Zacks: Analysts Expect CDK Global Inc (CDK) to Announce $0.94 Earnings Per Share

Wall Street analysts expect CDK Global Inc (NASDAQ:CDK) to post earnings of $0.94 per share for the current quarter, Zacks reports. Four analysts have made estimates for CDK Global’s earnings. The highest EPS estimate is $0.96 and the lowest is $0.92. CDK Global reported earnings of $0.85 per share during the same quarter last year, which would indicate a positive year-over-year growth rate of 10.6%. The firm is expected to report its next earnings results on Thursday, April 25th.

On average, analysts expect that CDK Global will report full year earnings of $3.75 per share for the current financial year, with EPS estimates ranging from $3.70 to $3.78. For the next fiscal year, analysts forecast that the business will post earnings of $4.23 per share, with EPS estimates ranging from $4.01 to $4.33. Zacks Investment Research’s EPS averages are a mean average based on a survey of research firms that cover CDK Global.

CDK Global (NASDAQ:CDK) last announced its quarterly earnings results on Tuesday, February 5th. The software maker reported $0.98 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $0.86 by $0.12. The company had revenue of $590.40 million during the quarter, compared to analysts’ expectations of $578.91 million. CDK Global had a negative return on equity of 135.00% and a net margin of 16.36%. The firm’s quarterly revenue was up 5.1% compared to the same quarter last year. During the same period in the previous year, the business earned $0.87 earnings per share.

CDK has been the subject of several recent research reports. TheStreet cut CDK Global from a “b-” rating to a “c+” rating in a research report on Wednesday, November 14th. BidaskClub raised CDK Global from a “sell” rating to a “hold” rating in a research note on Wednesday, January 2nd. Wells Fargo & Co lowered CDK Global from an “outperform” rating to a “market perform” rating in a research note on Thursday, November 8th. Barrington Research reissued a “buy” rating and set a $80.00 price objective on shares of CDK Global in a research note on Monday, November 5th. Finally, Oppenheimer set a $67.00 price objective on CDK Global and gave the company a “buy” rating in a research note on Wednesday, November 7th. One equities research analyst has rated the stock with a sell rating, three have given a hold rating and three have issued a buy rating to the stock. The company currently has an average rating of “Hold” and an average price target of $67.25.

In other news, insider Neil Packham purchased 588 shares of the company’s stock in a transaction on Friday, December 14th. The stock was purchased at an average price of $47.76 per share, with a total value of $28,082.88. Following the completion of the purchase, the insider now directly owns 588 shares in the company, valued at approximately $28,082.88. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Insiders own 0.50% of the company’s stock.

Hedge funds have recently modified their holdings of the business. Bruderman Asset Management LLC increased its holdings in shares of CDK Global by 722.7% in the fourth quarter. Bruderman Asset Management LLC now owns 543 shares of the software maker’s stock worth $26,000 after buying an additional 477 shares during the period. CX Institutional purchased a new position in CDK Global during the 4th quarter valued at about $27,000. Essex Investment Management Co. LLC purchased a new position in CDK Global during the 4th quarter valued at about $30,000. Laurel Wealth Advisors LLC purchased a new position in CDK Global during the 4th quarter valued at about $32,000. Finally, Oregon Public Employees Retirement Fund increased its holdings in CDK Global by 4,688.0% during the 4th quarter. Oregon Public Employees Retirement Fund now owns 2,470,752 shares of the software maker’s stock valued at $52,000 after purchasing an additional 2,419,149 shares during the period. 82.05% of the stock is owned by hedge funds and other institutional investors.

Shares of NASDAQ CDK traded down $0.12 during mid-day trading on Monday, hitting $55.25. The company had a trading volume of 1,768,197 shares, compared to its average volume of 1,372,516. The stock has a market cap of $6.91 billion, a PE ratio of 18.17, a price-to-earnings-growth ratio of 1.52 and a beta of 0.65. CDK Global has a 1 year low of $44.01 and a 1 year high of $71.71.

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, March 29th. Investors of record on Friday, March 1st will be paid a dividend of $0.15 per share. This represents a $0.60 annualized dividend and a yield of 1.09%. The ex-dividend date of this dividend is Thursday, February 28th. CDK Global’s dividend payout ratio is 19.74%.

CDK Global Company Profile

CDK Global, Inc provides software and technology solutions for automotive retailers in the United States and internationally. The company operates through Retail Solutions North America, Advertising North America, and CDK International segments. The company offers Dealer Management System (DMS), a portfolio of layered software applications and services for automotive retailers, original equipment manufacturers (OEMs), consumers, and other industry participants manage the acquisition, sale, financing, insuring, parts supply, and repair and maintenance of vehicles.

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