StockNews.com Downgrades Select Medical (NYSE:SEM) to Hold

Select Medical (NYSE:SEM) was downgraded by StockNews.com from a “buy” rating to a “hold” rating in a research report issued on Monday.

Other analysts also recently issued reports about the company. Royal Bank of Canada increased their price objective on Select Medical from $40.00 to $47.00 and gave the stock an “outperform” rating in a research report on Monday, November 4th. Benchmark cut Select Medical from a “buy” rating to a “hold” rating in a research note on Monday, November 25th.

Select Medical Stock Performance

Shares of SEM traded down $0.19 during mid-day trading on Monday, reaching $18.80. 975,573 shares of the company’s stock were exchanged, compared to its average volume of 703,268. The business’s fifty day simple moving average is $28.01 and its 200-day simple moving average is $32.62. Select Medical has a 52-week low of $18.02 and a 52-week high of $40.98. The stock has a market capitalization of $2.43 billion, a PE ratio of 8.79, a price-to-earnings-growth ratio of 0.39 and a beta of 1.43. The company has a debt-to-equity ratio of 1.37, a current ratio of 1.13 and a quick ratio of 1.13.

Select Medical (NYSE:SEM) last posted its quarterly earnings data on Thursday, October 31st. The health services provider reported $0.43 EPS for the quarter, beating analysts’ consensus estimates of $0.36 by $0.07. Select Medical had a net margin of 3.97% and a return on equity of 15.99%. The company had revenue of $1.76 billion for the quarter, compared to analyst estimates of $1.74 billion. During the same period in the previous year, the business posted $0.46 earnings per share. Select Medical’s quarterly revenue was up 5.7% on a year-over-year basis. On average, equities research analysts expect that Select Medical will post 1.97 earnings per share for the current year.

Insiders Place Their Bets

In related news, VP Robert G. Breighner, Jr. sold 4,989 shares of the firm’s stock in a transaction dated Wednesday, December 4th. The shares were sold at an average price of $19.95, for a total value of $99,530.55. Following the completion of the sale, the vice president now owns 30,356 shares in the company, valued at $605,602.20. This trade represents a 14.12 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Marilyn B. Tavenner sold 32,000 shares of the company’s stock in a transaction dated Tuesday, November 26th. The stock was sold at an average price of $21.09, for a total transaction of $674,880.00. Following the transaction, the director now owns 22,000 shares in the company, valued at $463,980. The trade was a 59.26 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 19.14% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Select Medical

A number of hedge funds and other institutional investors have recently modified their holdings of SEM. Dimensional Fund Advisors LP raised its stake in shares of Select Medical by 2.2% during the 2nd quarter. Dimensional Fund Advisors LP now owns 4,498,772 shares of the health services provider’s stock worth $157,728,000 after buying an additional 95,578 shares during the last quarter. Geode Capital Management LLC increased its holdings in Select Medical by 2.0% during the 3rd quarter. Geode Capital Management LLC now owns 2,442,321 shares of the health services provider’s stock valued at $85,180,000 after acquiring an additional 46,880 shares in the last quarter. Principal Financial Group Inc. raised its position in Select Medical by 6.7% during the third quarter. Principal Financial Group Inc. now owns 2,357,823 shares of the health services provider’s stock worth $82,208,000 after acquiring an additional 147,032 shares during the last quarter. Point72 Asset Management L.P. lifted its holdings in shares of Select Medical by 144.2% in the third quarter. Point72 Asset Management L.P. now owns 2,059,791 shares of the health services provider’s stock valued at $71,825,000 after purchasing an additional 1,216,263 shares in the last quarter. Finally, Charles Schwab Investment Management Inc. grew its position in shares of Select Medical by 1.5% in the third quarter. Charles Schwab Investment Management Inc. now owns 1,646,320 shares of the health services provider’s stock valued at $57,407,000 after purchasing an additional 24,439 shares during the last quarter. 89.48% of the stock is currently owned by institutional investors and hedge funds.

About Select Medical

Select Medical Holdings Corporation, through its subsidiaries, operates critical illness recovery hospitals, rehabilitation hospitals, outpatient rehabilitation clinics, and occupational health centers in the United States. It operates in four segments: Critical Illness Recovery Hospital, Rehabilitation Hospital, Outpatient Rehabilitation, and Concentra.