Cracking The Code: Understanding Analyst Reviews For Vertex
Providing a diverse range of perspectives from bullish to bearish, 12 analysts have published ratings on Vertex (NASDAQ:VERX) in the last three months.
The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 5 | 2 | 5 | 0 | 0 |
| Last 30D | 1 | 0 | 0 | 0 | 0 |
| 1M Ago | 1 | 1 | 2 | 0 | 0 |
| 2M Ago | 0 | 0 | 0 | 0 | 0 |
| 3M Ago | 3 | 1 | 3 | 0 | 0 |
Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $39.42, a high estimate of $45.00, and a low estimate of $32.00. This current average has increased by 24.04% from the previous average price target of $31.78.
Interpreting Analyst Ratings: A Closer Look
The perception of Vertex by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Joshua Reilly | Needham | Maintains | Buy | $45.00 | - |
| Joshua Reilly | Needham | Maintains | Buy | $45.00 | - |
| Steven Enders | Citigroup | Lowers | Neutral | $32.00 | $34.00 |
| Patrick Walravens | JMP Securities | Maintains | Market Outperform | $42.00 | - |
| Brad Sills | B of A Securities | Lowers | Neutral | $34.00 | $40.00 |
| Adam Hotchkiss | Goldman Sachs | Raises | Buy | $39.00 | $33.00 |
| Joe Goodwin | JMP Securities | Raises | Market Outperform | $42.00 | $31.00 |
| Brad Sills | B of A Securities | Raises | Neutral | $40.00 | $23.00 |
| Adam Hotchkiss | Goldman Sachs | Raises | Buy | $39.00 | $33.00 |
| Daniel Jester | BMO Capital | Raises | Market Perform | $35.00 | $30.00 |
| Joshua Reilly | Needham | Raises | Buy | $45.00 | $35.00 |
| Samad Samana | Jefferies | Raises | Hold | $35.00 | $27.00 |
Key Insights:
- Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Vertex. This information offers a snapshot of how analysts perceive the current state of the company.
- Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Vertex compared to the broader market.
- Price Targets: Delving into movements, analysts provide estimates for the future value of Vertex's stock. This analysis reveals shifts in analysts' expectations over time.
Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of Vertex's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.
Stay up to date on Vertex analyst ratings.
Get to Know Vertex Better
Vertex Inc is a provider of tax technology and services. Its software, content, and services help customers stay in compliance with indirect taxes that occur in taxing jurisdictions all over the world. Vertex provides cloud-based and on-premise solutions to specific industries for every line of tax, including income, sales, consumer use, value-added, and payroll. The company offers solutions such as tax determination, Tax Data Management, document management, and compliance and reporting among others. The company derives revenue from software subscriptions.
Unraveling the Financial Story of Vertex
Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.
Revenue Growth: Over the 3 months period, Vertex showcased positive performance, achieving a revenue growth rate of 18.14% as of 31 December, 2023. This reflects a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Information Technology sector.
Net Margin: Vertex's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 9.9%, the company showcases strong profitability and effective cost management.
Return on Equity (ROE): Vertex's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 6.48% ROE, the company effectively utilizes shareholder equity capital.
Return on Assets (ROA): Vertex's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 2.07% ROA, the company effectively utilizes its assets for optimal returns.
Debt Management: Vertex's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.26.
Analyst Ratings: What Are They?
Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.
Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.
This article was generated by Benzinga's automated content engine and reviewed by an editor.