Manhattan Associates, Inc. (MANH) Down 5.0% — Should I Cash Out While I Can?
Key Points
Manhattan Associates, Inc. (MANH) is losing ground, with shares retreating 4.99% on the day to close at $168.43 on the NASDAQ. The stock fell $8.84 from the prior session, extending a pattern of pressure that has been building in recent trading. Volume came in at 179,811 shares, well below the 90-day average of 571,280, indicating that this latest leg down is occurring on relatively light participation. Even on reduced activity, the price action underscores a market that is stepping back rather than leaning in, leaving the stock sliding and struggling to find near-term support.
The longer-term picture looks even more strained. Manhattan Associates is now trading sharply below its 52-week peak of $299.27 set on Jan. 28, 2025, placing the stock more than 40% under that high-water mark. That kind of retreat signals a substantial reset in market expectations, with the shares firmly in a corrective phase rather than mounting a recovery. Within the broader software and enterprise applications group, several high-profile peers such as Oracle (ORCL), Salesforce (CRM), and Shopify (SHOP) have also seen bouts of volatility, but MANH’s steep pullback from its 52-week high stands out as particularly severe. For now, the tape reflects a stock under sustained pressure, with buyers hesitant and recent rallies failing to reclaim lost territory.
Why Manhattan Associates, Inc. Price is Moving Lower
Recent weakness in Manhattan Associates, Inc. reflects mounting investor concern ahead of its Q4 2026 earnings release. Street forecasts call for EPS of $1.11, down 5.1% year over year, even as revenue is expected to edge up only 3.3% to $264.25 million. That combination — modest top-line growth alongside contracting earnings — is pressuring sentiment for a stock that still trades at a rich valuation, with a price-to-earnings multiple near 50. In this context, the company’s solid 20.7% projected growth in cloud subscription revenue is being viewed as insufficient to offset near‑term margin pressure and slower overall growth. The stock’s roughly 5.3% underperformance versus the S&P 500 over the past month underlines this shift toward caution.
Investors are also grappling with conflicting signals from Wall Street. On one hand, 11 covering analysts maintain a Buy consensus and a 2026 price target of about $218, implying meaningful upside from current levels. On the other, the stock carries a Zacks Rank #4 (Sell), flagging expectations for continued lagging performance in the near term. For a mid-cap software name competing against larger sector peers such as Oracle, Salesforce, and Shopify, the combination of slowing earnings, only low‑single‑digit revenue growth, and a premium multiple leaves little room for disappointment. As the market re-prices that risk/reward trade-off ahead of earnings, shares are encountering sustained pressure despite longer-term optimism around the company’s cloud transition.
What is the Manhattan Associates, Inc. Rating - Should I Sell?
Weiss Ratings assigns MANH a C rating. Current recommendation is Hold. That middle-of-the-road assessment stands out given several impressive fundamentals, and it signals that risk/reward is far less compelling than the headline numbers might imply. Despite a premium forward valuation and strong profitability metrics, Manhattan Associates, Inc. has not delivered enough risk-adjusted performance to earn a Buy-level grade.
The Excellent Growth Index and Excellent Efficiency Index indicate that MANH is executing well operationally. Revenue is still expanding at 3.42%, and a profit margin of 20.24% combined with a return on equity of 73.58% show the business is extracting a lot of value from each dollar of sales and capital. The Excellent Solvency Index further signals that balance sheet strength is not the core issue here.
The problem is that these strengths have not translated into favorable returns for shareholders relative to risk. MANH carries a lofty forward P/E of 50.48, yet its Total Return Index is Weak, meaning investors have been assuming growth-stock pricing without receiving growth-stock style payoffs on a risk-adjusted basis. The Weak Volatility Index adds another concern: price swings have been unfavorable enough that the stock’s ride has been bumpier than its C (Hold) rating might suggest.
Within information technology, MANH’s C rating leaves it roughly on par with Salesforce, Inc. (CRM, C), but it lags sector peers like Oracle Corporation (ORCL, C+) and Shopify Inc. (SHOP, C+) that earn higher overall ratings. For cautious investors, that combination — operational excellence, high valuation, but only a C (Hold) rating with Weak total return and volatility metrics — argues for restraint rather than aggression.
About Manhattan Associates, Inc.
Manhattan Associates, Inc. is an Information Technology company in the Software and Services industry, focused on supply chain and omnichannel commerce platforms that are heavily used in logistics-intensive sectors. The company’s core offering is its Manhattan Active suite, which includes warehouse management, transportation management and order management solutions. These products are designed to coordinate complex fulfillment operations across distribution centers, stores and e-commerce channels. Manhattan also provides inventory optimization and demand forecasting tools that seek to align stock levels with shifting consumer and enterprise requirements across global networks.
The company delivers its software primarily through cloud-native, microservices-based architectures, but also continues to support legacy deployments for large enterprises with intricate, customized environments. Its technology is typically integrated into broader enterprise IT ecosystems that may already be burdened with multiple vendors, overlapping platforms and aging infrastructure. Manhattan positions itself as a specialist in high-volume, mission-critical operations for retailers, wholesalers, manufacturers and logistics providers that face ongoing pressure to streamline processes, reduce errors and maintain service levels.
In a competitive Software and Services landscape that includes large enterprise software vendors and niche logistics platforms, Manhattan Associates emphasizes depth in supply chain execution rather than broad, general-purpose business applications. This specialization can create switching complexity for customers whose operations become tightly tied to Manhattan’s tools and processes. At the same time, the company must continually update and expand its solutions to keep pace with evolving industry standards, integration requirements and emerging competitors offering alternative cloud-based supply chain and commerce platforms.
Investor Outlook
With a C (Hold) Weiss Rating, Manhattan Associates, Inc. (MANH) sits in a middle ground where investors may want to exercise caution and closely monitor how its risk/reward profile evolves. Watch for shifts in technology spending cycles and competitive pressures in enterprise software, as these could weigh on future performance and potentially pressure the current Hold assessment. See full rankings of all C-rated Information Technology stocks inside the Weiss Stock Screener.
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