William Blair Weighs in on Zendesk Inc’s FY2018 Earnings (ZEN)

Zendesk Inc (NYSE:ZEN) – Analysts at William Blair boosted their FY2018 EPS estimates for Zendesk in a note issued to investors on Wednesday, October 31st. William Blair analyst B. Suri now anticipates that the software maker will earn ($0.91) per share for the year, up from their prior estimate of ($0.94). William Blair also issued estimates for Zendesk’s Q4 2018 earnings at ($0.27) EPS.

Several other research firms have also commented on ZEN. Stifel Nicolaus boosted their price objective on shares of Zendesk from $60.00 to $68.00 and gave the stock a “hold” rating in a research note on Tuesday, September 11th. Jefferies Financial Group began coverage on shares of Zendesk in a research note on Monday, October 1st. They set a “buy” rating and a $82.00 price objective for the company. Morgan Stanley boosted their price objective on shares of Zendesk from $72.00 to $84.00 and gave the stock an “overweight” rating in a research note on Tuesday, September 18th. Deutsche Bank began coverage on shares of Zendesk in a research note on Monday, October 8th. They set a “buy” rating and a $85.00 price objective for the company. Finally, Evercore ISI reiterated a “buy” rating and set a $70.00 price objective on shares of Zendesk in a research note on Sunday, August 5th. Four research analysts have rated the stock with a hold rating, fourteen have given a buy rating and one has issued a strong buy rating to the stock. Zendesk has a consensus rating of “Buy” and a consensus price target of $65.59.

NYSE ZEN opened at $53.33 on Monday. The company has a debt-to-equity ratio of 1.10, a current ratio of 2.74 and a quick ratio of 2.74. The company has a market cap of $5.85 billion, a P/E ratio of -51.78 and a beta of 1.84. Zendesk has a 52 week low of $31.90 and a 52 week high of $72.76.

Zendesk (NYSE:ZEN) last posted its quarterly earnings data on Tuesday, October 30th. The software maker reported $0.09 EPS for the quarter, topping the consensus estimate of $0.04 by $0.05. The firm had revenue of $154.83 million during the quarter, compared to analyst estimates of $151.78 million. Zendesk had a negative net margin of 22.64% and a negative return on equity of 26.66%. Zendesk’s revenue was up 37.9% on a year-over-year basis. During the same quarter in the previous year, the business posted ($0.02) EPS.

A number of institutional investors have recently modified their holdings of the business. Swiss National Bank increased its stake in shares of Zendesk by 1.6% in the second quarter. Swiss National Bank now owns 179,952 shares of the software maker’s stock worth $9,806,000 after acquiring an additional 2,800 shares during the period. Millennium Management LLC increased its stake in shares of Zendesk by 36.4% in the second quarter. Millennium Management LLC now owns 2,174,017 shares of the software maker’s stock worth $118,462,000 after acquiring an additional 579,772 shares during the period. Dimensional Fund Advisors LP acquired a new stake in shares of Zendesk in the first quarter worth $5,235,000. Cubist Systematic Strategies LLC increased its stake in shares of Zendesk by 6,776.6% in the second quarter. Cubist Systematic Strategies LLC now owns 206,298 shares of the software maker’s stock worth $11,241,000 after acquiring an additional 203,298 shares during the period. Finally, Renaissance Technologies LLC acquired a new stake in shares of Zendesk in the second quarter worth $22,103,000. Institutional investors and hedge funds own 92.74% of the company’s stock.

In other Zendesk news, insider Adrian Mcdermott sold 1,809 shares of the company’s stock in a transaction that occurred on Wednesday, October 17th. The shares were sold at an average price of $63.70, for a total transaction of $115,233.30. Following the transaction, the insider now owns 80,267 shares in the company, valued at approximately $5,113,007.90. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Chairman Mikkel Svane sold 50,000 shares of the company’s stock in a transaction that occurred on Wednesday, August 15th. The shares were sold at an average price of $62.09, for a total transaction of $3,104,500.00. Following the transaction, the chairman now owns 1,575,034 shares in the company, valued at approximately $97,793,861.06. The disclosure for this sale can be found here. Insiders have sold a total of 98,876 shares of company stock worth $6,331,517 in the last 90 days. 4.70% of the stock is currently owned by company insiders.

Zendesk Company Profile

Zendesk, Inc, a software development company, provides SaaS products for organizations. Its flagship product is Zendesk Support, a system for tracking, prioritizing, and solving customer support tickets across various channels. The company also offers Zendesk Chat, a live chat software to connect with customers on Websites, in applications, and on mobile devices; Zendesk Talk, a cloud-based call center software; Zendesk Guide, a knowledge base that for customer self-service and support agent productivity; Zendesk Message, a customer messaging software; and Zendesk Explore that makes customer data accessible across an organization.

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Earnings History and Estimates for Zendesk (NYSE:ZEN)

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