Informatica (NYSE:INFA) Issues Quarterly Earnings Results, Misses Estimates By $0.17 EPS

Informatica (NYSE:INFA) posted 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. The firm had revenue of $428.31 million for the quarter, compared to analysts’ expectations of $457.55 million. Informatica had a return on equity of 5.29% and a net margin of 3.89%. Informatica updated its FY 2025 guidance to EPS and its Q1 2025 guidance to EPS.

Informatica Price Performance

Shares of INFA traded down $5.59 during mid-day trading on Friday, reaching $19.59. 27,929,388 shares of the company’s stock were exchanged, compared to its average volume of 1,038,936. The company has a quick ratio of 2.17, a current ratio of 2.17 and a debt-to-equity ratio of 0.75. The company has a 50-day simple moving average of $25.65 and a two-hundred day simple moving average of $25.46. Informatica has a 52-week low of $16.37 and a 52-week high of $39.80. The company has a market cap of $5.98 billion, a price-to-earnings ratio of 93.27, a PEG ratio of 3.65 and a beta of 0.99.

Wall Street Analysts Forecast Growth

INFA has been the subject of several analyst reports. Cantor Fitzgerald initiated coverage on shares of Informatica in a report on Friday, January 17th. They set a “neutral” rating and a $29.00 price target for the company. The Goldman Sachs Group cut shares of Informatica from a “buy” rating to a “neutral” rating in a report on Friday. Baird R W cut shares of Informatica from a “strong-buy” rating to a “hold” rating in a report on Friday. Wells Fargo & Company reissued an “equal weight” rating and set a $19.00 price target (down from $34.00) on shares of Informatica in a report on Friday. Finally, Truist Financial reissued a “buy” rating and set a $24.00 price target (down from $34.00) on shares of Informatica in a report on Friday. Eleven investment analysts have rated the stock with a hold rating and three have given a buy rating to the company. According to data from MarketBeat, Informatica has an average rating of “Hold” and an average price target of $26.17.

Informatica declared that its Board of Directors has authorized a share buyback program on Wednesday, October 30th that allows the company to buyback $400.00 million in shares. This buyback authorization allows the technology company to purchase up to 5.1% of its shares through open market purchases. Shares buyback programs are often an indication that the company’s board of directors believes its stock is undervalued.

Insider Transactions at Informatica

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

About Informatica

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.