Concentrix (NASDAQ:CNXC) Shares Gap Down on Disappointing Earnings

Concentrix Corporation (NASDAQ:CNXC)’s stock price gapped down before the market opened on Friday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $55.13, but opened at $51.77. Concentrix shares last traded at $55.90, with a volume of 521,544 shares trading hands.

The company reported $2.70 earnings per share for the quarter, missing the consensus estimate of $2.76 by ($0.06). Concentrix had a return on equity of 16.51% and a net margin of 2.54%. The business had revenue of $2.42 billion during the quarter, compared to the consensus estimate of $2.38 billion. During the same quarter in the prior year, the firm posted $2.69 EPS. The company’s revenue for the quarter was up 1.5% on a year-over-year basis.

Concentrix Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, August 5th. Stockholders of record on Friday, July 25th will be given a dividend of $0.3328 per share. This represents a $1.33 dividend on an annualized basis and a dividend yield of 2.57%. The ex-dividend date of this dividend is Friday, July 25th. Concentrix’s dividend payout ratio (DPR) is presently 33.33%.

Wall Street Analysts Forecast Growth

Several research analysts have commented on the company. Robert W. Baird raised their price objective on Concentrix from $62.00 to $72.00 and gave the stock an “outperform” rating in a report on Thursday. Bank of America cut their target price on shares of Concentrix from $65.00 to $61.00 and set a “neutral” rating on the stock in a research report on Friday. Wall Street Zen cut shares of Concentrix from a “buy” rating to a “hold” rating in a research report on Saturday, June 21st. Finally, Barrington Research reiterated an “outperform” rating and set a $54.00 price objective on shares of Concentrix in a research note on Tuesday. Two analysts have rated the stock with a hold rating, three have issued a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat.com, Concentrix has an average rating of “Moderate Buy” and an average price target of $66.75.

Insider Transactions at Concentrix

In other news, CEO Christopher A. Caldwell acquired 1,000 shares of the stock in a transaction that occurred on Monday, April 21st. The shares were bought at an average cost of $46.00 per share, for a total transaction of $46,000.00. Following the acquisition, the chief executive officer now owns 303,362 shares in the company, valued at approximately $13,954,652. This represents a 0.33% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, EVP Cormac J. Twomey sold 500 shares of the business’s stock in a transaction that occurred on Monday, March 31st. The stock was sold at an average price of $55.31, for a total value of $27,655.00. Following the sale, the executive vice president now owns 39,130 shares of the company’s stock, valued at approximately $2,164,280.30. This trade represents a 1.26% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 30,944 shares of company stock valued at $1,510,158 in the last 90 days. 3.20% of the stock is currently owned by company insiders.

Institutional Trading of Concentrix

Several large investors have recently made changes to their positions in CNXC. Steward Partners Investment Advisory LLC increased its position in shares of Concentrix by 81.3% during the fourth quarter. Steward Partners Investment Advisory LLC now owns 638 shares of the company’s stock worth $28,000 after purchasing an additional 286 shares in the last quarter. Geneos Wealth Management Inc. increased its position in shares of Concentrix by 532.7% during the first quarter. Geneos Wealth Management Inc. now owns 620 shares of the company’s stock worth $34,000 after purchasing an additional 522 shares in the last quarter. UMB Bank n.a. increased its position in shares of Concentrix by 47.3% during the first quarter. UMB Bank n.a. now owns 676 shares of the company’s stock worth $38,000 after purchasing an additional 217 shares in the last quarter. First Horizon Advisors Inc. increased its position in shares of Concentrix by 111.8% during the first quarter. First Horizon Advisors Inc. now owns 841 shares of the company’s stock worth $47,000 after purchasing an additional 444 shares in the last quarter. Finally, Parkside Financial Bank & Trust increased its position in shares of Concentrix by 58.7% during the fourth quarter. Parkside Financial Bank & Trust now owns 1,201 shares of the company’s stock worth $52,000 after purchasing an additional 444 shares in the last quarter. 90.34% of the stock is currently owned by hedge funds and other institutional investors.

Concentrix Price Performance

The company has a 50-day moving average of $53.86 and a 200 day moving average of $49.47. The stock has a market capitalization of $3.30 billion, a PE ratio of 14.21, a PEG ratio of 0.71 and a beta of 0.56. The company has a quick ratio of 1.65, a current ratio of 1.65 and a debt-to-equity ratio of 1.22.

Concentrix Company Profile

Concentrix Corporation engages in the provision of technology-infused customer experience (CX) solutions worldwide. The company provides CX process optimization, technology innovation, front- and back-office automation, analytics, and business transformation services, across various channels of communication, such as voice, chat, email, social media, asynchronous messaging, and custom applications.