Informatica (NYSE:INFA) Posts Quarterly Earnings Results, Misses Expectations By $0.17 EPS

Informatica (NYSE:INFA) announced its quarterly earnings results on Thursday. The technology company reported $0.21 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.38 by ($0.17), Zacks reports. Informatica had a net margin of 3.89% and a return on equity of 5.29%. Informatica updated its FY 2025 guidance to EPS and its Q1 2025 guidance to EPS.

Informatica Trading Down 30.6 %

Shares of NYSE:INFA traded down $7.69 during midday trading on Friday, hitting $17.48. 4,360,092 shares of the stock were exchanged, compared to its average volume of 1,314,058. The stock has a market capitalization of $5.34 billion, a price-to-earnings ratio of 82.60, a P/E/G ratio of 3.65 and a beta of 0.99. The company has a debt-to-equity ratio of 0.75, a quick ratio of 2.17 and a current ratio of 2.17. The business’s 50-day moving average price is $25.84 and its 200 day moving average price is $25.50. Informatica has a 12 month low of $16.37 and a 12 month high of $39.80.

Insider Transactions at Informatica

In related news, EVP John Arthur Schweitzer sold 10,734 shares of Informatica stock in a transaction that occurred on Monday, December 16th. The stock was sold at an average price of $27.05, for a total value of $290,354.70. Following the transaction, the executive vice president now directly owns 353,778 shares of the company’s stock, valued at $9,569,694.90. The trade was a 2.94 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CAO Mark Pellowski sold 10,035 shares of Informatica stock in a transaction that occurred on Monday, December 16th. The stock was sold at an average price of $27.06, for a total value of $271,547.10. Following the completion of the transaction, the chief accounting officer now directly owns 138,477 shares in the company, valued at approximately $3,747,187.62. This represents a 6.76 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Company insiders own 48.10% of the company’s stock.

Informatica announced that its board has authorized a stock buyback program on Wednesday, October 30th that permits the company to buyback $400.00 million in outstanding shares. This buyback authorization permits the technology company to repurchase up to 5.1% of its stock through open market purchases. Stock buyback programs are usually an indication that the company’s management believes its stock is undervalued.

Wall Street Analysts Forecast Growth

INFA has been the subject of a number of research reports. JPMorgan Chase & Co. dropped their target price on Informatica from $38.00 to $34.00 and set an “overweight” rating for the company in a report on Friday, October 25th. Royal Bank of Canada cut Informatica from an “outperform” rating to a “sector perform” rating and decreased their price target for the stock from $35.00 to $19.00 in a research report on Friday. Guggenheim restated a “buy” rating and issued a $37.00 price target on shares of Informatica in a research report on Friday, January 31st. Robert W. Baird reiterated a “neutral” rating and issued a $19.00 target price (down previously from $35.00) on shares of Informatica in a research report on Friday. Finally, Cantor Fitzgerald initiated coverage on Informatica in a research report on Friday, January 17th. They issued a “neutral” rating and a $29.00 target price on the stock. Nine analysts have rated the stock with a hold rating and four have issued a buy rating to the stock. According to MarketBeat.com, Informatica currently has an average rating of “Hold” and an average price target of $27.92.

Informatica Company Profile

Informatica Inc develops an artificial intelligence-powered platform that connects, manages, and unifies data across multi-vendor, multi-cloud, and hybrid systems at enterprise scale worldwide. Its platform includes a suite of interoperable data management products, including data integration products to ingest, transform, and integrate data; API and application integration products that enable users to create and manage APIs and integration processes for app-to-app synchronization, business process orchestration, B2B partner management, application development, and API management; data quality and observability products to profile, cleanse, standardize, observe, and monitor data to deliver accurate, complete, and consistent data; and master data management products to create an authoritative single source of truth of business-critical data.