Tactile Systems Technology, Inc. (NASDAQ:TCMD) Stock Now Rated "Moderate Buy" by Wall Street Brokerages

Key Points

• Analyst sentiment is moderately positive: Six analysts rate Tactile Systems Technology a consensus “Moderate Buy,” with four buy ratings and two holds. The average 12-month price target is $38.40 versus the reported share price of $22.10.
• Quarterly results exceeded expectations: The company reported earnings of $0.34 per share, beating the $0.14 consensus estimate, while revenue reached $85.7 million compared with expectations of $85.52 million.
• Institutional ownership remains high: Hedge funds and other institutional investors own 83.43% of the stock. CEO Sheri Dodd sold shares to cover tax withholding obligations, reducing her position by 4.5%.

Shares of Tactile Systems Technology, Inc. (NASDAQ:TCMD - Get Free Report) have earned a consensus rating of "Moderate Buy" from the six research firms that are currently covering the stock, MarketBeat reports. Two research analysts have rated the stock with a hold rating and four have issued a buy rating on the company. The average 1 year price target among analysts that have covered the stock in the last year is $38.40.

A number of research analysts recently weighed in on TCMD shares. BTIG Research reduced their price objective on shares of Tactile Systems Technology from $40.00 to $39.00 and set a "buy" rating for the company in a research note on Tuesday, August 11th. Wall Street Zen upgraded Tactile Systems Technology from a "buy" rating to a "strong-buy" rating in a research report on Saturday, September 26th. Finally, Weiss Ratings lowered Tactile Systems Technology from a "hold (c+)" rating to a "hold (c)" rating in a report on Monday, September 28th.

Tactile Systems Technology Price Performance

NASDAQ TCMD opened at $22.10 on Monday. The company has a market cap of $500.57 million, a PE ratio of 20.46 and a beta of 0.82. Tactile Systems Technology has a 52 week low of $14.00 and a 52 week high of $37.77. The firm's 50-day simple moving average is $24.16 and its two-hundred day simple moving average is $25.49.

Tactile Systems Technology (NASDAQ:TCMD - Get Free Report) last posted its earnings results on Monday, August 10th. The company reported $0.34 earnings per share for the quarter, topping the consensus estimate of $0.14 by $0.20. Tactile Systems Technology had a net margin of 7.10% and a return on equity of 11.49%. The firm had revenue of $85.70 million during the quarter, compared to the consensus estimate of $85.52 million. As a group, equities research analysts anticipate that Tactile Systems Technology will post 1.1 EPS for the current year.

Insider Buying and Selling

In other Tactile Systems Technology news, CEO Sheri Dodd sold 10,978 shares of Tactile Systems Technology stock in a transaction dated Monday, August 10th. The stock was sold at an average price of $29.44, for a total transaction of $323,192.32. Following the completion of the transaction, the chief executive officer owned 232,907 shares of the company's stock, valued at $6,856,782.08. The trade was a 4.50% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. 2.10% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Tactile Systems Technology

A number of institutional investors and hedge funds have recently modified their holdings of the company. USA Financial Formulas purchased a new position in Tactile Systems Technology during the first quarter valued at approximately $71,000. Summit Securities Group LLC bought a new stake in Tactile Systems Technology during the 1st quarter worth approximately $75,000. Caitong International Asset Management Co. Ltd purchased a new stake in Tactile Systems Technology in the 4th quarter worth approximately $91,000. Versant Capital Management Inc lifted its stake in Tactile Systems Technology by 36.4% in the 2nd quarter. Versant Capital Management Inc now owns 3,285 shares of the company's stock worth $98,000 after purchasing an additional 876 shares in the last quarter. Finally, Quantbot Technologies LP bought a new position in Tactile Systems Technology in the 2nd quarter valued at $101,000. 83.43% of the stock is owned by hedge funds and other institutional investors.

About Tactile Systems Technology

Tactile Systems Technology, Inc, doing business as Tactile Medical, is a medical technology company focused on developing, manufacturing and distributing devices for people with chronic swelling and respiratory conditions. Its products are intended for use in the home and are commonly prescribed by health care professionals as part of ongoing disease-management programs.

The company's core products include the Flexitouch pneumatic compression system, designed to support the treatment of lymphedema and related conditions, and the Entre system, which provides pneumatic compression therapy for the upper and lower extremities.

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