Chemed (NYSE:CHE) Sets New 12-Month High on Analyst Upgrade

Key Points

• Chemed shares hit a new 52-week high after Bank of America raised its price target from $450 to $510, helping push the stock to an intraday peak of $493.26.
• Analyst sentiment remains cautious overall: Chemed has an average Hold rating, with one Buy and five Hold ratings, and a consensus target price of $480.25.
• The company recently beat quarterly EPS expectations, reporting $5.65 per share versus the $5.30 consensus, while also paying a quarterly dividend of $0.60 per share.

Shares of Chemed Corporation (NYSE:CHE - Get Free Report) hit a new 52-week high on Friday after Bank of America raised their price target on the stock from $450.00 to $510.00. Bank of America currently has a neutral rating on the stock. Chemed traded as high as $493.26 and last traded at $490.8760, with a volume of 3452 shares traded. The stock had previously closed at $490.46.

A number of other research analysts have also recently weighed in on the stock. Zacks Research raised shares of Chemed from a "strong sell" rating to a "hold" rating in a report on Monday, April 27th. Wall Street Zen cut Chemed from a "buy" rating to a "hold" rating in a research report on Monday, June 8th. Royal Bank Of Canada upped their price target on Chemed from $422.00 to $436.00 and gave the stock a "sector perform" rating in a report on Monday, April 27th. Finally, Weiss Ratings raised Chemed from a "sell (d+)" rating to a "hold (c-)" rating in a report on Wednesday, April 29th. One analyst has rated the stock with a Buy rating and five have given a Hold rating to the company. According to data from MarketBeat.com, Chemed currently has an average rating of "Hold" and an average target price of $480.25.

Insider Activity at Chemed

In other Chemed news, CEO Kevin J. Mcnamara sold 2,000 shares of the stock in a transaction dated Friday, May 1st. The shares were sold at an average price of $421.13, for a total value of $842,260.00. Following the completion of the sale, the chief executive officer owned 90,219 shares in the company, valued at approximately $37,993,927.47. This represents a 2.17% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Andrea R. Lindell sold 1,347 shares of the business's stock in a transaction that occurred on Tuesday, June 9th. The stock was sold at an average price of $447.33, for a total value of $602,553.51. Following the transaction, the director owned 4,578 shares in the company, valued at approximately $2,047,876.74. This represents a 22.73% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 3.33% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Chemed

A number of institutional investors and hedge funds have recently added to or reduced their stakes in CHE. SG Americas Securities LLC grew its stake in shares of Chemed by 773.5% in the fourth quarter. SG Americas Securities LLC now owns 26,466 shares of the company's stock worth $11,324,000 after acquiring an additional 23,436 shares in the last quarter. BNP Paribas Financial Markets increased its position in shares of Chemed by 14.5% during the fourth quarter. BNP Paribas Financial Markets now owns 35,024 shares of the company's stock worth $14,985,000 after acquiring an additional 4,430 shares during the period. Abacus FCF Advisors LLC acquired a new stake in shares of Chemed in the fourth quarter valued at $5,935,000. TD Asset Management Inc raised its stake in shares of Chemed by 7.5% in the fourth quarter. TD Asset Management Inc now owns 324,546 shares of the company's stock valued at $138,860,000 after acquiring an additional 22,715 shares in the last quarter. Finally, C WorldWide Group Holding A S purchased a new position in Chemed in the fourth quarter valued at $2,189,000. Hedge funds and other institutional investors own 95.85% of the company's stock.

Chemed Price Performance

The company has a 50 day moving average of $441.89 and a 200 day moving average of $428.28. The company has a debt-to-equity ratio of 0.11, a quick ratio of 0.83 and a current ratio of 0.85. The stock has a market capitalization of $6.50 billion, a price-to-earnings ratio of 26.69, a PEG ratio of 1.77 and a beta of 0.52.

Chemed (NYSE:CHE - Get Free Report) last announced its quarterly earnings data on Thursday, April 23rd. The company reported $5.65 EPS for the quarter, topping analysts' consensus estimates of $5.30 by $0.35. The business had revenue of $657.51 million during the quarter, compared to the consensus estimate of $659.22 million. Chemed had a return on equity of 27.18% and a net margin of 10.23%.The business's revenue for the quarter was up 1.6% on a year-over-year basis. During the same period in the previous year, the company posted $5.63 earnings per share. Chemed has set its FY 2026 guidance at 24.000-24.75 EPS. As a group, equities research analysts anticipate that Chemed Corporation will post 22.67 EPS for the current year.

Chemed Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, June 16th. Shareholders of record on Thursday, May 28th were issued a dividend of $0.60 per share. The ex-dividend date of this dividend was Thursday, May 28th. This represents a $2.40 dividend on an annualized basis and a yield of 0.5%. Chemed's dividend payout ratio (DPR) is presently 13.08%.

About Chemed

Chemed Corporation is a diversified provider of essential home services and healthcare solutions in the United States. Headquartered in Cincinnati, Ohio, the company operates through two principal business segments—Roto-Rooter and Vitas Healthcare. Since its founding in 1974, Chemed has built a reputation for reliability and expertise, serving both residential and commercial customers across a broad range of markets.

The Roto-Rooter segment offers a comprehensive suite of plumbing, drain cleaning and water restoration services.

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