Chemed (NYSE:CHE) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued on Thursday, Zacks.com reports.
According to Zacks, “Chemed exited first-quarter 2019 on a dull note. Earnings and revenues both missed the respective Zacks Consensus Estimate in the reported quarter. Unfavorable acuity mix shift, fluctuations in net room and board and contractual adjustments dented the top line during the quarter. On a positive note, Chemed witnessed solid revenue growth across key subsidiaries. Over the past few quarters, VITAS has been registering expanded average daily census. Meanwhile, the Roto-Rooter business has been seeing growth on strong performance by the core plumbing and drain cleaning service segments as well as solid growth in water restoration.”
Several other equities analysts have also issued reports on CHE. Royal Bank of Canada raised their price target on Chemed from $313.00 to $318.00 and gave the stock a “sector perform” rating in a research report on Monday, February 25th. Oppenheimer raised their price target on Chemed from $340.00 to $370.00 and gave the stock an “outperform” rating in a research report on Tuesday, April 30th. Finally, ValuEngine lowered Chemed from a “buy” rating to a “hold” rating in a research report on Wednesday, May 1st. One analyst has rated the stock with a sell rating, two have assigned a hold rating and two have assigned a buy rating to the company’s stock. The stock has an average rating of “Hold” and a consensus target price of $347.00.
Shares of NYSE CHE traded up $2.90 during trading hours on Thursday, reaching $332.97. 2,465 shares of the stock traded hands, compared to its average volume of 128,367. The stock has a market cap of $5.29 billion, a price-to-earnings ratio of 27.89, a P/E/G ratio of 2.96 and a beta of 1.18. The company has a current ratio of 0.73, a quick ratio of 0.70 and a debt-to-equity ratio of 0.17. Chemed has a 52-week low of $260.03 and a 52-week high of $335.99.
Chemed (NYSE:CHE) last announced its quarterly earnings data on Monday, April 29th. The company reported $2.92 earnings per share for the quarter, missing the Zacks’ consensus estimate of $2.96 by ($0.04). The firm had revenue of $462.03 million for the quarter, compared to analysts’ expectations of $468.28 million. Chemed had a net margin of 11.37% and a return on equity of 35.19%. The business’s quarterly revenue was up 5.2% on a year-over-year basis. During the same period in the prior year, the business posted $2.72 earnings per share. On average, analysts forecast that Chemed will post 12.65 EPS for the current fiscal year.
In related news, insider Kevin J. Mcnamara sold 6,000 shares of Chemed stock in a transaction that occurred on Monday, May 6th. The stock was sold at an average price of $331.67, for a total transaction of $1,990,020.00. Following the sale, the insider now directly owns 159,334 shares in the company, valued at $52,846,307.78. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director George J. Walsh III sold 646 shares of Chemed stock in a transaction that occurred on Monday, May 6th. The shares were sold at an average price of $326.83, for a total value of $211,132.18. Following the sale, the director now owns 7,070 shares in the company, valued at $2,310,688.10. The disclosure for this sale can be found here. Over the last quarter, insiders sold 21,245 shares of company stock worth $6,955,533. Corporate insiders own 3.96% of the company’s stock.
Several hedge funds and other institutional investors have recently added to or reduced their stakes in CHE. Norges Bank bought a new stake in shares of Chemed during the fourth quarter valued at approximately $43,898,000. Ellis Investment Partners LLC purchased a new position in Chemed during the first quarter valued at $70,000. Los Angeles Capital Management & Equity Research Inc. raised its stake in Chemed by 489.0% during the first quarter. Los Angeles Capital Management & Equity Research Inc. now owns 66,391 shares of the company’s stock valued at $21,250,000 after buying an additional 55,120 shares during the last quarter. Martingale Asset Management L P raised its stake in Chemed by 175.2% during the first quarter. Martingale Asset Management L P now owns 62,905 shares of the company’s stock valued at $20,136,000 after buying an additional 40,051 shares during the last quarter. Finally, Vanguard Group Inc raised its stake in Chemed by 2.0% during the third quarter. Vanguard Group Inc now owns 1,861,197 shares of the company’s stock valued at $594,801,000 after buying an additional 35,966 shares during the last quarter. Institutional investors own 87.79% of the company’s stock.
Chemed Corporation provides hospice and palliative care services to patients through a network of physicians, registered nurses, home health aides, social workers, clergy, and volunteers in the United States. It operates through two segments, VITAS and Roto-Rooter. The company also offers plumbing, drain cleaning, water restoration, and other related services to residential and commercial customers through company-owned and independent contractors, and franchised locations.
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