Dayforce’s (DAY) largest investor, T. Rowe Price (TROW), will not vote for the buyout of the HR software firm. Thoma Bravo had proposed a $12.3 billion buyout, but T. Rowe Price believes the company has a promising future. Thus, at Dayforce’s upcoming special meeting of stockholders, to be held on November 12, the investor will vote against the proposed acquisition.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
T. Rowe Price, calling Dayforce “one of the software industry’s standout success stories,” said that the forces acting on the company now are temporary, and don’t warrant selling DAY at a low valuation. The investor thinks the unfair pessimism about the software sector, and the focus on current metrics, fail to allow Dayforce’s underlying strength to shine through. In fact, T. Rowe thinks the business will meet its target of $1 billion of annual free cash flow over the next several years.
Is Dayforce Stock a Good Buy?
According to TipRanks, DAY stock has received a Hold consensus rating based on 1 Buy and 12 Holds assigned in the last three months. The average price target for Dayforce is $70.00, suggesting an upside of 1.46% from its current price.
