JFrog stock rises as Cantor Fitzgerald maintains Overweight rating after strong Q2
Investing.com - Barclays raised its price target on Magic Software (NASDAQ:MGIC) to $18.00 from $16.00 on Wednesday, while maintaining an Overweight rating on the shares. The software company, currently valued at approximately $988 million, has demonstrated remarkable performance with a 90% return over the past year and offers a 3.48% dividend yield. According to InvestingPro analysis, the stock is trading near its Fair Value.
The price target increase follows Magic Software’s recent earnings report, which showed top-line growth exceeding both Barclays’ and consensus estimates, though margins came in lower than expected.
Despite the margin pressure, Magic Software’s earnings per share beat expectations due to favorable performance in below-the-line items, according to Barclays.
Magic Software’s management raised its year-end guidance slightly, citing positive traction in its business operations.
Barclays justified its higher price target by rolling its target multiples forward to fiscal year 2026 estimated revenues for the software company.
In other recent news, Magic Software Enterprises Ltd. reported its first quarter 2025 financial results. The company exceeded revenue expectations, signaling strong sales performance for the period. However, Magic Software’s earnings per share did not meet analysts’ projections. These developments are crucial for investors monitoring the company’s financial health. While the revenue beat indicates positive business momentum, the earnings miss may prompt further analysis by stakeholders. The financial results were released recently, and the company’s stock remained unchanged in pre-market trading. This stability suggests that the market had anticipated the mixed outcomes. Investors will be watching closely for any future updates or strategic moves by Magic Software.
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