Select Medical (NYSE:SEM) Price Target Lowered to $15.00 at Bank of America

Key Points

• Bank of America has reduced its target price for Select Medical stock from $18.00 to $15.00, maintaining a "buy" rating, which suggests a potential upside of 20.19% from its previous close.
• UBS Group has reissued a "neutral" rating with a lowered target price of $14.00, while the average price target across analysts stands at $19.20, indicating a consensus rating of "Moderate Buy."
• Select Medical reported a quarterly earnings per share of $0.32, exceeding estimates, while revenue increased 4.5% year-over-year, highlighting a mixed financial outlook amidst recent analyst pessimism.

Select Medical (NYSE:SEM - Free Report) had its target price decreased by Bank of America from $18.00 to $15.00 in a research report report published on Wednesday,Benzinga reports. Bank of America currently has a buy rating on the health services provider's stock.

Separately, UBS Group reaffirmed a "neutral" rating and issued a $14.00 target price (down previously from $15.00) on shares of Select Medical in a report on Monday, August 4th. Four research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat, the company has an average rating of "Moderate Buy" and an average target price of $19.20.

Select Medical Stock Down 1.4%

NYSE:SEM traded down $0.17 during mid-day trading on Wednesday, hitting $12.34. The stock had a trading volume of 224,793 shares, compared to its average volume of 1,114,991. The stock has a 50-day simple moving average of $13.41 and a two-hundred day simple moving average of $15.08. The company has a market capitalization of $1.53 billion, a PE ratio of 11.65, a PEG ratio of 0.51 and a beta of 1.25. Select Medical has a twelve month low of $11.65 and a twelve month high of $40.98. The company has a current ratio of 1.15, a quick ratio of 1.15 and a debt-to-equity ratio of 0.92.

Select Medical (NYSE:SEM - Get Free Report) last issued its earnings results on Thursday, July 31st. The health services provider reported $0.32 earnings per share for the quarter, beating the consensus estimate of $0.28 by $0.04. The firm had revenue of $1.34 billion for the quarter, compared to analysts' expectations of $1.35 billion. Select Medical had a net margin of 2.37% and a return on equity of 8.87%. The firm's revenue was up 4.5% compared to the same quarter last year. During the same quarter last year, the company earned $0.60 earnings per share. Select Medical has set its FY 2025 guidance at 1.090-1.19 EPS. On average, equities research analysts anticipate that Select Medical will post 1.17 EPS for the current year.

Select Medical Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Thursday, August 28th. Investors of record on Wednesday, August 13th were given a $0.0625 dividend. The ex-dividend date was Wednesday, August 13th. This represents a $0.25 annualized dividend and a yield of 2.0%. Select Medical's dividend payout ratio is 23.58%.

Institutional Trading of Select Medical

Several institutional investors and hedge funds have recently bought and sold shares of SEM. 8 Knots Management LLC purchased a new stake in Select Medical in the 2nd quarter valued at $26,568,000. Nuveen LLC purchased a new stake in Select Medical in the 1st quarter valued at $12,133,000. Vanguard Group Inc. increased its stake in Select Medical by 4.7% in the 1st quarter. Vanguard Group Inc. now owns 13,316,069 shares of the health services provider's stock valued at $222,378,000 after buying an additional 603,079 shares during the period. Voya Investment Management LLC increased its stake in Select Medical by 48.7% in the 1st quarter. Voya Investment Management LLC now owns 1,507,349 shares of the health services provider's stock valued at $25,173,000 after buying an additional 493,983 shares during the period. Finally, Bank of America Corp DE increased its stake in Select Medical by 46.7% in the 4th quarter. Bank of America Corp DE now owns 1,192,578 shares of the health services provider's stock valued at $22,480,000 after buying an additional 379,598 shares during the period. Hedge funds and other 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.