Virtusa Corporation (NASDAQ:VRTU) Expected to Announce Earnings of $0.16 Per Share

Equities analysts forecast that Virtusa Corporation (NASDAQ:VRTU) will post earnings per share of $0.16 for the current fiscal quarter, Zacks reports. Five analysts have provided estimates for Virtusa Corporation’s earnings. The highest EPS estimate is $0.16 and the lowest is $0.15. Virtusa Corporation posted earnings of ($0.01) per share in the same quarter last year, which would suggest a positive year over year growth rate of 1,700%. The business is expected to issue its next earnings results on Tuesday, August 8th.

According to Zacks, analysts expect that Virtusa Corporation will report full-year earnings of $1.10 per share for the current financial year, with EPS estimates ranging from $1.08 to $1.12. For the next fiscal year, analysts forecast that the firm will post earnings of $1.51 per share. Zacks’ EPS averages are an average based on a survey of sell-side research firms that follow Virtusa Corporation.

Virtusa Corporation (NASDAQ:VRTU) last released its quarterly earnings results on Tuesday, May 16th. The information technology services provider reported $0.43 earnings per share for the quarter, missing the consensus estimate of $0.45 by $0.02. The company had revenue of $226 million during the quarter, compared to the consensus estimate of $226.67 million. Virtusa Corporation had a net margin of 1.38% and a return on equity of 3.50%. The business’s revenue was up 31.5% on a year-over-year basis. During the same quarter last year, the firm earned $0.55 EPS.

A number of research firms have weighed in on VRTU. BidaskClub upgraded Virtusa Corporation from a “hold” rating to a “buy” rating in a research note on Sunday, July 16th. ValuEngine upgraded Virtusa Corporation from a “sell” rating to a “hold” rating in a research note on Tuesday, June 27th. Zacks Investment Research upgraded Virtusa Corporation from a “hold” rating to a “buy” rating and set a $36.00 target price on the stock in a research note on Wednesday. Barrington Research set a $35.00 target price on Virtusa Corporation and gave the stock a “buy” rating in a research note on Thursday, May 25th. Finally, SunTrust Banks, Inc. set a $32.00 target price on Virtusa Corporation and gave the stock a “buy” rating in a research note on Friday, May 19th. Three investment analysts have rated the stock with a hold rating and eight have issued a buy rating to the stock. The company presently has an average rating of “Buy” and a consensus target price of $34.63.

Virtusa Corporation (VRTU) traded up 0.88% during mid-day trading on Thursday, reaching $33.35. 154,467 shares of the company traded hands. The firm has a market capitalization of $1.00 billion, a P/E ratio of 85.51 and a beta of 1.69. The company’s 50 day moving average price is $29.94 and its 200 day moving average price is $29.24. Virtusa Corporation has a 12-month low of $18.03 and a 12-month high of $34.92.

Virtusa Corporation declared that its board has initiated a share repurchase program on Wednesday, May 3rd that permits the company to buyback $30.00 million in outstanding shares. This buyback authorization permits the information technology services provider to reacquire up to 3.3% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s management believes its shares are undervalued.

In other news, CEO Kris A. Canekeratne sold 26,000 shares of the stock in a transaction on Monday, June 12th. The stock was sold at an average price of $28.63, for a total transaction of $744,380.00. Following the transaction, the chief executive officer now owns 619,920 shares of the company’s stock, valued at approximately $17,748,309.60. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, EVP Thomas R. Holler sold 29,873 shares of the stock in a transaction on Friday, May 19th. The stock was sold at an average price of $28.00, for a total value of $836,444.00. Following the transaction, the executive vice president now directly owns 45,716 shares in the company, valued at approximately $1,280,048. The disclosure for this sale can be found here. Insiders have sold a total of 154,115 shares of company stock worth $4,414,506 in the last three months. Corporate insiders own 9.92% of the company’s stock.

Several institutional investors have recently bought and sold shares of VRTU. BlackRock Inc. increased its position in Virtusa Corporation by 120,287.9% in the first quarter. BlackRock Inc. now owns 3,341,967 shares of the information technology services provider’s stock worth $100,993,000 after buying an additional 3,339,191 shares during the last quarter. Morgan Stanley increased its position in Virtusa Corporation by 548.1% in the first quarter. Morgan Stanley now owns 560,515 shares of the information technology services provider’s stock worth $16,938,000 after buying an additional 474,032 shares during the last quarter. Neumeier Poma Investment Counsel LLC purchased a new position in Virtusa Corporation during the first quarter worth about $7,699,000. Frontier Capital Management Co. LLC increased its position in Virtusa Corporation by 38.1% in the first quarter. Frontier Capital Management Co. LLC now owns 859,185 shares of the information technology services provider’s stock worth $25,965,000 after buying an additional 237,129 shares during the last quarter. Finally, Wellington Management Group LLP purchased a new position in Virtusa Corporation during the first quarter worth about $7,003,000. 91.98% of the stock is currently owned by institutional investors and hedge funds.

About Virtusa Corporation

Virtusa Corporation (Virtusa) is an information technology services company. The Company’s services include information technology (IT) and business consulting, digital enablement services, user experience (UX) design, development of IT applications, maintenance and support services, systems integration, infrastructure and managed services.

Get a free copy of the Zacks research report on Virtusa Corporation (VRTU)

For more information about research offerings from Zacks Investment Research, visit Zacks.com