What Happened?
Shares of shipping and mailing solutions provider Pitney Bowes (NYSE:PBI) jumped 4.7% in the afternoon session after analyst firm Citizens initiated coverage on the stock with a 'Market Outperform' rating and a $13 price target. The new rating was the first time Citizens had covered the company. The firm noted Pitney Bowes' strong market leadership and shareholder-friendly decisions under new management, such as share repurchases and four straight quarterly dividend increases. Citizens also pointed to several potential growth drivers.
After the initial pop the shares cooled down to $9.89, up 4.1% from previous close.
Is now the time to buy Pitney Bowes? Access our full analysis report here.
What Is The Market Telling Us
Pitney Bowes’s shares are quite volatile and have had 15 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.
The previous big move we wrote about was 12 days ago when the stock gained 3.3% on the news that comments from a key Federal Reserve official hinted at a potential interest rate cut in December. John Williams, president of the Federal Reserve Bank of New York, signaled he was open to lowering the fed funds rate—the key interest rate that banks charge each other for overnight loans—to support the job market. Speaking at an event, Williams stated that he sees “room for a further adjustment” for interest rates, which immediately shifted market expectations. Following his remarks, the perceived likelihood of an interest rate cut at the Federal Reserve's December meeting flipped from unlikely to more likely than not. The prospect of lower borrowing costs sent a wave of optimism through the markets, leading to a rally in major indices like the S&P 500, Dow Jones Industrial Average, and the Nasdaq Composite.
Pitney Bowes is up 36.9% since the beginning of the year, but at $9.89 per share, it is still trading 22.7% below its 52-week high of $12.79 from July 2025. Investors who bought $1,000 worth of Pitney Bowes’s shares 5 years ago would now be looking at an investment worth $1,740.
The 1999 book Gorilla Game predicted Microsoft and Apple would dominate tech before it happened. Its thesis? Identify the platform winners early. Today, enterprise software companies embedding generative AI are becoming the new gorillas. Click here for access to our special report that reveals one profitable leader already riding this wave.