CDK Global (CDK) Releases Quarterly Earnings Results

CDK Global (NASDAQ:CDK) released its quarterly earnings results on Tuesday. The software maker reported $0.98 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $0.86 by $0.12, MarketWatch Earnings reports. The business had revenue of $590.40 million during the quarter, compared to analyst estimates of $578.91 million. CDK Global had a net margin of 17.23% and a negative return on equity of 173.86%. The company’s quarterly revenue was up 5.1% on a year-over-year basis. During the same period in the prior year, the firm posted $0.87 earnings per share. CDK Global updated its FY 2019 guidance to $3.70-3.80 EPS.

Shares of NASDAQ:CDK opened at $54.29 on Wednesday. CDK Global has a twelve month low of $44.01 and a twelve month high of $71.71. The company has a market capitalization of $6.35 billion, a P/E ratio of 17.86, a price-to-earnings-growth ratio of 1.38 and a beta of 0.65.

The firm also recently declared a quarterly dividend, which will be paid on Friday, March 29th. Investors of record on Friday, March 1st will be issued a $0.15 dividend. The ex-dividend date is Thursday, February 28th. This represents a $0.60 annualized dividend and a yield of 1.11%. CDK Global’s dividend payout ratio (DPR) is presently 19.74%.

In related news, CFO Joseph A. Tautges purchased 7,900 shares of the company’s stock in a transaction that occurred on Friday, November 9th. The shares were purchased at an average price of $50.68 per share, with a total value of $400,372.00. Following the purchase, the chief financial officer now owns 25,594 shares of the company’s stock, valued at $1,297,103.92. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, General Counsel Lee J. Brunz purchased 2,500 shares of the company’s stock in a transaction that occurred on Friday, November 9th. The stock was bought at an average cost of $50.96 per share, for a total transaction of $127,400.00. Following the purchase, the general counsel now directly owns 39,427 shares in the company, valued at approximately $2,009,199.92. The disclosure for this purchase can be found here. In the last quarter, insiders purchased 10,988 shares of company stock worth $555,855. 0.50% of the stock is owned by corporate insiders.

Institutional investors have recently added to or reduced their stakes in the stock. CX Institutional purchased a new position in CDK Global in the 4th quarter valued at $27,000. Oregon Public Employees Retirement Fund lifted its holdings in CDK Global by 4,688.0% in 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 in the last quarter. Benjamin F. Edwards & Company Inc. lifted its holdings in CDK Global by 24.3% in the 4th quarter. Benjamin F. Edwards & Company Inc. now owns 1,442 shares of the software maker’s stock valued at $69,000 after purchasing an additional 282 shares in the last quarter. WealthTrust Fairport LLC purchased a new position in CDK Global in the 3rd quarter valued at $104,000. Finally, Quantamental Technologies LLC purchased a new position in CDK Global in the 4th quarter valued at $166,000. 80.40% of the stock is currently owned by hedge funds and other institutional investors.

Several brokerages recently commented on CDK. Oppenheimer set a $67.00 price objective on shares of CDK Global and gave the company a “buy” rating in a research report on Tuesday. Zacks Investment Research raised shares of CDK Global from a “sell” rating to a “hold” rating in a research report on Friday, January 11th. BidaskClub raised shares of CDK Global from a “sell” rating to a “hold” rating in a research report on Wednesday, January 2nd. TheStreet lowered shares of CDK Global from a “b-” rating to a “c+” rating in a research report on Wednesday, November 14th. Finally, Barrington Research set a $80.00 price objective on shares of CDK Global and gave the company a “buy” rating in a research report on Tuesday, November 13th. One analyst has rated the stock with a sell rating, four have issued a hold rating and two have assigned a buy rating to the company’s stock. CDK Global has an average rating of “Hold” and a consensus price target of $70.25.

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About CDK Global

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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Earnings History for CDK Global (NASDAQ:CDK)

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