PagerDuty (NYSE:PD) Reaches New 52-Week Low Following Analyst Downgrade

Shares of PagerDuty (NYSE:PD) reached a new 52-week low on Friday after Canaccord Genuity Group lowered their price target on the stock from $19.00 to $9.00. Canaccord Genuity Group currently has a buy rating on the stock. PagerDuty traded as low as $6.15 and last traded at $7.2360, with a volume of 1822272 shares trading hands. The stock had previously closed at $7.27.

A number of other research analysts also recently issued reports on PD. Bank of America assumed coverage on shares of PagerDuty in a research report on Tuesday, December 2nd. They issued an “underperform” rating and a $12.00 price objective on the stock. Zacks Research downgraded shares of PagerDuty from a “strong-buy” rating to a “hold” rating in a research note on Monday, January 26th. William Blair reaffirmed a “market perform” rating on shares of PagerDuty in a report on Friday. Morgan Stanley set a $9.00 price target on PagerDuty in a research report on Thursday, February 19th. Finally, Craig Hallum lowered PagerDuty from a “buy” rating to a “hold” rating and decreased their price objective for the company from $20.00 to $15.00 in a report on Wednesday, November 26th. Three equities research analysts have rated the stock with a Buy rating, seven have given a Hold rating and three have issued a Sell rating to the company. According to data from MarketBeat, PagerDuty has an average rating of “Hold” and a consensus price target of $12.40.

Insider Buying and Selling

In other PagerDuty news, Director Dan Alexandru Solomon sold 266,667 shares of the company’s stock in a transaction on Tuesday, December 30th. The shares were sold at an average price of $13.35, for a total value of $3,560,004.45. Following the sale, the director directly owned 2,389,665 shares of the company’s stock, valued at approximately $31,902,027.75. This represents a 10.04% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Insiders own 8.00% of the company’s stock.

Key Stories Impacting PagerDuty

Here are the key news stories impacting PagerDuty this week:

• Positive Sentiment: Q4 EPS beat and margin progress — PagerDuty reported EPS above consensus and highlighted improved profitability and a full-year EPS guide that tops street estimates, supporting the company’s path to sustained GAAP profitability. PagerDuty Announces Fourth-Quarter and Full-Year Fiscal 2026 Financial Results
• Positive Sentiment: AI/product push — PagerDuty announced expansions to its AI ecosystem and a Spring 2026 platform release, which could drive product-led growth and higher enterprise stickiness if adoption accelerates. PagerDuty Expands AI Ecosystem
• Neutral Sentiment: Analyst support remains mixed — some shops (e.g., TD Cowen, Truist, Canaccord) have kept buy/positive stances even after lowering targets, indicating belief in longer-term upside despite near-term headwinds. TD Cowen/TipRanks Coverage
• Negative Sentiment: Revenue guidance and churn concerns — management guided Q1 and FY revenue below consensus ranges and discussed churn/usage headwinds, which directly hit growth expectations and investor confidence. PagerDuty’s Q4 Sales Beat But Stock Drops
• Negative Sentiment: Multiple price-target cuts and a downgrade — several firms trimmed targets (RBC to $8, TD Cowen to $10, Canaccord/Truist to $9) and William Blair downgraded the name after the quarter, amplifying selling pressure. William Blair Downgrade (Seeking Alpha) TD Cowen PT Cut (StreetInsider) RBC PT Cut (TickerReport)
• Negative Sentiment: Market reaction — shares fell sharply after the print as investors punished the revenue guide and margin/cash-flow signs, reinforcing near-term downside risk. Stock Tumbles on Weak Outlook (Investing.com)

Institutional Trading of PagerDuty

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. EverSource Wealth Advisors LLC lifted its holdings in PagerDuty by 252.0% in the third quarter. EverSource Wealth Advisors LLC now owns 1,605 shares of the company’s stock valued at $27,000 after acquiring an additional 1,149 shares during the period. KBC Group NV grew its stake in shares of PagerDuty by 89.5% during the 4th quarter. KBC Group NV now owns 4,402 shares of the company’s stock worth $58,000 after purchasing an additional 2,079 shares during the period. Aster Capital Management DIFC Ltd acquired a new stake in shares of PagerDuty during the 3rd quarter worth approximately $59,000. State of Alaska Department of Revenue purchased a new position in shares of PagerDuty during the 3rd quarter valued at approximately $67,000. Finally, Kestra Advisory Services LLC purchased a new position in shares of PagerDuty during the 4th quarter valued at approximately $68,000. 97.26% of the stock is owned by institutional investors and hedge funds.

PagerDuty Stock Performance

The company has a debt-to-equity ratio of 1.23, a quick ratio of 2.37 and a current ratio of 2.37. The firm’s 50 day moving average is $9.08 and its 200-day moving average is $12.94. The stock has a market capitalization of $646.96 million, a price-to-earnings ratio of 3.83, a PEG ratio of 1.82 and a beta of 0.73.

PagerDuty (NYSE:PD) last released its quarterly earnings results on Thursday, March 12th. The company reported $0.29 EPS for the quarter, beating the consensus estimate of $0.24 by $0.05. PagerDuty had a net margin of 35.30% and a return on equity of 17.01%. The company had revenue of $124.79 million for the quarter, compared to analyst estimates of $122.96 million. During the same quarter last year, the business earned $0.22 earnings per share. The firm’s revenue was up 2.7% on a year-over-year basis. PagerDuty has set its Q1 2027 guidance at 0.230-0.250 EPS and its FY 2027 guidance at 1.230-1.280 EPS. Analysts forecast that PagerDuty will post -0.27 earnings per share for the current fiscal year.

About PagerDuty

PagerDuty, Inc engages in the operation of a digital operations management platform in the United States and internationally. The company’s digital operations management platform collects data and digital signals from virtually any software-enabled system or device and leverage machine learning to correlate, process, and predict opportunities and issues. Its platform includes PagerDuty Incident Management that provides a real-time view across the status of a digital service while incorporating noise reduction to remove false positives; AIOps that applies machine learning to correlate and automate the identification of incidents from billions of events; Process Automation offers centralized design time and run time environment for orchestrating automated workflows that span across departments, technologies, and networks; Customer Service Operations, which is offered to orchestrate, automate, and scale responses to customer impacting issues.