Analyst Ratings for CDK Global Inc. (CDK)Updated: 2017-07-27
Shares of CDK Global Inc. (NASDAQ:CDK) have received a consensus rating of Overweight from Wall Street analysts. CDK had previously received a consensus rating of Overweight a month ago.
Of the 6 analysts covering the stock, 4 gave it a buy rating, 0 issued an overweight rating, 2 issued a hold rating, 0 issued an underweight rating, and 0 gave a sell rating. Compared to three months ago, there has been an increase of 2 in the number of analysts with a positive outlook on the stock. Meanwhile, the number of analysts pessimistic about the company has increased by 0.
CDK was given price targets by several analysts. The most optimistic analyst gave a price target of 75, which equates to a potential upside of 13.31 percent. The most pessimistic analyst gave a price target of 70, which equates to a potential downside of 5.76 percent. Note that investment analysts can be biased in their reporting on companies's ratings and price targets.
In the last 30 days, analysts have changed their quarterly earnings estimates upwards by an average of 0 percent. That number becomes -5.26 percent if we expand the time horizon to include the past 3 months instead of just one. On the other hand, earnings estimates for the fiscal year have been revised upwards by 0 percent, as compared to a month ago. Expanding the time horizon to 3 months, the average change in fiscal year estimates becomes 2.32 percent.
Investors like to see analysts making revisions in the same direction, as that raises confidence in the revisions. 0 analysts made positive revisions to their quarterly estimates over the past month, while 0 analysts made negative revisions. Also over the last month, 0 analysts increased their estimates for the FY earnings, while 0 analysts decreased their estimates.
CDK has an estimated earnings growth rate of 48.37 percent as forecasted by analysts. Another measure frequently examined by investors is the PEG ratio. A lower PEG ratio is favorable, because that is often interpreted as the company being fairly priced relative to its growth rate. Many investors consider PEG ratios between 0 and 1 as preferrable, although it is frequently more appropriate to compare PEG ratios to the company's peers. The PEG ratio of CDK is 0.7.
CDK has a 52-week high of 67.49 and a 52-week low of 53.46. The current market price is above the trailing year's low by 23.81 percent, and below the high by 1.93 percent. CDK has a price/earnings ratio of 33.77. Investors typically compare the P/E ratio to a company's peers in the industry. The CDK value stock report compares CDK to some of its peers using value stock charts. The stock has a market capitalization of $9.61 billion. CDK's next earnings release will be on 0000-00-00, which is days away.