Verint Systems Inc. (NASDAQ: VRNT) stock jumped 2.45% on Monday to $24.22 against a previous-day closing price of $23.64. With 0.92 million shares changed hands, the volume of the stock remained heavier than its average volume of 0.58 million shares. During the session, the Software – Infrastructure company that operates in wider Technology sector, reached to the highest price of $24.26 whereas the lowest price it dropped to was $23.51. The 52-week range on VRNT shows that it touched its highest point at $40.71 and its lowest point at $23.51 during that stretch. It currently has a 1-year price target of $34.33. Beta for the stock currently stands at 1.03.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of VRNT was down-trending over the past week, with a drop of -0.70%, but this was down by -25.22% over a month. Three-month performance dropped to -33.42% while six-month performance fell -32.53%. The stock lost -35.60% in the past year, while it has lost -33.24% so far this year. A look at the trailing 12-month EPS for VRNT yields -0.10 with Next year EPS estimates of 2.81. For the next quarter, that number is 0.61. This implies an EPS growth rate of -31.40% for this year and 7.01% for next year. EPS is expected to grow by 8.00% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of -31.30%.
Float and Shares Shorts:
At present, 64.29 million VRNT shares are outstanding with a float of 62.99 million shares on hand for trading. On Aug 30, 2023, short shares totaled 2.17 million, which was 3.38% higher than short shares on Jul 30, 2023. In addition to Mr. Dan Bodner as the firm’s CEO & Chairman, Mr. Elan Moriah serves as its Pres.
Through their ownership of 103.80% of VRNT’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 53.68% of VRNT, in contrast to 49.38% held by mutual funds. Shares owned by individuals account for 28.95%. As the largest shareholder in VRNT with 11.92% of the stake, The Vanguard Group, Inc. holds 7,661,126 shares worth 7,661,126. A second-largest stockholder of VRNT, Clal Pension & Provident Funds Lt, holds 5,432,435 shares, controlling over 8.45% of the firm’s shares. BlackRock Fund Advisors is the third largest shareholder in VRNT, holding 4,393,683 shares or 6.84% stake. With a 3.69% stake in VRNT, the Vanguard Total Stock Market ETF is the largest stakeholder. A total of 2,371,855 shares are owned by the mutual fund manager. The Victory Sycamore Small Company Op, which owns about 3.51% of VRNT stock, is the second-largest Mutual Fund holder. It holds 2,255,025 shares valued at 73.04 million. Vanguard Small Cap Index Fund holds 3.00% of the stake in VRNT, owning 1,927,179 shares worth 62.42 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for VRNT since 0 analysts follow the stock currently. In the same way, a target price assigned to a stock can also reveal much about its potential. With VRNT analysts setting a high price target of $40.00 and a low target of $25.00, the average target price over the next 12 months is $34.33. Based on these targets, VRNT could surge 65.15% to reach the target high and rise by 3.22% to reach the target low. Reaching the average price target will result in a growth of 41.74% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy.
Summary of Insider Activity:
Insiders traded VRNT stock several times over the past three months with 0 Buys and 7 Sells. In these transactions, 0 shares were bought while 94,197 shares were sold. The number of buy transactions has increased to 25 while that of sell transactions has risen to 45 over the past year. The total number of shares bought during that period was 392,209 while 360,356 shares were sold.