Brokerages Anticipate Zendesk, Inc. (NYSE:ZEN) to Announce $0.12 Earnings Per Share


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Equities research analysts expect Zendesk, Inc. (NYSE:ZEN) to report earnings of $0.12 per share for the current quarter, Zacks reports. Six analysts have made estimates for Zendesk’s earnings, with the lowest EPS estimate coming in at $0.08 and the highest estimate coming in at $0.15. Zendesk posted earnings per share of $0.10 during the same quarter last year, which suggests a positive year-over-year growth rate of 20%. The company is scheduled to announce its next earnings results on Thursday, April 29th.

On average, analysts expect that Zendesk will report full year earnings of $0.67 per share for the current year, with EPS estimates ranging from $0.52 to $0.79. For the next year, analysts forecast that the firm will post earnings of $0.99 per share, with EPS estimates ranging from $0.76 to $1.13. Zacks Investment Research’s EPS calculations are a mean average based on a survey of sell-side analysts that that provide coverage for Zendesk.

Zendesk (NYSE:ZEN) last announced its quarterly earnings data on Thursday, February 4th. The software maker reported $0.11 EPS for the quarter, topping the Zacks’ consensus estimate of ($0.17) by $0.28. The firm had revenue of $283.50 million during the quarter, compared to analyst estimates of $277.38 million. Zendesk had a negative return on equity of 22.55% and a negative net margin of 19.24%.

Several equities analysts have recently issued reports on ZEN shares. Wells Fargo & Company boosted their target price on Zendesk from $120.00 to $165.00 and gave the stock an “overweight” rating in a research report on Friday, October 30th. Oppenheimer restated an “outperform” rating and set a $180.00 target price (up from $170.00) on shares of Zendesk in a research report on Friday, February 5th. Canaccord Genuity boosted their target price on Zendesk from $130.00 to $180.00 and gave the stock a “buy” rating in a research report on Friday, February 5th. They noted that the move was a valuation call. Piper Sandler boosted their target price on Zendesk from $162.00 to $180.00 and gave the stock an “overweight” rating in a research report on Friday, February 5th. Finally, Morgan Stanley boosted their target price on Zendesk from $165.00 to $181.00 and gave the stock an “overweight” rating in a research report on Friday, February 5th. Three investment analysts have rated the stock with a hold rating and thirteen have issued a buy rating to the company’s stock. The stock presently has a consensus rating of “Buy” and a consensus target price of $143.31.

ZEN stock traded down $5.05 during midday trading on Tuesday, reaching $147.49. The stock had a trading volume of 45,175 shares, compared to its average volume of 1,451,598. The business has a fifty day simple moving average of $150.00 and a two-hundred day simple moving average of $122.73. The company has a quick ratio of 2.73, a current ratio of 2.73 and a debt-to-equity ratio of 2.54. The firm has a market cap of $17.37 billion, a price-to-earnings ratio of -97.16 and a beta of 1.27. Zendesk has a twelve month low of $50.23 and a twelve month high of $166.60.

In related news, CAO Ying Christina Liu sold 6,000 shares of the stock in a transaction on Friday, December 4th. The stock was sold at an average price of $134.71, for a total value of $808,260.00. Following the sale, the chief accounting officer now owns 7,288 shares in the company, valued at approximately $981,766.48. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider Adrian Mcdermott sold 807 shares of the company’s stock in a transaction on Thursday, February 18th. The shares were sold at an average price of $151.18, for a total value of $122,002.26. Following the completion of the transaction, the insider now directly owns 83,413 shares in the company, valued at $12,610,377.34. The disclosure for this sale can be found here. In the last quarter, insiders have sold 103,804 shares of company stock worth $15,021,701. Company insiders own 4.30% of the company’s stock.

A number of hedge funds and other institutional investors have recently modified their holdings of the business. BlackRock Inc. grew its holdings in Zendesk by 22.6% in the 4th quarter. BlackRock Inc. now owns 7,294,485 shares of the software maker’s stock valued at $1,043,989,000 after buying an additional 1,345,316 shares in the last quarter. Alliancebernstein L.P. grew its holdings in Zendesk by 86.4% in the 4th quarter. Alliancebernstein L.P. now owns 1,992,606 shares of the software maker’s stock valued at $285,182,000 after buying an additional 923,694 shares in the last quarter. Amundi Pioneer Asset Management Inc. grew its holdings in shares of Zendesk by 7.9% during the 4th quarter. Amundi Pioneer Asset Management Inc. now owns 1,684,594 shares of the software maker’s stock worth $241,100,000 after purchasing an additional 123,329 shares in the last quarter. Wasatch Advisors Inc. grew its holdings in shares of Zendesk by 11.4% during the 3rd quarter. Wasatch Advisors Inc. now owns 1,505,595 shares of the software maker’s stock worth $154,956,000 after purchasing an additional 154,198 shares in the last quarter. Finally, Polar Capital LLP grew its holdings in shares of Zendesk by 21.3% during the 3rd quarter. Polar Capital LLP now owns 1,451,142 shares of the software maker’s stock worth $149,352,000 after purchasing an additional 254,346 shares in the last quarter. 97.39% of the stock is currently owned by hedge funds and other institutional investors.

About Zendesk

Zendesk, Inc, a software development company, provides software as a service solutions for organizations in North America, Latin America, Europe, the Middle East, Africa, Australia, and the Asia Pacific. Its flagship product is Zendesk Support, a system for tracking, prioritizing, and solving customer support tickets across various channels.

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