Zendesk (ZEN) Stock Rating Reaffirmed by Craig Hallum

Zendesk (NYSE:ZEN)‘s stock had its “buy” rating reaffirmed by analysts at Craig Hallum in a research report issued to clients and investors on Wednesday, May 1st, The Fly reports. They currently have a $110.00 price target on the software maker’s stock, up from their previous price target of $84.00. Craig Hallum’s target price suggests a potential upside of 25.06% from the stock’s previous close.

Several other equities analysts also recently commented on ZEN. Zacks Investment Research upgraded Zendesk from a “hold” rating to a “buy” rating and set a $95.00 target price for the company in a research report on Thursday, April 4th. Canaccord Genuity raised their price objective on Zendesk from $85.00 to $100.00 and gave the stock a “buy” rating in a research report on Wednesday, May 1st. Wedbush restated an “outperform” rating and set a $93.00 price objective on shares of Zendesk in a research report on Monday, April 29th. Bank of America restated a “buy” rating and set a $105.00 price objective (up from $100.00) on shares of Zendesk in a research report on Wednesday, May 1st. Finally, Jefferies Financial Group raised their price objective on Zendesk from $90.00 to $102.00 and gave the stock a “market perform” rating in a research report on Wednesday, May 1st. Five equities research analysts have rated the stock with a hold rating and fourteen have given a buy rating to the company’s stock. The company currently has an average rating of “Buy” and a consensus target price of $90.93.

Shares of NYSE:ZEN opened at $87.96 on Wednesday. The company has a market capitalization of $9.75 billion, a P/E ratio of -92.59 and a beta of 1.64. Zendesk has a 52 week low of $45.60 and a 52 week high of $90.00. The company has a quick ratio of 1.54, a current ratio of 1.54 and a debt-to-equity ratio of 1.34.

Zendesk (NYSE:ZEN) last issued its quarterly earnings data on Tuesday, April 30th. The software maker reported ($0.28) EPS for the quarter, hitting analysts’ consensus estimates of ($0.28). The company had revenue of $181.48 million during the quarter, compared to the consensus estimate of $179.53 million. Zendesk had a negative net margin of 22.52% and a negative return on equity of 25.37%. Zendesk’s revenue for the quarter was up 39.8% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.02 earnings per share. On average, sell-side analysts predict that Zendesk will post -1.07 EPS for the current fiscal year.

In other Zendesk news, CFO Elena Gomez sold 455 shares of the firm’s stock in a transaction that occurred on Thursday, May 16th. The stock was sold at an average price of $87.09, for a total value of $39,625.95. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, SVP Norman Gennaro sold 752 shares of the firm’s stock in a transaction that occurred on Wednesday, February 20th. The shares were sold at an average price of $78.06, for a total value of $58,701.12. Following the completion of the sale, the senior vice president now directly owns 11,073 shares of the company’s stock, valued at approximately $864,358.38. The disclosure for this sale can be found here. Insiders have sold 142,688 shares of company stock valued at $11,698,604 in the last ninety days. 4.60% of the stock is currently owned by insiders.

Several large investors have recently made changes to their positions in the stock. Prudential Financial Inc. lifted its holdings in shares of Zendesk by 2.8% during the fourth quarter. Prudential Financial Inc. now owns 5,450 shares of the software maker’s stock valued at $318,000 after acquiring an additional 150 shares during the period. WINTON GROUP Ltd lifted its stake in shares of Zendesk by 3.9% in the 4th quarter. WINTON GROUP Ltd now owns 4,504 shares of the software maker’s stock valued at $263,000 after acquiring an additional 168 shares during the last quarter. Fifth Third Bancorp lifted its stake in shares of Zendesk by 66.6% in the 1st quarter. Fifth Third Bancorp now owns 513 shares of the software maker’s stock valued at $44,000 after acquiring an additional 205 shares during the last quarter. State of Alaska Department of Revenue lifted its stake in shares of Zendesk by 2.0% in the 4th quarter. State of Alaska Department of Revenue now owns 13,003 shares of the software maker’s stock valued at $758,000 after acquiring an additional 252 shares during the last quarter. Finally, CWM LLC lifted its stake in shares of Zendesk by 90.0% in the 1st quarter. CWM LLC now owns 532 shares of the software maker’s stock valued at $45,000 after acquiring an additional 252 shares during the last quarter. 94.16% of the stock is currently owned by institutional investors.

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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Analyst Recommendations for Zendesk (NYSE:ZEN)

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