Zacks Investment Research Upgrades CBIZ to “Strong-Buy”

Cleveland-based CBIZ (FY16 net revenue of $661 million) was upgraded by Zacks Investment Research from a “hold” rating to a “strong-buy” rating. The firm currently has a $17 target price on the business services provider’s stock. Zacks Investment Research’s price objective points to a potential upside of 14.48% from the stock’s current price.

CBIZ last announced its quarterly earnings results on Aug. 3, reporting $0.20 earnings per share for the quarter, topping analysts’ consensus estimates of $0.18 by $0.02. The company had revenue of $211 million for the quarter, compared to analysts’ expectations of $207.42 million. CBIZ had a net margin of 5.54% and a return on equity of 9.59%. The business’s quarterly revenue was up 7.1% compared to the same quarter last year.

Institutional investors have recently made changes to their positions in the company.

  • First Manhattan Co. boosted its position in shares of CBIZ by 4.2% in the first quarter, now owning 2,884,455 shares of stock worth $32.3 million.
  • P2 Capital Partners LLC upped its position in shares of CBIZ by 67.6% in the first quarter. They now own 2,361,073 shares of stock worth $32 million.
  • Vanguard Group Inc. boosted its stake in CBIZ by 6.9% in the first quarter. They now own 2,194,818 shares stock valued at $29.74 million.
  • State Street Corp boosted its stake in CBIZ by 12.0% in the fourth quarter. Now owning 896,848 shares of the business services provider’s stock valued at $12.3 million.
  • Norges Bank bought a new stake in CBIZ during the fourth quarter valued at approximately $10 million.
  • 84.97% of the stock is currently owned by institutional investors.