Magic Software Enterprises (NASDAQ:MGIC) Share Price Passes Above 200 Day Moving Average – Should You Sell?

Shares of Magic Software Enterprises Ltd. (NASDAQ:MGIC) crossed above its two hundred day moving average during trading on Monday . The stock has a two hundred day moving average of $12.10 and traded as high as $13.00. Magic Software Enterprises shares last traded at $12.99, with a volume of 98,792 shares.

Analysts Set New Price Targets

MGIC has been the subject of a number of recent analyst reports. StockNews.com upgraded Magic Software Enterprises from a “buy” rating to a “strong-buy” rating in a report on Thursday, March 13th. William Blair cut shares of Magic Software Enterprises from an “outperform” rating to a “market perform” rating in a report on Wednesday, March 12th. Finally, Barclays raised their price target on shares of Magic Software Enterprises from $15.00 to $16.00 and gave the stock an “overweight” rating in a research note on Thursday, March 13th.

Magic Software Enterprises Stock Performance

The firm has a 50 day moving average of $12.96 and a 200-day moving average of $12.11. The company has a market cap of $658.91 million, a P/E ratio of 19.17 and a beta of 1.11. The company has a quick ratio of 1.76, a current ratio of 1.76 and a debt-to-equity ratio of 0.13.

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 firm had revenue of $142.58 million for the quarter, compared to the consensus estimate of $137.00 million. Magic Software Enterprises had a return on equity of 15.42% and a net margin of 6.49%. As a group, sell-side analysts anticipate that Magic Software Enterprises Ltd. will post 0.95 EPS for the current fiscal year.

Magic Software Enterprises Increases Dividend

The firm also recently declared a semi-annual dividend, which will be paid on Wednesday, May 7th. Stockholders of record on Tuesday, April 22nd will be issued a $0.327 dividend. The ex-dividend date is Tuesday, April 22nd. This represents a dividend yield of 4.6%. This is a positive change from Magic Software Enterprises’s previous semi-annual dividend of $0.24. Magic Software Enterprises’s payout ratio is currently 86.67%.

Hedge Funds Weigh In On Magic Software Enterprises

A number of hedge funds and other institutional investors have recently modified their holdings of the business. Tidal Investments LLC raised its stake 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 buying an additional 1,278 shares in the last quarter. IFP Advisors Inc raised its position in shares of Magic Software Enterprises by 100.0% in the 4th quarter. IFP Advisors Inc now owns 4,000 shares of the software maker’s stock worth $48,000 after acquiring an additional 2,000 shares in the last quarter. Geode Capital Management LLC lifted its stake in shares of Magic Software Enterprises by 4.7% during the 4th quarter. Geode Capital Management LLC now owns 58,105 shares of the software maker’s stock worth $699,000 after purchasing an additional 2,587 shares during the last quarter. Barclays PLC boosted its position in Magic Software Enterprises by 4,274.4% during the third quarter. Barclays PLC now owns 5,818 shares of the software maker’s stock valued at $69,000 after purchasing an additional 5,685 shares in the last quarter. Finally, Lazard Asset Management LLC grew its stake in Magic Software Enterprises by 45.5% in the fourth quarter. Lazard Asset Management LLC now owns 18,795 shares of the software maker’s stock valued at $226,000 after purchasing an additional 5,878 shares during the last quarter. 24.70% of the stock is currently owned by institutional investors.

Magic Software Enterprises Company Profile

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.