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Pitney Bowes Inc. (PBI) Soars to 52-Week High, Time to Cash Out?

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A strong stock as of late has been Pitney Bowes (PBI - Free Report) . Shares have been marching higher, with the stock up 6.8% over the past month. The stock hit a new 52-week high of $11.01 in the previous session. Pitney Bowes has gained 51.1% since the start of the year compared to the 5.5% gain for the Zacks Computer and Technology sector and the 51.1% return for the Zacks Office Automation and Equipment industry.

What's Driving the Outperformance?

The stock has a great record of positive earnings surprises, having beaten the Zacks Consensus Estimate in each of the last four quarters. In its last earnings report on May 7, 2025, Pitney Bowes reported EPS of $0.33 versus consensus estimate of $0.28.

For the current fiscal year, Pitney Bowes is expected to post earnings of $1.25 per share on $1.97 in revenues. This represents a 52.44% change in EPS on a -25.28% change in revenues. For the next fiscal year, the company is expected to earn $1.34 per share on $1.98 in revenues. This represents a year-over-year change of 7.2% and 0.41%, respectively.

Valuation Metrics

While Pitney Bowes has moved to its 52-week high in the recent past, investors need to be asking, what is next for the company? A key aspect of this question is taking a look at valuation metrics in order to determine if the company is due for a pullback from this level.

On this front, we can look at the Zacks Style Scores, as they provide investors with an additional way to sort through stocks (beyond looking at the Zacks Rank of a security). The individual style scores for Value, Growth, Momentum and the combined VGM Score run from A through F. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style.

Pitney Bowes has a Value Score of A. The stock's Growth and Momentum Scores are B and F, respectively, giving the company a VGM Score of B.

In terms of its value breakdown, the stock currently trades at 8.8X current fiscal year EPS estimates, which is not in-line with the peer industry average of 11.3X. On a trailing cash flow basis, the stock currently trades at 6.9X versus its peer group's average of 6.3X. Additionally, the stock has a PEG ratio of 0.58. This is good enough to put the company in the top echelon of all stocks we cover from a value perspective, making Pitney Bowes an interesting choice for value investors.

Zacks Rank

We also need to consider the stock's Zacks Rank, as this supersedes any trend on the style score front. Fortunately, Pitney Bowes currently has a Zacks Rank of #2 (Buy) thanks to a solid earnings estimate revision trend.

Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Pitney Bowes fits the bill. Thus, it seems as though Pitney Bowes shares could have potential in the weeks and months to come.


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