Omnicell (NASDAQ:OMCL) Stock Gets Downgrade from Wall Street Zen

Key Points

• Wall Street Zen downgraded Omnicell from “strong buy” to “buy.” Other analyst views remain broadly positive, with MarketBeat reporting a consensus “buy” rating and a $57.86 average price target.
• Omnicell beat quarterly estimates, reporting earnings of $0.58 per share versus $0.42 expected and revenue of $307.85 million versus $304.44 million expected. Revenue was down 0.9% year over year.
• Shares opened at $37.34, within a 52-week range of $31.75 to $55.00; institutional investors own 97.7% of the stock.

Omnicell (NASDAQ:OMCL - Get Free Report) was downgraded by analysts at Wall Street Zen from a "strong-buy" rating to a "buy" rating in a research report issued to clients and investors on Saturday, Wall Street Zen reports.

A number of other research firms have also commented on OMCL. Wells Fargo & Company dropped their price target on Omnicell from $55.00 to $50.00 and set an "overweight" rating on the stock in a research report on Friday, July 31st. Weiss Ratings raised shares of Omnicell from a "hold (c-)" rating to a "hold (c)" rating in a research report on Tuesday, August 18th. KeyCorp restated an "overweight" rating on shares of Omnicell in a research note on Monday, August 24th. Zacks Research raised Omnicell from a "hold" rating to a "strong-buy" rating in a report on Wednesday. Finally, Piper Sandler restated an "overweight" rating and issued a $45.00 target price (down from $55.00) on shares of Omnicell in a research note on Monday, August 3rd. One investment analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and one has issued a Hold rating to the company. Based on data from MarketBeat, the company has a consensus rating of "Buy" and a consensus target price of $57.86.

Omnicell Price Performance

Shares of Omnicell stock opened at $37.34 on Friday. The company has a market cap of $1.70 billion, a PE ratio of 23.04, a P/E/G ratio of 1.00 and a beta of 0.88. Omnicell has a 52 week low of $31.75 and a 52 week high of $55.00. The company has a quick ratio of 1.45, a current ratio of 1.65 and a debt-to-equity ratio of 0.13. The business has a 50 day moving average of $34.93 and a 200 day moving average of $38.78.

Omnicell (NASDAQ:OMCL - Get Free Report) last posted its quarterly earnings results on Thursday, October 29th. The company reported $0.58 EPS for the quarter, topping the consensus estimate of $0.42 by $0.16. Omnicell had a net margin of 3.59% and a return on equity of 5.69%. The company had revenue of $307.85 million for the quarter, compared to the consensus estimate of $304.44 million. During the same quarter last year, the firm posted $0.51 EPS. The firm's revenue was down .9% compared to the same quarter last year. As a group, equities research analysts forecast that Omnicell will post 1.64 earnings per share for the current year.

Institutional Trading of Omnicell

A number of hedge funds have recently made changes to their positions in the stock. BlackRock Inc. purchased a new position in shares of Omnicell in the 2nd quarter worth approximately $313,044,000. First Light Asset Management LLC purchased a new stake in shares of Omnicell in the 1st quarter valued at approximately $16,351,000. Fort Washington Investment Advisors Inc. OH acquired a new stake in shares of Omnicell during the third quarter worth about $15,620,000. WCM Investment Management LLC purchased a new stake in Omnicell during the first quarter worth approximately $9,783,000. Finally, Empowered Funds LLC increased its position in Omnicell by 4,229.9% in the 1st quarter. Empowered Funds LLC now owns 262,043 shares of the company's stock valued at $8,747,000 after acquiring an additional 255,991 shares during the period. 97.70% of the stock is owned by institutional investors.

Trending Headlines about Omnicell

Here are the key news stories impacting Omnicell this week:

• Positive Sentiment: Zacks Research upgraded Omnicell from “hold” to “strong-buy,” adding to the bullish analyst-rating momentum. Tickerreport article
• Positive Sentiment: Zacks cited solid earnings-estimate revisions as a reason OMCL may continue moving higher in the near term. Zacks earnings-estimate revisions article
• Positive Sentiment: OMCL was added to Zacks’ Rank #1 (Strong Buy) lists for momentum and value stocks, reinforcing the favorable assessment. Zacks momentum stocks article Zacks value stocks article
• Neutral Sentiment: A Zacks article noted that analysts’ consensus target implies substantial potential upside, but cautioned that price targets alone have limited predictive value; it also pointed to estimate revisions as a more encouraging signal. Zacks analyst price-target article

About Omnicell

Omnicell, Inc develops medication management and adherence solutions for health care providers, pharmacies and patients. Its technologies are designed to help automate medication dispensing, improve inventory control, support clinical workflows and enhance medication access and adherence across the care continuum.

The company's product portfolio includes automated dispensing cabinets for hospitals and health systems, central pharmacy and intravenous compounding automation, medication packaging and adherence solutions, and software for analytics, inventory management and pharmacy operations.

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