CDK Global Inc (NASDAQ:CDK) Short Interest Up 24.5% in January
CDK Global Inc (NASDAQ:CDK) was the target of a significant increase in short interest in January. As of January 31st, there was short interest totalling 3,300,000 shares, an increase of 24.5% from the January 15th total of 2,650,000 shares. Currently, 2.7% of the company’s shares are short sold. Based on an average daily volume of 678,400 shares, the days-to-cover ratio is currently 4.9 days.
In other CDK Global news, General Counsel Lee J. Brunz sold 1,000 shares of CDK Global stock in a transaction that occurred on Monday, December 16th. The stock was sold at an average price of $55.32, for a total value of $55,320.00. Following the completion of the sale, the general counsel now directly owns 41,569 shares in the company, valued at $2,299,597.08. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Insiders own 0.36% of the company’s stock.
A number of institutional investors have recently made changes to their positions in the business. BBVA USA Bancshares Inc. purchased a new position in shares of CDK Global during the fourth quarter valued at approximately $30,000. AdvisorNet Financial Inc boosted its position in shares of CDK Global by 73.9% during the third quarter. AdvisorNet Financial Inc now owns 654 shares of the software maker’s stock valued at $31,000 after buying an additional 278 shares during the last quarter. Clean Yield Group boosted its position in shares of CDK Global by 277.8% during the fourth quarter. Clean Yield Group now owns 646 shares of the software maker’s stock valued at $35,000 after buying an additional 475 shares during the last quarter. Northwest Investment Counselors LLC purchased a new position in shares of CDK Global during the third quarter valued at approximately $37,000. Finally, S.A. Mason LLC purchased a new position in shares of CDK Global during the fourth quarter valued at approximately $50,000. 81.89% of the stock is owned by hedge funds and other institutional investors.
CDK Global (NASDAQ:CDK) last announced its quarterly earnings data on Tuesday, February 4th. The software maker reported $0.80 EPS for the quarter, meeting the Zacks’ consensus estimate of $0.80. CDK Global had a negative return on equity of 63.55% and a net margin of 2.36%. The firm had revenue of $499.60 million during the quarter, compared to analysts’ expectations of $493.00 million. During the same quarter last year, the firm posted $0.83 earnings per share. The company’s revenue for the quarter was up 4.4% compared to the same quarter last year. As a group, analysts expect that CDK Global will post 3.23 earnings per share for the current fiscal year.
CDK has been the subject of a number of research analyst reports. BidaskClub downgraded CDK Global from a “buy” rating to a “hold” rating in a report on Thursday, January 23rd. Wells Fargo & Co upgraded CDK Global from an “equal weight” rating to an “overweight” rating and set a $65.00 target price for the company in a report on Thursday, January 9th. Morgan Stanley initiated coverage on CDK Global in a report on Thursday, December 5th. They issued an “equal weight” rating and a $57.00 target price for the company. Zacks Investment Research upgraded CDK Global from a “hold” rating to a “buy” rating and set a $62.00 target price for the company in a report on Tuesday, January 7th. Finally, ValuEngine raised CDK Global from a “sell” rating to a “hold” rating in a research note on Thursday, February 6th. Three equities research analysts have rated the stock with a hold rating and three have given a buy rating to the company. The stock currently has a consensus rating of “Buy” and a consensus price target of $62.25.
About CDK Global
CDK Global, Inc provides software and technology solutions for automotive retailers in the United States and internationally. The company operates through Retail Solutions North America, Advertising North America, and CDK International segments. The company offers Dealer Management System (DMS), a portfolio of layered software applications and services for automotive retailers, original equipment manufacturers (OEMs), consumers, and other industry participants manage the acquisition, sale, financing, insuring, parts supply, and repair and maintenance of vehicles.
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