Amdocs Analyst Ratings and Financial Performance Insights

Instructions

Over the past quarter, four financial analysts have evaluated Amdocs (NASDAQ: DOX), presenting varied outlooks ranging from optimistic to moderately positive. These assessments offer a snapshot of market perceptions and their shifts within the last 30 days, alongside comparisons to earlier periods. The collective 12-month price targets for Amdocs indicate an average of $93.5, with projections spanning from a high of $97.00 to a low of $88.00. This average represents an 8.33% reduction from the prior target of $102.00, reflecting evolving expert opinions.

A detailed examination of analyst activities reveals adjustments in ratings and price targets by prominent financial experts. For instance, Tavy Rosner from Barclays has revised Amdocs's rating to 'Overweight' but lowered the price target from $111.00 to $92.00. Similarly, Shlomo Rosenbaum of Stifel, along with Tal Liani from B of A Securities, have both maintained 'Buy' ratings while adjusting their price targets downwards. These actions underscore the dynamic nature of market analysis, where recommendations are frequently updated to align with new information and shifting economic landscapes.

Understanding these analyst viewpoints in conjunction with Amdocs's core financial data is crucial for investors. Analyst recommendations, which typically involve qualitative evaluations like 'Outperform' or 'Underperform', are frequently updated on a quarterly basis. Beyond ratings, analysts often provide forecasts for critical financial metrics such as earnings, revenue, and growth, assisting traders in making informed decisions. However, it's important to acknowledge that these are expert projections based on their current understanding and can be subject to change.

From a financial standpoint, Amdocs's market capitalization is currently below industry averages, suggesting a smaller scale relative to its peers. The company has experienced a revenue contraction of approximately 8.99% as of September 30, 2025, lagging behind the growth rates of its competitors within the Information Technology sector. Despite these challenges, Amdocs demonstrates robust profitability, boasting an impressive net margin of 8.22%, which highlights effective cost control. Furthermore, its Return on Equity (ROE) stands at an exceptional 2.73%, indicating efficient utilization of shareholder capital. The company also excels in asset management, with a Return on Assets (ROA) of 1.5%. Amdocs's debt-to-equity ratio of 0.24 is below industry norms, signifying a healthy and stable financial structure.

Amdocs Ltd, a leading provider of software and services to the communications, entertainment, and media sectors, operates as a unified segment. The company specializes in designing, developing, marketing, supporting, implementing, and managing open and modular cloud-based solutions. Its extensive portfolio covers both digital and legacy business and operational support systems, serving diverse sectors such as wireless, broadband, cable, fiber, satellite, and digital services. Amdocs leverages artificial intelligence to facilitate digital transformation, cloud adoption, and intelligent network automation. Geographically, North America accounts for the majority of its revenue, with significant operations also in Europe and other global markets.

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