Pembroke Management LTD Reduces Stake in Vertex, Inc. (NASDAQ:VERX)

Pembroke Management LTD has reduced its stake in Vertex, Inc. (NASDAQ:VERX) by 2.6% during the third quarter. According to the latest Form 13F filing with the Securities and Exchange Commission, Pembroke now owns 822,401 shares after selling 22,218 shares during the quarter.

Vertex represents roughly 4.1% of Pembroke's total investment portfolio, positioning it as the firm's sixth largest holding. As of the close of the most recent reporting period, the total value of Pembroke's investment in Vertex was approximately $31,671,000, accounting for 0.53% of the company's outstanding shares.

Investors Buying and Selling Vertex

Other significant institutional investors have also made adjustments to their positions in Vertex. For example, Banque Pictet & Cie SA increased its stake by an impressive 551.9% in the second quarter, now holding 949,540 shares valued at around $34,231,000 after acquiring an additional 803,881 shares. Driehaus Capital Management LLC also entered a new investment in Vertex, worth about $22,173,000 during the same quarter.

Allspring Global Investments Holdings LLC and Mizuho Markets Americas LLC purchased new positions in Vertex worth approximately $12,043,000 and $12,402,000, respectively, in 2022. Additionally, Banco Santander S.A. joined the list of investors buying shares in the second quarter, with a new stake valued at roughly $10,738,000. Currently, institutional investors and hedge funds collectively own about 59.10% of Vertex's stock.

Recent Analyst Ratings

Vertex has been under scrutiny from various analysts recently. Robert W. Baird initiated coverage on Vertex, providing an "outperform" rating with a target price of $43.00. JMP Securities increased their target from $42.00 to $47.00 while maintaining a "market outperform" rating.

Baird also upgraded Vertex to a "strong-buy" rating. The stock has a broad range of analyst opinions, where four analysts recommend holding the stock while seven suggest buying, and one advises a strong buy. According to MarketBeat, the stock currently holds an average rating of "Moderate Buy" with a target price of $37.30.

Insider Trading Activity

In other news, insider transactions have also occurred recently. An individual from the Item Second Irr. Trust, known as Fbo Jac, sold 49,114 shares on October 9th at an average of $41.31, resulting in total proceeds of approximately $2,028,899.34. Post-transaction, this insider owns about 1,067,852 shares valued at around $44,112,966.12, which shows no change in their stake percentage.

Additionally, Chief Financial Officer John R. Schwab sold 25,000 shares on August 22nd for an estimated $895,250. Following this sale, Schwab holds 53,104 shares, worth approximately $1,901,654.24, indicating a negligible reduction in their ownership. Overall, insiders have sold 1,629,244 shares valued at roughly $64,039,589 over the past three months, with corporate insiders owning 44.58% of Vertex’s stock.

Vertex Stock Performance Overview

As of the latest trading session, Vertex shares opened at $42.17. The company exhibits solid financial ratios with a current ratio and quick ratio of 1.17, and a debt-to-equity ratio of 1.43. Its stock performance reflects a fifty-day simple moving average of $39.16 and a two-hundred-day average of $36.00, alongside a market capitalization of $6.56 billion. The price-to-earnings ratio stands at 351.42, while the price-to-earnings-growth ratio is noted at 11.86, with a beta of 0.67. Vertex has experienced a range between a 12-month low of $21.92 and a high of $43.33.

Vertex's latest quarterly earnings release on August 7th reported earnings per share of $0.15, surpassing analysts' predictions of $0.13. The company generated revenue of $161.10 million for the quarter, slightly above the estimated $160.66 million. Compared to the previous year, Vertex's revenue increased by 15.3%, highlighting a robust upward trajectory. Analysts expect Vertex to earn $0.34 per share in the current fiscal year.

Company Profile of Vertex, Inc.

Vertex, Inc. specializes in offering enterprise tax technology solutions to sectors including retail, wholesale, and manufacturing both in the United States and globally. The company’s offerings include tax determination, compliance, reporting, data management, document management, analytics, and more, along with industry-specific solutions.<\/p>Pembroke, Vertex, Investors