MultiPlan (NYSE:MPLN) Shares Gap Down Following Analyst Downgrade

MultiPlan Co. (NYSE:MPLN) gapped down prior to trading on Tuesday after Citigroup lowered their price target on the stock from $17.20 to $10.00. The stock had previously closed at $8.95, but opened at $8.71. Citigroup currently has a neutral rating on the stock. MultiPlan shares last traded at $8.08, with a volume of 29,321 shares trading hands.

Separately, Piper Sandler restated a “neutral” rating and set a $1.00 target price (down from $2.00) on shares of MultiPlan in a research report on Wednesday, August 7th.

Insider Transactions at MultiPlan

In other MultiPlan news, CEO Travis Dalton purchased 500,000 shares of MultiPlan stock in a transaction on Wednesday, August 7th. The shares were bought at an average price of $0.37 per share, with a total value of $185,000.00. Following the completion of the acquisition, the chief executive officer now directly owns 5,004,504 shares of the company’s stock, valued at $1,851,666.48. The transaction was disclosed in a document filed with the SEC, which is available through this link. In related news, CFO Douglas Michael Garis acquired 1,150,000 shares of the firm’s stock in a transaction that occurred on Tuesday, August 6th. The shares were acquired at an average price of $0.30 per share, with a total value of $345,000.00. Following the completion of the purchase, the chief financial officer now directly owns 4,721,428 shares in the company, valued at $1,416,428.40. The purchase was disclosed in a document filed with the SEC, which is available through this link. Also, CEO Travis Dalton acquired 500,000 shares of the company’s stock in a transaction that occurred on Wednesday, August 7th. The shares were bought at an average price of $0.37 per share, with a total value of $185,000.00. Following the transaction, the chief executive officer now owns 5,004,504 shares in the company, valued at approximately $1,851,666.48. The disclosure for this purchase can be found here. Insiders bought 1,731,165 shares of company stock valued at $555,161 in the last 90 days. 8.20% of the stock is currently owned by insiders.

Institutional Investors Weigh In On MultiPlan

Hedge funds have recently modified their holdings of the company. Empirical Financial Services LLC d.b.a. Empirical Wealth Management grew its position in shares of MultiPlan by 68.8% in the first quarter. Empirical Financial Services LLC d.b.a. Empirical Wealth Management now owns 45,653 shares of the company’s stock valued at $37,000 after purchasing an additional 18,603 shares during the period. Fore Capital LLC acquired a new position in shares of MultiPlan during the 2nd quarter valued at about $37,000. Point72 DIFC Ltd acquired a new position in shares of MultiPlan during the 2nd quarter valued at about $43,000. Cubist Systematic Strategies LLC purchased a new position in shares of MultiPlan during the 2nd quarter worth about $72,000. Finally, Hsbc Holdings PLC boosted its position in shares of MultiPlan by 68.7% in the second quarter. Hsbc Holdings PLC now owns 218,459 shares of the company’s stock worth $87,000 after acquiring an additional 88,944 shares during the last quarter. 87.15% of the stock is owned by institutional investors and hedge funds.

MultiPlan Price Performance

The company’s 50-day moving average is $0.75 and its 200-day moving average is $0.65. The firm has a market capitalization of $116.53 million, a price-to-earnings ratio of -7.37 and a beta of 0.52. The company has a debt-to-equity ratio of 7.48, a current ratio of 1.06 and a quick ratio of 1.06.

MultiPlan (NYSE:MPLN) last announced its quarterly earnings results on Thursday, August 1st. The company reported ($0.03) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.04) by $0.01. The company had revenue of $233.48 million for the quarter, compared to analyst estimates of $253.59 million. MultiPlan had a negative net margin of 122.73% and a negative return on equity of 8.90%. During the same quarter last year, the business earned ($0.06) EPS. On average, research analysts expect that MultiPlan Co. will post -7.2 earnings per share for the current year.

MultiPlan Company Profile

MultiPlan Corporation, together with its subsidiaries, provides data analytics and technology-enabled cost management, payment, and revenue integrity solutions to the healthcare industry in the United States. The company offers analytics-based services that reduce medical costs, through data-driven algorithms and insights that detect claims over-charges and negotiate or recommend reimbursement; and network-based services that provide contracted discounts with healthcare providers, as well as outsourced network development and management services.