PagerDuty (NYSE:PD) Releases FY 2027 Earnings Guidance

PagerDuty (NYSE:PD) updated its FY 2027 earnings guidance on Thursday morning. The company provided earnings per share (EPS) guidance of 1.230-1.280 for the period, compared to the consensus estimate of 0.850. The company issued revenue guidance of $488.5 million-$496.5 million, compared to the consensus revenue estimate of $506.8 million. PagerDuty also updated its Q1 2027 guidance to 0.230-0.250 EPS.

PagerDuty Stock Down 3.0%

Shares of NYSE PD opened at $7.05 on Friday. The company has a current ratio of 2.37, a quick ratio of 2.37 and a debt-to-equity ratio of 1.23. The business has a 50-day moving average of $9.08 and a 200-day moving average of $12.94. The firm has a market capitalization of $646.96 million, a price-to-earnings ratio of 3.83, a PEG ratio of 1.82 and a beta of 0.73. PagerDuty has a 12 month low of $6.15 and a 12 month high of $19.70.

PagerDuty (NYSE:PD) last announced its earnings results on Thursday, March 12th. The company reported $0.29 earnings per share for the quarter, beating analysts’ consensus estimates of $0.24 by $0.05. PagerDuty had a net margin of 35.30% and a return on equity of 17.01%. The business had revenue of $124.79 million for the quarter, compared to the consensus estimate of $122.96 million. During the same period last year, the firm posted $0.22 earnings per share. PagerDuty’s quarterly revenue was up 2.7% on a year-over-year basis. PagerDuty has set its Q1 2027 guidance at 0.230-0.250 EPS and its FY 2027 guidance at 1.230-1.280 EPS. Sell-side analysts expect that PagerDuty will post -0.27 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

PD has been the topic of several research reports. Craig Hallum cut shares of PagerDuty from a “buy” rating to a “hold” rating and lowered their price objective for the company from $20.00 to $15.00 in a research report on Wednesday, November 26th. Wall Street Zen lowered shares of PagerDuty from a “buy” rating to a “hold” rating in a research report on Saturday. Zacks Research cut PagerDuty from a “strong-buy” rating to a “hold” rating in a research note on Monday, January 26th. Weiss Ratings reaffirmed a “sell (d+)” rating on shares of PagerDuty in a research note on Monday, December 29th. Finally, Truist Financial cut their price objective on PagerDuty from $12.00 to $9.00 and set a “buy” rating for the company in a report on Friday. Three equities research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and three have issued a Sell rating to the company. Based on data from MarketBeat.com, PagerDuty presently has a consensus rating of “Hold” and a consensus price target of $12.40.

Insider Activity

In other PagerDuty news, Director Dan Alexandru Solomon sold 266,667 shares of the stock in a transaction on Tuesday, December 30th. The shares were sold at an average price of $13.35, for a total transaction of $3,560,004.45. Following the completion of the sale, the director owned 2,389,665 shares of the company’s stock, valued at $31,902,027.75. This represents a 10.04% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Corporate insiders own 8.00% of the company’s stock.

PagerDuty News Summary

Here are the key news stories impacting PagerDuty this week:

• Positive Sentiment: Q4 EPS beat and margin progress — PagerDuty reported EPS above consensus and highlighted improved profitability and a full-year EPS guide that tops street estimates, supporting the company’s path to sustained GAAP profitability. PagerDuty Announces Fourth-Quarter and Full-Year Fiscal 2026 Financial Results
• Positive Sentiment: AI/product push — PagerDuty announced expansions to its AI ecosystem and a Spring 2026 platform release, which could drive product-led growth and higher enterprise stickiness if adoption accelerates. PagerDuty Expands AI Ecosystem
• Neutral Sentiment: Analyst support remains mixed — some shops (e.g., TD Cowen, Truist, Canaccord) have kept buy/positive stances even after lowering targets, indicating belief in longer-term upside despite near-term headwinds. TD Cowen/TipRanks Coverage
• Negative Sentiment: Revenue guidance and churn concerns — management guided Q1 and FY revenue below consensus ranges and discussed churn/usage headwinds, which directly hit growth expectations and investor confidence. PagerDuty’s Q4 Sales Beat But Stock Drops
• Negative Sentiment: Multiple price-target cuts and a downgrade — several firms trimmed targets (RBC to $8, TD Cowen to $10, Canaccord/Truist to $9) and William Blair downgraded the name after the quarter, amplifying selling pressure. William Blair Downgrade (Seeking Alpha) TD Cowen PT Cut (StreetInsider) RBC PT Cut (TickerReport)
• Negative Sentiment: Market reaction — shares fell sharply after the print as investors punished the revenue guide and margin/cash-flow signs, reinforcing near-term downside risk. Stock Tumbles on Weak Outlook (Investing.com)

Institutional Trading of PagerDuty

Several large investors have recently modified their holdings of PD. Invesco Ltd. boosted its position in shares of PagerDuty by 24.3% during the fourth quarter. Invesco Ltd. now owns 133,179 shares of the company’s stock valued at $1,746,000 after purchasing an additional 26,000 shares in the last quarter. EP Wealth Advisors LLC bought a new position in PagerDuty in the fourth quarter worth $191,000. XTX Topco Ltd lifted its position in PagerDuty by 713.4% during the fourth quarter. XTX Topco Ltd now owns 223,095 shares of the company’s stock valued at $2,925,000 after buying an additional 195,667 shares during the period. Zacks Investment Management lifted its position in PagerDuty by 44.4% during the fourth quarter. Zacks Investment Management now owns 110,618 shares of the company’s stock valued at $1,450,000 after buying an additional 33,991 shares during the period. Finally, VARCOV Co. bought a new stake in shares of PagerDuty during the 4th quarter valued at $1,357,000. 97.26% of the stock is owned by institutional investors.

About PagerDuty

PagerDuty, Inc engages in the operation of a digital operations management platform in the United States and internationally. The company’s digital operations management platform collects data and digital signals from virtually any software-enabled system or device and leverage machine learning to correlate, process, and predict opportunities and issues. Its platform includes PagerDuty Incident Management that provides a real-time view across the status of a digital service while incorporating noise reduction to remove false positives; AIOps that applies machine learning to correlate and automate the identification of incidents from billions of events; Process Automation offers centralized design time and run time environment for orchestrating automated workflows that span across departments, technologies, and networks; Customer Service Operations, which is offered to orchestrate, automate, and scale responses to customer impacting issues.