STERIS (NYSE:STE) Stock Rating Cut to Buy at Wall Street Zen

Key Points

• Wall Street Zen downgraded STERIS from “strong buy” to “buy,” while the broader analyst consensus remains “Moderate Buy” with an average price target of $271.33.
• STERIS reported quarterly EPS of $2.59, beating estimates of $2.49, while revenue rose 7.3% year over year to $1.49 billion. Analysts expect full-year EPS of approximately $11.12.
• Institutional investors and hedge funds own 94.69% of STERIS, although director Mohsen Sohi recently sold 4,058 shares for about $956,800.

STERIS (NYSE:STE - Get Free Report) was downgraded by equities research analysts at Wall Street Zen from a "strong-buy" rating to a "buy" rating in a report released on Sunday, Wall Street Zen reports.

A number of other equities research analysts also recently weighed in on STE. UBS Group dropped their price objective on STERIS from $275.00 to $270.00 and set a "buy" rating on the stock in a research report on Friday, August 7th. Piper Sandler reiterated an "overweight" rating and issued a $275.00 price target (up from $270.00) on shares of STERIS in a research note on Friday, August 7th. Finally, Weiss Ratings reissued a "hold (c)" rating on shares of STERIS in a research report on Monday, August 24th. Three equities research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $271.33.

STERIS Stock Up 1.9%

Shares of NYSE STE opened at $214.79 on Friday. STERIS has a 1 year low of $195.14 and a 1 year high of $269.44. The firm has a 50-day simple moving average of $222.42 and a two-hundred day simple moving average of $217.97. The company has a market cap of $20.94 billion, a P/E ratio of 26.26 and a beta of 0.92. The company has a debt-to-equity ratio of 0.23, a current ratio of 1.91 and a quick ratio of 1.35.

STERIS (NYSE:STE - Get Free Report) last released its earnings results on Wednesday, August 5th. The medical equipment provider reported $2.59 EPS for the quarter, beating analysts' consensus estimates of $2.49 by $0.10. STERIS had a return on equity of 14.34% and a net margin of 13.34%. The firm had revenue of $1.49 billion for the quarter, compared to analysts' expectations of $1.49 billion. During the same quarter in the prior year, the firm posted $2.34 earnings per share. The company's quarterly revenue was up 7.3% on a year-over-year basis. STERIS has set its FY 2027 guidance at 11.000-11.300 EPS. Research analysts anticipate that STERIS will post 11.12 earnings per share for the current year.

Insider Activity at STERIS

In other STERIS news, Director Mohsen Sohi sold 4,058 shares of the stock in a transaction dated Wednesday, August 12th. The shares were sold at an average price of $235.78, for a total value of $956,795.24. Following the completion of the sale, the director owned 24,305 shares in the company, valued at approximately $5,730,632.90. This represents a 14.31% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. 1.12% of the stock is owned by company insiders.

Hedge Funds Weigh In On STERIS

Institutional investors and hedge funds have recently bought and sold shares of the company. Wellington Management Group LLP grew its stake in STERIS by 21.9% during the 2nd quarter. Wellington Management Group LLP now owns 3,502,897 shares of the medical equipment provider's stock worth $737,605,000 after purchasing an additional 629,532 shares in the last quarter. Janus Henderson Group PLC raised its position in STERIS by 25.7% in the 1st quarter. Janus Henderson Group PLC now owns 1,863,139 shares of the medical equipment provider's stock valued at $411,995,000 after purchasing an additional 380,504 shares in the last quarter. Amundi boosted its stake in shares of STERIS by 43.2% in the 1st quarter. Amundi now owns 771,092 shares of the medical equipment provider's stock valued at $170,512,000 after buying an additional 232,520 shares during the period. Clark Capital Management Group Inc. purchased a new position in shares of STERIS in the 4th quarter valued at about $53,056,000. Finally, SEB Asset Management AB acquired a new position in shares of STERIS during the first quarter worth about $30,660,000. 94.69% of the stock is currently owned by institutional investors and hedge funds.

About STERIS

STERIS plc NYSE: STE provides products and services designed to support infection prevention, surgical procedures, and the manufacture of healthcare and pharmaceutical products. The company serves healthcare providers, pharmaceutical and biotechnology manufacturers, and other organizations that require controlled, sterile environments.

Its Healthcare segment offers sterilization and decontamination equipment, operating-room products, surgical instruments, endoscopy products, consumables, and related maintenance and procedural services.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.