock.

Several institutional investors and hedge funds have recently added to or reduced their stakes in VRTU. Nuveen Asset Management LLC acquired a new stake in shares of Virtusa in the second quarter valued at approximately $16,669,000. GW&K Investment Management LLC lifted its position in shares of Virtusa by 38.6% in the second quarter. GW&K Investment Management LLC now owns 805,998 shares of the information technology services provider’s stock valued at $35,810,000 after buying an additional 224,654 shares during the last quarter. Morgan Stanley lifted its position in shares of Virtusa by 948.2% in the second quarter. Morgan Stanley now owns 153,502 shares of the information technology services provider’s stock valued at $6,820,000 after buying an additional 138,858 shares during the last quarter. AMI Asset Management Corp lifted its position in shares of Virtusa by 48.7% in the second quarter. AMI Asset Management Corp now owns 336,948 shares of the information technology services provider’s stock valued at $14,971,000 after buying an additional 110,391 shares during the last quarter. Finally, BlackRock Inc. lifted its position in shares of Virtusa by 2.3% in the second quarter. BlackRock Inc. now owns 4,112,285 shares of the information technology services provider’s stock valued at $182,708,000 after buying an additional 93,202 shares during the last quarter. 88.12% of the stock is owned by institutional investors.

About Virtusa

Virtusa Corporation provides digital engineering and information technology (IT) outsourcing services worldwide. The company offers business and IT consulting services, including advisory/target operating model, business process re-engineering/business management, transformational solution consulting, and business/technology alignment analysis; omni-channel digital strategy, experience design accelerated solution design, and employee engagement; and application portfolio rationalization, SDLC transformation, and BA competency transformation services.

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Analyst Recommendations for Virtusa (NASDAQ:VRTU)

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