Magic Software Enterprises (NASDAQ:MGIC) Shares Gap Up – Should You Buy?

Magic Software Enterprises Ltd. (NASDAQ:MGIC) gapped up prior to trading on Tuesday . The stock had previously closed at $12.85, but opened at $13.88. Magic Software Enterprises shares last traded at $13.96, with a volume of 74,892 shares traded.

Analyst Ratings Changes

A number of analysts have recently issued reports on MGIC shares. William Blair cut shares of Magic Software Enterprises from an “outperform” rating to a “market perform” rating in a research note on Wednesday. Barclays raised their target price on shares of Magic Software Enterprises from $14.00 to $15.00 and gave the company an “overweight” rating in a research note on Tuesday, November 19th. Finally, StockNews.com cut shares of Magic Software Enterprises from a “strong-buy” rating to a “buy” rating in a research note on Wednesday, February 26th.

Magic Software Enterprises Stock Up 4.5 %

The firm has a market capitalization of $686.90 million, a PE ratio of 19.99 and a beta of 1.11. The business’s 50 day simple moving average is $12.58 and its 200 day simple moving average is $11.84. The company has a current ratio of 1.76, a quick ratio of 1.76 and a debt-to-equity ratio of 0.13.

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

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. IFP Advisors Inc raised its stake in shares of Magic Software Enterprises by 100.0% during 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. Barclays PLC boosted its holdings 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 worth $69,000 after buying an additional 5,685 shares in the last quarter. Public Employees Retirement System of Ohio purchased a new stake in Magic Software Enterprises during the third quarter worth $115,000. Altshuler Shaham Ltd purchased a new position in Magic Software Enterprises during the fourth quarter valued at $138,000. Finally, Man Group plc purchased a new position in Magic Software Enterprises during the fourth quarter valued at $145,000. Institutional investors own 24.70% of the company’s stock.

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.