Zacks Investment Research downgraded shares of Unisys (NYSE:UIS) from a strong-buy rating to a hold rating in a research note issued to investors on Tuesday, Zacks.com reports.
According to Zacks, “Unisys is benefiting from new managed services contracts within the public sector. Expanding Stealth portfolio continues to drive growth. Focus on application-based managed services will enable it to more effectively pursue long-term application outsourcing, associated application modernization and implementation project work. Moreover, the company's cost-control initiatives and efforts toward sales growth in order to overcome operational weaknesses are noteworthy. Estimates have been stable ahead of the company’s first-quarter earnings release. However, Unisys' performance continues to be adversely affected by currency fluctuations and a decline in annual contract value owing to lower contracts and federal business. It also has significant obligations under its U.S. and non-U.S. defined benefit pension plans, which are likely to be a drag on its earnings in the future. Shares have underperformed the industry in the past year.”
A number of other equities research analysts also recently issued reports on UIS. ValuEngine downgraded shares of Unisys from a hold rating to a sell rating in a research report on Saturday. SunTrust Banks reduced their price objective on shares of Unisys to $17.00 and set a buy rating for the company in a research report on Thursday, April 11th. One investment analyst has rated the stock with a sell rating, two have given a hold rating and two have given a buy rating to the company. The company has an average rating of Hold and a consensus target price of $14.67.
UIS opened at $11.22 on Tuesday. Unisys has a fifty-two week low of $10.46 and a fifty-two week high of $20.95. The stock has a market capitalization of $577.66 million, a P/E ratio of 5.75 and a beta of 1.45.
Unisys (NYSE:UIS) last posted its earnings results on Tuesday, February 12th. The information technology services provider reported $0.97 earnings per share for the quarter, topping the Zacks’ consensus estimate of $0.66 by $0.31. Unisys had a net margin of 2.67% and a negative return on equity of 10.65%. The company had revenue of $760.90 million for the quarter, compared to analyst estimates of $752.00 million. During the same quarter in the prior year, the business posted $1.75 EPS. The firm’s revenue was up 2.2% compared to the same quarter last year. Analysts expect that Unisys will post 1.97 earnings per share for the current fiscal year.
A number of hedge funds have recently modified their holdings of the business. Thrivent Financial for Lutherans grew its position in Unisys by 2.2% in the 4th quarter. Thrivent Financial for Lutherans now owns 36,460 shares of the information technology services provider’s stock worth $424,000 after purchasing an additional 801 shares in the last quarter. Teachers Advisors LLC grew its position in Unisys by 1.6% in the 3rd quarter. Teachers Advisors LLC now owns 100,506 shares of the information technology services provider’s stock worth $2,050,000 after purchasing an additional 1,574 shares in the last quarter. Oppenheimer Asset Management Inc. bought a new stake in Unisys in the 4th quarter worth about $25,000. Mutual Advisors LLC grew its position in Unisys by 3.1% in the 4th quarter. Mutual Advisors LLC now owns 79,805 shares of the information technology services provider’s stock worth $928,000 after purchasing an additional 2,400 shares in the last quarter. Finally, Hsbc Holdings PLC grew its position in Unisys by 6.0% in the 4th quarter. Hsbc Holdings PLC now owns 54,428 shares of the information technology services provider’s stock worth $633,000 after purchasing an additional 3,066 shares in the last quarter.
Unisys Corporation operates as an information technology company worldwide. It operates in two segments, Services and Technology. The Services segment offers cloud and infrastructure services, application services, and business process outsourcing services. The Technology segment designs and develops software, and hardware and other related products.
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