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DOX:NASDAQAmdocs Limited Analysis

Data as of 2026-03-29 - not real-time

$64.32

Latest Price

5/10Risk

Risk Level: Medium

Executive Summary

Amdocs is trading below its 20‑day and 50‑day moving averages and well under its 200‑day average, while the RSI sits in the mid‑30s indicating oversold conditions. The MACD histogram has turned positive, delivering a bullish signal despite a broader bearish price trend. Volume is on an increasing trajectory, suggesting renewed buying interest, yet the 30‑day volatility remains elevated. DCF analysis points to a fair‑value level substantially higher than the current price, implying roughly 40% upside potential. The PE multiple is less than half of the industry average, reinforcing the case that the stock is undervalued. A dividend yield above 3% coupled with a payout ratio near 40% supports the sustainability of income.
Recent product announcements, including the eSIM Cloud ecosystem and AI‑driven customer engagement solutions, broaden Amdocs’ addressable market and align with telecom operators’ push toward AI and digital services. Analyst consensus remains a buy with median price targets near the high‑90s, reflecting confidence in both growth prospects and value upside. The combination of attractive valuation, solid cash flow generation, and expanding solution portfolio positions DOX as a compelling opportunity across multiple horizons.

Market Outlook

Short Term

< 1 year
Positive
Model confidence: 6/10

Key Factors

  • Technical oversold signal with RSI in the mid‑30s
  • Bullish MACD histogram reversal
  • Attractive dividend yield and sustainable payout

Medium Term

1–3 years
Positive
Model confidence: 8/10

Key Factors

  • Undervaluation relative to peers and DCF upside
  • Revenue growth driven by new AI and eSIM solutions
  • Positive analyst consensus and target price median near 92

Long Term

> 3 years
Positive
Model confidence: 9/10

Key Factors

  • Strategic positioning in AI‑enabled telecom software
  • Strong free cash flow and low leverage
  • Sustainable dividend and long‑term market tailwinds

Key Metrics & Analysis

Financial Health

Revenue Growth4.10%
Profit Margin12.47%
P/E Ratio12.4
ROE16.48%
ROA8.16%
Debt/Equity27.48
P/B Ratio2.0
Op. Cash Flow$863.7M
Free Cash Flow$597.8M
Industry P/E32.0

Technical Analysis

TrendBearish
RSI36.6
Support$63.33
Resistance$70.35
MA 20$66.60
MA 50$71.76
MA 200$81.12
MACDBullish
VolumeIncreasing
Fear & Greed Index65.98

Valuation

Fair Value$81.31
Target Price$90.57
Upside/Downside40.81%
GradeUndervalued
TypeBlend
Dividend Yield3.54%

Risk Assessment

Beta0.65
Volatility30.11%
Sector RiskMedium
Reg. RiskMedium
Geo RiskLow
Currency RiskLow
Liquidity RiskLow

This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.