Magic Software Enterprises Ltd. (NASDAQ:MGIC) Sees Significant Growth in Short Interest

Magic Software Enterprises Ltd. (NASDAQ:MGIC) was the recipient of a significant increase in short interest during the month of March. As of March 15th, there was short interest totalling 192,000 shares, an increase of 113.3% from the February 28th total of 90,000 shares. Based on an average trading volume of 69,400 shares, the short-interest ratio is currently 2.8 days. Approximately 1.0% of the company’s stock are sold short.

Analyst Ratings Changes

Several research analysts have issued reports on the stock. Barclays lifted their target price on shares of Magic Software Enterprises from $15.00 to $16.00 and gave the stock an “overweight” rating in a report on Thursday, March 13th. StockNews.com raised Magic Software Enterprises from a “buy” rating to a “strong-buy” rating in a research report on Thursday, March 13th. Finally, William Blair downgraded Magic Software Enterprises from an “outperform” rating to a “market perform” rating in a research note on Wednesday, March 12th.

Magic Software Enterprises Stock Performance

NASDAQ:MGIC traded down $0.22 during mid-day trading on Friday, reaching $12.95. The company’s stock had a trading volume of 34,460 shares, compared to its average volume of 56,458. The company has a current ratio of 1.76, a quick ratio of 1.76 and a debt-to-equity ratio of 0.13. The stock has a market cap of $635.83 million, a P/E ratio of 18.50 and a beta of 1.11. The firm’s fifty day moving average price is $12.94 and its two-hundred day moving average price is $12.07. Magic Software Enterprises has a 12-month low of $9.51 and a 12-month high of $14.24.

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

Magic Software Enterprises Increases Dividend

The company also recently announced a semi-annual dividend, which will be paid on Wednesday, May 7th. Shareholders of record on Tuesday, April 22nd will be given a $0.327 dividend. This represents a yield of 4.6%. This is a boost from Magic Software Enterprises’s previous semi-annual dividend of $0.24. The ex-dividend date is Tuesday, April 22nd. Magic Software Enterprises’s dividend payout ratio (DPR) is presently 86.67%.

Institutional Investors Weigh In On Magic Software Enterprises

Large investors have recently made changes to their positions in the company. Tidal Investments LLC boosted its holdings in shares of 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 during the last quarter. IFP Advisors Inc grew its position 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 valued at $48,000 after acquiring an additional 2,000 shares during the period. Geode Capital Management LLC increased its stake in shares of Magic Software Enterprises by 4.7% in 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 in the last quarter. Barclays PLC raised its holdings in Magic Software Enterprises by 4,274.4% in the 3rd quarter. Barclays PLC now owns 5,818 shares of the software maker’s stock worth $69,000 after purchasing an additional 5,685 shares during the period. Finally, Lazard Asset Management LLC lifted its position in Magic Software Enterprises by 45.5% during 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 in the last quarter. 24.70% of the stock is currently owned by institutional investors.

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.