Community Health Systems (NYSE:CYH) Stock Gets Price Target Trim from Barclays

Key Points

• Barclays cut its price target on Community Health Systems from $2.50 to $2.00 and maintained an “underweight” rating, implying 15.07% downside from the prior close.
• Analyst sentiment is broadly negative: MarketBeat’s consensus rating is “Reduce,” with an average price target of $2.51; four analysts rate the stock a sell, three hold, and one buy.
• Shares rose 14.9% to $2.35 in Wednesday trading, despite the company reporting a quarterly loss of $0.48 per share—worse than estimates—and revenue down 10.7% year over year.

Community Health Systems (NYSE:CYH - Get Free Report) had its target price lowered by Barclays from $2.50 to $2.00 in a research note issued on Wednesday, Benzinga reports. The firm currently has an "underweight" rating on the stock. Barclays's price objective would suggest a potential downside of 15.07% from the company's previous close.

Other equities analysts also recently issued reports about the stock. Wall Street Zen downgraded shares of Community Health Systems from a "hold" rating to a "sell" rating in a report on Saturday, July 25th. BMO Capital Markets initiated coverage on shares of Community Health Systems in a report on Tuesday, September 22nd. They set a "market perform" rating and a $3.00 price objective for the company. Royal Bank Of Canada lowered their price objective on shares of Community Health Systems from $5.00 to $4.00 and set an "outperform" rating on the stock in a research report on Monday, July 27th. Zacks Research cut shares of Community Health Systems from a "hold" rating to a "strong sell" rating in a research note on Monday. Finally, UBS Group reduced their target price on shares of Community Health Systems from $3.00 to $2.55 and set a "neutral" rating for the company in a research report on Friday, October 30th. One equities research analyst has rated the stock with a Buy rating, three have assigned a Hold rating and four have assigned a Sell rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Reduce" and an average target price of $2.51.

Community Health Systems Stock Up 14.9%

Community Health Systems stock traded up $0.30 during mid-day trading on Wednesday, reaching $2.35. 3,268,624 shares of the company's stock were exchanged, compared to its average volume of 1,626,220. The business's fifty day simple moving average is $2.83 and its 200 day simple moving average is $3.03. The firm has a market capitalization of $332.13 million, a PE ratio of 9.06 and a beta of 1.90. Community Health Systems has a one year low of $2.04 and a one year high of $3.92.

Community Health Systems (NYSE:CYH - Get Free Report) last posted its quarterly earnings data on Wednesday, October 28th. The company reported ($0.48) earnings per share for the quarter, missing the consensus estimate of ($0.29) by ($0.19). Community Health Systems had a negative return on equity of 6.66% and a net margin of 0.31%. The business had revenue of $2.76 billion during the quarter, compared to analysts' expectations of $2.80 billion. During the same period in the prior year, the firm posted $1.27 EPS. The firm's revenue for the quarter was down 10.7% on a year-over-year basis. On average, sell-side analysts forecast that Community Health Systems will post -1.68 earnings per share for the current year.

Insider Buying and Selling at Community Health Systems

In related news, Director William Jennings sold 40,000 shares of Community Health Systems stock in a transaction dated Tuesday, August 25th. The stock was sold at an average price of $2.96, for a total value of $118,400.00. Following the completion of the sale, the director owned 38,468 shares of the company's stock, valued at approximately $113,865.28. This trade represents a 50.98% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Insiders own 11.10% of the company's stock.

Hedge Funds Weigh In On Community Health Systems

A number of institutional investors and hedge funds have recently added to or reduced their stakes in CYH. Legal & General Group Plc purchased a new stake in shares of Community Health Systems during the second quarter worth $45,000. Y Intercept Hong Kong Ltd bought a new position in shares of Community Health Systems in the first quarter worth $40,000. Sequoia Financial Advisors LLC purchased a new position in shares of Community Health Systems in the second quarter valued at $64,000. Pallas Capital Advisors LLC purchased a new position in shares of Community Health Systems in the second quarter valued at $74,000. Finally, M Holdings Securities Inc. bought a new stake in shares of Community Health Systems during the 3rd quarter valued at $72,000. Institutional investors own 84.99% of the company's stock.

Community Health Systems Company Profile

Community Health Systems, Inc NYSE: CYH is a healthcare services company that owns, leases, and operates general acute-care hospitals and related healthcare facilities in the United States. The company focuses primarily on serving communities in small cities and non-urban markets, providing access to hospital-based and outpatient care.

Its services generally include emergency care, inpatient and outpatient treatment, surgery, diagnostic imaging, laboratory services, rehabilitation, and other clinical programs.

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