Pzena bets $77M more on Amdocs as stock sinks 36%
What's the deal? Richard Pzena's investment firm added 1,519,670 shares of AmdocsDealroom has a profile for this one. Try Dealroom → Ltd on June 30, 2026, at $50.54 apiece — roughly $77 million. The purchase lifts its total holding to 14,200,759 shares, making Amdocs 13.20% of the firm's portfolio.
Why now? Amdocs has fallen 35.62% year-to-date, trading around $51.61 against a GF Value of $87.47. For a value investor, that gap is the point.
What's the endgame? Pzena Investment ManagementDealroom has a profile for this one. Try Dealroom →, founded in 1995, buys undervalued shares of fundamentally strong businesses and waits for prices to recover. Its top holdings include CognizantDealroom has a profile for this one. Try Dealroom → Technology Solutions and Bristol-Myers SquibbDealroom has a profile for this one. Try Dealroom →.
Amdocs supplies software and services to communications, entertainment, and media providers, focusing on digital transformation, cloud adoption, and network automation. Most of its revenue comes from North America, with operations in Europe and beyond.
The case: Amdocs trades at a price-to-earnings ratio of 10.32 and carries a Profitability Rank of 9/10. Its three-year EBITDA growth is 5.20%, earnings growth 9.70%, return on equity 15.86%, and return on assets 8.66%.
What could go wrong? A GF Score of 73/100 points to merely average expected performance, and the year-to-date decline shows the market is not yet convinced. Value can stay unrecognised for a long time.
The signal: Pzena is not alone — Brandes Investment PartnersDealroom has a profile for this one. Try Dealroom →, Hotchkis & WileyDealroom has a profile for this one. Try Dealroom →, and Joel GreenblattDealroom has a profile for this one. Try Dealroom → also hold Amdocs, though Pzena's stake is the largest. When several value managers cluster around a beaten-down stock, it signals conviction that the sell-off is temporary, not terminal.
Read more: GuruFocus
Image credit: Shayan (USA)
