STERIS plc (NYSE:STE) Stock Now Rated "Moderate Buy" by Wall Street Brokerages

Key Points

• Analysts rate STERIS a “Moderate Buy”: Five of six covering analysts recommend buying the stock, with an average 12-month price target of $276.33.
• Quarterly results beat expectations: STERIS reported EPS of $2.94 versus a $2.68 consensus estimate and revenue of $1.59 billion, up 8.8% year over year.
• Insiders sold shares: The CFO and a director reported stock sales in November; company insiders own 1.12% of shares, while institutional investors own 94.69%.

Shares of STERIS plc (NYSE:STE - Get Free Report) have been given an average rating of "Moderate Buy" by the six analysts that are presently covering the stock, Marketbeat.com reports. One investment analyst has rated the stock with a hold recommendation and five have issued a buy recommendation on the company. The average 12-month price objective among brokers that have issued a report on the stock in the last year is $276.33.

Several analysts recently weighed in on STE shares. UBS Group cut their price objective on shares of STERIS from $275.00 to $270.00 and set a "buy" rating on the stock in a research report on Friday, August 7th. Weiss Ratings upgraded shares of STERIS from a "hold (c)" rating to a "hold (c+)" rating in a research report on Monday. Piper Sandler restated an "overweight" rating and issued a $275.00 target price (up from $270.00) on shares of STERIS in a research report on Friday, August 7th. Jefferies Financial Group upgraded shares of STERIS from a "hold" rating to a "buy" rating in a research note on Friday. Finally, Morgan Stanley raised STERIS from an "overweight" rating to a "buy" rating in a report on Friday.

Insider Activity at STERIS

In other STERIS news, CFO Karen Burton sold 5,880 shares of STERIS stock in a transaction on Wednesday, November 11th. The stock was sold at an average price of $255.62, for a total transaction of $1,503,045.60. Following the sale, the chief financial officer owned 12,956 shares of the company's stock, valued at $3,311,812.72. The trade was a 31.22% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Mohsen Sohi sold 4,893 shares of the business's stock in a transaction on Tuesday, November 10th. The stock was sold at an average price of $253.22, for a total value of $1,239,005.46. Following the transaction, the director owned 24,305 shares of the company's stock, valued at $6,154,512.10. This trade represents a 16.76% decrease in their position. The SEC filing for this sale provides additional information. 1.12% of the stock is owned by company insiders.

Institutional Investors Weigh In On STERIS

Hedge funds and other institutional investors have recently modified their holdings of the stock. Benjamin Edwards Inc. lifted its holdings in STERIS by 28.1% in the third quarter. Benjamin Edwards Inc. now owns 144,857 shares of the medical equipment provider's stock worth $30,428,000 after purchasing an additional 31,789 shares during the period. First Trust Advisors LP grew its position in STERIS by 2.7% in the 3rd quarter. First Trust Advisors LP now owns 251,561 shares of the medical equipment provider's stock valued at $52,830,000 after buying an additional 6,530 shares in the last quarter. Advisors Asset Management Inc. bought a new position in STERIS in the 3rd quarter valued at about $820,000. Private Wealth Asset Management LLC acquired a new position in STERIS during the 3rd quarter valued at about $234,000. Finally, Private Advisor Group LLC acquired a new position in STERIS during the 3rd quarter valued at about $212,000. 94.69% of the stock is currently owned by institutional investors.

STERIS Trading Down 1.1%

NYSE:STE opened at $253.50 on Friday. STERIS has a 12-month low of $195.14 and a 12-month high of $269.44. The firm has a market capitalization of $24.62 billion, a P/E ratio of 30.07 and a beta of 0.86. The company has a debt-to-equity ratio of 0.23, a current ratio of 2.05 and a quick ratio of 1.44. The business has a 50 day simple moving average of $222.55 and a 200 day simple moving average of $224.61.

STERIS (NYSE:STE - Get Free Report) last issued its earnings results on Wednesday, November 4th. The medical equipment provider reported $2.94 earnings per share for the quarter, topping the consensus estimate of $2.68 by $0.26. The firm had revenue of $1.59 billion for the quarter, compared to analyst estimates of $1.56 billion. STERIS had a return on equity of 14.80% and a net margin of 13.41%. The firm's revenue for the quarter was up 8.8% on a year-over-year basis. During the same period last year, the company earned $2.47 earnings per share. Equities research analysts predict that STERIS will post 11.46 EPS for the current year.

STERIS Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, December 17th. Investors of record on Tuesday, November 17th will be issued a $0.69 dividend. This represents a $2.76 dividend on an annualized basis and a yield of 1.1%. The ex-dividend date of this dividend is Tuesday, November 17th. STERIS's dividend payout ratio is 32.74%.

About STERIS

STERIS plc NYSE: STE provides infection prevention and procedural products and services for healthcare, pharmaceutical, research, and other industries. Its offerings include sterilizers, washers and other equipment used to clean and sterilize medical devices and surgical instruments, as well as products for operating rooms and endoscopy procedures. The company also provides equipment installation, maintenance, repair, and training, along with contract sterilization and laboratory testing services.

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