Conduent (NYSE:CNDT) Downgraded by Zacks Investment Research to “Sell”

Conduent (NYSE:CNDT) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued on Wednesday, Zacks.com reports.

According to Zacks, “Conduent Incorporated is a business process services company. It engaged in providing business and government services to citizens, patients, customers and employees. The services rendered by the company include healthcare solutions, BPO services, learning services, digital payments, legal and compliance solutions, human resources, finance and accounting, procurement solutions and digital transformation. The company serves aerospace defence and automotive services, banking, communication and media, healthcare, industrial and energy, insurance, retail and consumer products and transportation industries. Conduent Incorporated is based in Basking Ridge, N.J. “

Other equities research analysts also recently issued research reports about the company. JPMorgan Chase & Co. upgraded Conduent from a “neutral” rating to an “overweight” rating and set a $8.00 target price on the stock in a research report on Friday, August 9th. Citigroup downgraded Conduent from a “buy” rating to a “neutral” rating and set a $9.50 target price on the stock. in a research report on Thursday, May 9th. Cross Research downgraded Conduent from a “buy” rating to a “hold” rating in a research report on Wednesday, May 8th. Needham & Company LLC reduced their target price on Conduent from $25.00 to $14.00 and set a “buy” rating on the stock in a research report on Thursday, May 9th. They noted that the move was a valuation call. Finally, Cowen set a $8.00 target price on Conduent and gave the company a “hold” rating in a research report on Friday, August 9th. Two analysts have rated the stock with a sell rating, five have issued a hold rating and three have issued a buy rating to the company. Conduent presently has an average rating of “Hold” and an average price target of $12.69.

NYSE:CNDT opened at $6.68 on Wednesday. Conduent has a 52 week low of $5.26 and a 52 week high of $23.39. The company has a quick ratio of 1.28, a current ratio of 1.28 and a debt-to-equity ratio of 0.61. The company has a market capitalization of $1.35 billion, a P/E ratio of 6.36 and a beta of 1.69. The stock’s fifty day moving average is $8.83 and its two-hundred day moving average is $11.26.

Conduent (NYSE:CNDT) last posted its earnings results on Thursday, August 8th. The company reported $0.13 EPS for the quarter, missing the Zacks’ consensus estimate of $0.17 by ($0.04). Conduent had a negative net margin of 35.30% and a positive return on equity of 5.71%. The business had revenue of $1.11 billion during the quarter, compared to analysts’ expectations of $1.10 billion. During the same quarter in the prior year, the firm earned $0.29 EPS. Conduent’s revenue for the quarter was down 19.8% compared to the same quarter last year. Sell-side analysts anticipate that Conduent will post 0.75 earnings per share for the current fiscal year.

In other news, major shareholder Carl C. Icahn acquired 211,159 shares of the company’s stock in a transaction dated Wednesday, May 22nd. The stock was acquired at an average cost of $9.00 per share, with a total value of $1,900,431.00. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Also, major shareholder Carl C. Icahn acquired 3,076,378 shares of the company’s stock in a transaction dated Monday, August 12th. The stock was purchased at an average cost of $6.43 per share, with a total value of $19,781,110.54. The disclosure for this purchase can be found here. Insiders bought 3,894,711 shares of company stock valued at $27,079,318 over the last ninety days. Insiders own 0.92% of the company’s stock.

Hedge funds and other institutional investors have recently modified their holdings of the company. Parallel Advisors LLC grew its stake in shares of Conduent by 342.5% in the second quarter. Parallel Advisors LLC now owns 2,757 shares of the company’s stock valued at $26,000 after buying an additional 2,134 shares in the last quarter. Tower Research Capital LLC TRC grew its stake in Conduent by 1,014.9% during the 2nd quarter. Tower Research Capital LLC TRC now owns 2,687 shares of the company’s stock worth $26,000 after purchasing an additional 2,446 shares in the last quarter. Westside Investment Management Inc. acquired a new position in Conduent during the 2nd quarter worth $50,000. Howe & Rusling Inc. acquired a new position in Conduent during the 1st quarter worth $60,000. Finally, Hilton Capital Management LLC acquired a new position in Conduent during the 1st quarter worth $83,000. 90.07% of the stock is owned by institutional investors and hedge funds.

About Conduent

Conduent Incorporated provides business process services with capabilities in transaction-intensive processing, analytics, and automation in the United States and Europe. It operates through three segments: Commercial Industries, Government Services, and Transportation. The Commercial Industries segment offers business process services and customized solutions to clients in various industries.

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