Amdocs (DOX) Margin Improvement Supports Bullish Narrative Despite Modest Revenue Growth
Amdocs recently concluded FY 2025 with $1.2 billion in Q4 revenue and $0.88 EPS, showcasing a shift towards profitability over top-line growth, with net profit margin improving to 12.5%. While EPS rebounded by 14.5% year-over-year, its five-year trend remains negative, leading to differing bullish and bearish valuation perspectives. The company trades at a P/E of 15.2x, below peers, with a DCF fair value significantly higher than its current share price, yet slower forecast growth and client concentration raise concerns.
https://simplywall.st/stocks/us/software/nasdaq-dox/amdocs/news/amdocs-dox-margin-improvement-supports-bullish-narrative-des/amp