Magic Software Enterprises (NASDAQ:MGIC) Hits New 12-Month High Following Dividend Announcement

Shares of Magic Software Enterprises Ltd. (NASDAQ:MGIC) hit a new 52-week high during trading on Tuesday after the company announced a dividend. The stock traded as high as $14.24 and last traded at $14.20, with a volume of 152312 shares. The stock had previously closed at $13.88.

The newly announced dividend which will be paid on Wednesday, May 7th. Shareholders of record on Tuesday, April 22nd will be issued a dividend of $0.327 per share. The ex-dividend date is Tuesday, April 22nd. This represents a dividend yield of 4.6%. This is a boost from Magic Software Enterprises’s previous semi-annual dividend of $0.24. Magic Software Enterprises’s dividend payout ratio is presently 86.67%.

Analyst Upgrades and Downgrades

A number of equities analysts have commented on MGIC shares. William Blair cut Magic Software Enterprises from an “outperform” rating to a “market perform” rating in a report on Wednesday, March 12th. StockNews.com raised Magic Software Enterprises from a “buy” rating to a “strong-buy” rating in a report on Thursday, March 13th. Finally, Barclays increased their target price on Magic Software Enterprises from $15.00 to $16.00 and gave the company an “overweight” rating in a report on Thursday, March 13th.

Magic Software Enterprises Stock Up 2.3 %

The company has a quick ratio of 1.76, a current ratio of 1.76 and a debt-to-equity ratio of 0.13. The business has a 50-day moving average price of $12.69 and a 200-day moving average price of $11.91. The firm has a market capitalization of $697.21 million, a PE ratio of 20.29 and a beta of 1.11.

Magic Software Enterprises (NASDAQ:MGIC) last posted its quarterly earnings results on Tuesday, March 11th. The software maker reported $0.24 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.25 by ($0.01). The company had revenue of $142.58 million during the quarter, compared to analysts’ expectations of $137.00 million. Magic Software Enterprises had a net margin of 6.49% and a return on equity of 15.42%. Equities research analysts forecast that Magic Software Enterprises Ltd. will post 0.95 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Magic Software Enterprises

Large investors have recently made changes to their positions in the stock. IFP Advisors Inc grew its position in shares of Magic Software Enterprises by 100.0% in the fourth quarter. IFP Advisors Inc now owns 4,000 shares of the software maker’s stock valued at $48,000 after purchasing an additional 2,000 shares in the last quarter. JPMorgan Chase & Co. grew its position in Magic Software Enterprises by 77.4% in the third quarter. JPMorgan Chase & Co. now owns 93,166 shares of the software maker’s stock worth $1,101,000 after acquiring an additional 40,642 shares during the period. Barclays PLC grew its position in Magic Software Enterprises by 4,274.4% in the third quarter. Barclays PLC now owns 5,818 shares of the software maker’s stock worth $69,000 after acquiring an additional 5,685 shares during the period. Truist Financial Corp purchased a new position in Magic Software Enterprises in the fourth quarter worth approximately $189,000. Finally, Tidal Investments LLC grew its position in Magic Software Enterprises by 4.6% in the third quarter. Tidal Investments LLC now owns 28,917 shares of the software maker’s stock worth $342,000 after acquiring an additional 1,278 shares during the period. 24.70% of the stock is currently owned by hedge funds and other institutional investors.

About Magic Software Enterprises

Magic Software Enterprises Ltd. provides proprietary application development, vertical software solutions, business process integration, information technologies (IT) outsourcing software services, and cloud-based services in Israel and internationally. Its Software Services segment develops, markets, sells, and supports application platform, software applications, and business and process integration solutions and related services.