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

StockNews.com lowered shares of Select Medical (NYSE:SEM) from a buy rating to a hold rating in a research note published on Monday morning.

A number of other brokerages also recently issued reports on SEM. Benchmark downgraded Select Medical from a “buy” rating to a “hold” rating in a research report on Monday, November 25th. Royal Bank of Canada increased their target price on Select Medical from $40.00 to $47.00 and gave the stock an “outperform” rating in a report on Monday, November 4th.

Select Medical Price Performance

Shares of NYSE SEM opened at $18.85 on Monday. The company has a current ratio of 1.13, a quick ratio of 1.13 and a debt-to-equity ratio of 1.37. The business’s 50 day moving average is $27.45 and its 200-day moving average is $32.41. Select Medical has a 1-year low of $18.02 and a 1-year high of $40.98. The firm has a market cap of $2.44 billion, a P/E ratio of 8.81, a price-to-earnings-growth ratio of 0.39 and a beta of 1.43.

Select Medical (NYSE:SEM) last announced its earnings results on Thursday, October 31st. The health services provider reported $0.43 earnings per share (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 during the quarter, compared to analysts’ expectations of $1.74 billion. During the same quarter 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. Equities research analysts predict that Select Medical will post 1.97 earnings per share for the current year.

Select Medical Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, November 26th. Shareholders of record on Wednesday, November 13th were paid a dividend of $0.125 per share. This represents a $0.50 annualized dividend and a yield of 2.65%. The ex-dividend date of this dividend was Wednesday, November 13th. Select Medical’s payout ratio is presently 23.36%.

Insider Activity

In other Select Medical news, VP Robert G. Breighner, Jr. sold 4,989 shares of the firm’s stock in a transaction that occurred on Wednesday, December 4th. The shares were sold at an average price of $19.95, for a total value of $99,530.55. Following 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 filing with the SEC, which is available at this link. Also, Director Marilyn B. Tavenner sold 32,000 shares of the business’s stock in a transaction on Tuesday, November 26th. The stock was sold at an average price of $21.09, for a total transaction of $674,880.00. Following the sale, the director now directly owns 22,000 shares in the company, valued at approximately $463,980. The trade was a 59.26 % decrease in their position. The disclosure for this sale can be found here. Corporate insiders own 19.14% of the company’s stock.

Institutional Investors Weigh In On Select Medical

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

Select Medical Company Profile

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.