NIC (EGOV) Raised to Buy at Zacks Investment Research

NIC (NASDAQ:EGOV) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research report issued on Wednesday. The firm currently has a $15.00 price objective on the software maker’s stock. Zacks Investment Research‘s target price would indicate a potential upside of 8.93% from the stock’s previous close.

According to Zacks, “NIC Inc. provides digital government services that enable governments to use technology to provide various services to businesses. Its Outsourced Portals business enters into long-term contracts with state and local governments to design, build, and operate Internet-based, enterprise-wide portals on their behalf. These portals consist of Websites and applications that enable businesses and citizens to access government information online and complete transactions, such as applying for a permit, retrieving government records, or filing a government-mandated form or report. Its portal service offerings include motor vehicle driver history record retrieval; hunting/ fishing licenses; health professional license services; professional license renewal; business registrations and renewals; secretary of state business searches; Uniform Commercial Code searches and filings; limited criminal history searches; court services; vital records; income and property tax payments; and payment processing products and services. “

Several other brokerages have also commented on EGOV. TheStreet upgraded shares of NIC from a “c+” rating to a “b-” rating in a report on Wednesday, August 22nd. Loop Capital upped their price objective on shares of NIC to $17.00 and gave the stock a “hold” rating in a report on Thursday, August 2nd. ValuEngine upgraded shares of NIC from a “sell” rating to a “hold” rating in a report on Thursday, August 2nd. BidaskClub lowered shares of NIC from a “buy” rating to a “hold” rating in a report on Wednesday, August 29th. Finally, Stephens reiterated a “hold” rating and set a $18.00 target price on shares of NIC in a report on Thursday, August 2nd. One equities research analyst has rated the stock with a sell rating, four have given a hold rating and one has assigned a buy rating to the company’s stock. The stock has a consensus rating of “Hold” and an average target price of $16.00.

Shares of EGOV stock traded down $0.04 during trading hours on Wednesday, hitting $13.77. The company had a trading volume of 2,528 shares, compared to its average volume of 412,590. NIC has a fifty-two week low of $12.65 and a fifty-two week high of $18.90. The firm has a market cap of $899.35 million, a P/E ratio of 17.94, a P/E/G ratio of 1.60 and a beta of 0.71.

NIC (NASDAQ:EGOV) last issued its quarterly earnings data on Thursday, November 1st. The software maker reported $0.24 EPS for the quarter, topping the consensus estimate of $0.17 by $0.07. NIC had a net margin of 16.94% and a return on equity of 32.21%. The firm had revenue of $87.03 million for the quarter, compared to analyst estimates of $83.06 million. During the same period in the prior year, the business posted $0.21 EPS. The business’s revenue for the quarter was up 3.0% compared to the same quarter last year. Analysts forecast that NIC will post 0.85 EPS for the current fiscal year.

A number of institutional investors have recently added to or reduced their stakes in EGOV. BlackRock Inc. lifted its holdings in NIC by 4.2% during the 2nd quarter. BlackRock Inc. now owns 9,754,378 shares of the software maker’s stock worth $151,681,000 after buying an additional 396,537 shares in the last quarter. Segall Bryant & Hamill LLC acquired a new stake in NIC during the 2nd quarter worth approximately $5,947,000. Conestoga Capital Advisors LLC lifted its holdings in NIC by 16.2% during the 3rd quarter. Conestoga Capital Advisors LLC now owns 2,007,903 shares of the software maker’s stock worth $29,717,000 after buying an additional 279,660 shares in the last quarter. First Trust Advisors LP lifted its holdings in NIC by 5.2% during the 2nd quarter. First Trust Advisors LP now owns 4,495,235 shares of the software maker’s stock worth $69,901,000 after buying an additional 223,996 shares in the last quarter. Finally, Spark Investment Management LLC lifted its holdings in NIC by 83.6% during the 2nd quarter. Spark Investment Management LLC now owns 389,800 shares of the software maker’s stock worth $6,061,000 after buying an additional 177,500 shares in the last quarter. Institutional investors own 87.80% of the company’s stock.

About NIC

NIC Inc, together with its subsidiaries, provides digital government services that enable governments to use technology to provide various services to businesses and citizens in the United States. The company's outsourced portal business enters into long-term contracts with state and local governments to design, build, and operate Internet-based and enterprise-wide portals on their behalf.

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