Embecta Corp. (NASDAQ:EMBC) Given Consensus Rating of "Reduce" by Analysts

Key Points

• Analysts have a consensus “Reduce” rating on Embecta, with two sell ratings and three holds. The average 12-month price target is $11, though recent targets were cut sharply to between $3 and $5.
• Embecta’s latest quarter showed significant weakness: EPS was $0.27 versus expectations of $0.42, revenue fell 14.4% year over year to $221.8 million, and the stock opened at $3.64 near its 52-week low.
• Investors are also monitoring upcoming earnings and securities litigation tied to insulin pen-needle disclosures. Institutional investors own 93.83% of the company, while management’s fiscal 2026 EPS guidance is $1.55 to $1.75.

Shares of Embecta Corp. (NASDAQ:EMBC - Get Free Report) have received a consensus recommendation of "Reduce" from the five brokerages that are covering the firm, Marketbeat reports. Two investment analysts have rated the stock with a sell rating and three have given a hold rating to the company. The average 12-month price objective among brokerages that have issued a report on the stock in the last year is $11.00.

A number of research analysts have recently weighed in on EMBC shares. Mizuho cut their price objective on Embecta from $12.00 to $5.00 and set a "neutral" rating on the stock in a report on Wednesday, May 6th. BTIG Research downgraded Embecta from a "buy" rating to a "neutral" rating in a report on Tuesday, May 5th. Bank of America dropped their target price on Embecta from $11.00 to $3.00 and set an "underperform" rating on the stock in a research report on Monday, May 18th. Wall Street Zen downgraded shares of Embecta from a "strong-buy" rating to a "hold" rating in a report on Saturday, May 9th. Finally, Zacks Research raised shares of Embecta from a "strong sell" rating to a "hold" rating in a research report on Friday, July 17th.

Institutional Trading of Embecta

Hedge funds and other institutional investors have recently made changes to their positions in the business. Allspring Global Investments Holdings LLC raised its holdings in shares of Embecta by 9.0% during the fourth quarter. Allspring Global Investments Holdings LLC now owns 12,708 shares of the company's stock worth $148,000 after purchasing an additional 1,050 shares during the last quarter. Brooklyn Investment Group boosted its holdings in Embecta by 5.9% in the fourth quarter. Brooklyn Investment Group now owns 19,736 shares of the company's stock valued at $234,000 after purchasing an additional 1,098 shares during the last quarter. The Manufacturers Life Insurance Company boosted its holdings in Embecta by 5.4% in the second quarter. The Manufacturers Life Insurance Company now owns 21,589 shares of the company's stock valued at $209,000 after purchasing an additional 1,110 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its position in Embecta by 2.4% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 49,323 shares of the company's stock worth $629,000 after purchasing an additional 1,159 shares during the period. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its position in Embecta by 1.0% during the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 150,271 shares of the company's stock worth $1,785,000 after purchasing an additional 1,520 shares during the period. Institutional investors and hedge funds own 93.83% of the company's stock.

More Embecta News

Here are the key news stories impacting Embecta this week:

• Neutral Sentiment: The securities case covers investors who purchased Embecta shares between November 25, 2025, and May 4, 2026. Several firms are seeking lead-plaintiff applicants, with an August 17, 2026 deadline. These notices primarily repeat previously reported litigation developments rather than introduce a new operating update. Rosen Embecta class action deadline notice
• Neutral Sentiment: Embecta is also scheduled to report quarterly earnings, making the upcoming results and management commentary important catalysts. Investors will likely focus on insulin pen-needle demand, revenue guidance, dividend policy, and whether the company can meet its fiscal 2026 EPS target of $1.55 to $1.75.
• Negative Sentiment: The concentration of new investor-law-firm announcements is increasing concerns about potential legal costs, damages, management credibility, and further scrutiny of Embecta’s disclosures. The litigation adds to existing fundamental worries, including the latest reported revenue decline, an earnings miss, and sharply reduced guidance. Hagens Berman Embecta investigation

Embecta Price Performance

NASDAQ EMBC opened at $3.64 on Friday. The stock's fifty day moving average price is $3.29 and its 200 day moving average price is $6.97. Embecta has a 1 year low of $2.77 and a 1 year high of $15.55. The company has a market cap of $215.96 million, a price-to-earnings ratio of 1.92 and a beta of 0.83.

Embecta (NASDAQ:EMBC - Get Free Report) last issued its earnings results on Tuesday, May 5th. The company reported $0.27 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.42 by ($0.15). Embecta had a negative return on equity of 23.96% and a net margin of 10.73%.The firm had revenue of $221.80 million during the quarter, compared to analysts' expectations of $235.67 million. During the same quarter last year, the business earned $0.70 EPS. The business's revenue was down 14.4% on a year-over-year basis. Embecta has set its FY 2026 guidance at 1.550-1.75 EPS. Research analysts expect that Embecta will post 1.62 earnings per share for the current year.

Embecta Company Profile

Embecta Corp NASDAQ: EMBC is a pure-play diabetes care company that was spun off from Becton, Dickinson and Company on July 1, 2021. Headquartered in Franklin Lakes, New Jersey, Embecta focuses exclusively on the development, manufacturing and commercialization of products that enable insulin delivery and blood glucose monitoring for people with diabetes.

The company’s product portfolio includes insulin infusion sets, durable and patch pumps, pen needles, infusion tubing, blood glucose test strips, lancets and lancing devices.

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