Endava downgraded to Neutral from Overweight at JPMorgan

JPMorgan downgraded Endava (DAVA) to Neutral from Overweight with an unchanged price target of $18. The firm cites the company’s “disappointing” results and guidance cut last week for the downgrade. Endava has been experiencing growth headwinds at Payments clients for about two years, which, combined with its frequent guidance cuts, has pushed the stock to its all time low multiple, the analyst tells investors in a research note. JPMorgan does not expect further valuation deterioration from here, but sees a lack of near term catalysts for the shares.