Manhattan Associates (NASDAQ:MANH) Shares Gap Up After Strong Earnings

Manhattan Associates, Inc. (NASDAQ:MANH) shares gapped up prior to trading on Wednesday following a stronger than expected earnings report. The stock had previously closed at $169.73, but opened at $179.27. Manhattan Associates shares last traded at $162.7960, with a volume of 392,530 shares.

The software maker reported $1.21 earnings per share for the quarter, topping analysts’ consensus estimates of $1.11 by $0.10. The company had revenue of $270.39 million during the quarter, compared to analyst estimates of $264.69 million. Manhattan Associates had a net margin of 20.34% and a return on equity of 78.13%. The firm’s revenue for the quarter was up 5.7% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.17 earnings per share. Manhattan Associates has set its FY 2026 guidance at 5.040-5.200 EPS.

Manhattan Associates News Roundup

Here are the key news stories impacting Manhattan Associates this week:

• Positive Sentiment: Q4 beat and strong top‑line: Manhattan reported $1.21 EPS vs. $1.11 consensus and $270.4M revenue, showing mid-single‑digit revenue growth and healthy margins. Manhattan Associates Reports Fourth Quarter Results
• Positive Sentiment: Raised FY‑2026 EPS guide: management set FY EPS of $5.04–$5.20 versus the sell‑side consensus (~$4.61), signaling confidence in subscription and cloud revenue expansion. Earnings Release / Guidance
• Positive Sentiment: Management emphasizing cloud & AI growth and subscription momentum — potential multi‑year upside as customers adopt AI agents and cloud services. Manhattan Associates Leans Into Cloud and AI Growth
• Neutral Sentiment: Analyst reactions mixed but still constructive: DA Davidson trimmed its price target from $250 to $240 while keeping a Buy rating, leaving substantial upside though slightly moderating optimism. Benzinga: DA Davidson Price Target Cut
• Neutral Sentiment: Call transcript and market coverage provide detail for investors to model subscription cadence and AI adoption timing. (Earnings call transcript available.) Earnings Call Transcript
• Negative Sentiment: Short interest jumped ~23.2% in January to ~2.29M shares (≈3.8% of shares outstanding), increasing potential for downward pressure and amplified volatility. Source: short interest update
• Negative Sentiment: Technicals and valuation headwinds: the stock is trading below its 50‑ and 200‑day moving averages and at a high forward P/E (~46), which can prompt profit‑taking after the post‑earnings pop.
• Negative Sentiment: Higher trading volume and recent intraday swings indicate active repositioning by investors (some booked gains after the initial rally), adding short‑term selling pressure.

Analyst Upgrades and Downgrades

A number of analysts have weighed in on the company. Truist Financial set a $240.00 target price on Manhattan Associates in a report on Thursday, January 15th. DA Davidson decreased their price objective on Manhattan Associates from $250.00 to $240.00 and set a “buy” rating for the company in a research note on Wednesday. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Manhattan Associates in a research report on Thursday, January 22nd. Raymond James Financial reduced their target price on shares of Manhattan Associates from $250.00 to $240.00 and set an “outperform” rating for the company in a report on Wednesday, October 22nd. Finally, Morgan Stanley lowered their price target on shares of Manhattan Associates from $200.00 to $165.00 and set an “equal weight” rating on the stock in a report on Monday, January 5th. Nine research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $218.75.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. Whipplewood Advisors LLC grew its holdings in shares of Manhattan Associates by 907.7% during the second quarter. Whipplewood Advisors LLC now owns 131 shares of the software maker’s stock valued at $26,000 after buying an additional 118 shares during the last quarter. Eagle Bay Advisors LLC acquired a new stake in Manhattan Associates during the 4th quarter worth about $27,000. Caitong International Asset Management Co. Ltd grew its stake in Manhattan Associates by 448.0% during the 3rd quarter. Caitong International Asset Management Co. Ltd now owns 137 shares of the software maker’s stock valued at $28,000 after purchasing an additional 112 shares during the last quarter. Eastern Bank acquired a new position in shares of Manhattan Associates in the third quarter valued at about $30,000. Finally, V Square Quantitative Management LLC purchased a new position in shares of Manhattan Associates in the fourth quarter worth about $44,000. Hedge funds and other institutional investors own 98.45% of the company’s stock.

Manhattan Associates Price Performance

The stock has a fifty day moving average of $173.64 and a 200 day moving average of $193.21. The stock has a market cap of $9.71 billion, a price-to-earnings ratio of 45.91 and a beta of 1.02.

About Manhattan Associates

Manhattan Associates, Inc (NASDAQ: MANH) is a provider of supply chain and omnichannel commerce software solutions designed to optimize the flow of goods, information and funds across enterprise operations. Its flagship offerings include warehouse management, transportation management, order management and omnichannel fulfillment applications. These solutions are delivered through a cloud-native platform called Manhattan Active, which enables retailers, manufacturers, carriers and third-party logistics providers to orchestrate inventory, manage distribution and improve customer service in real time.

Key product areas include Manhattan Active Warehouse Management, which automates and optimizes warehouse operations from receiving through shipping; Manhattan Active Transportation Management, supporting carrier selection, routing and freight payment; and Manhattan Active Omni, which unifies order capture, inventory visibility and fulfillment across stores, distribution centers and e-commerce channels.