Embecta Corp. (NASDAQ:EMBC) Receives Average Recommendation of "Moderate Buy" from Analysts

Key Points

• Embecta Corp. has received an average analyst rating of "Moderate Buy," with a 12-month target price of $19.00.
• Institutional investors significantly increased their stakes in Embecta, with Laurel Wealth Advisors boosting its stake by 754.3% in the last quarter alone.
• The company reported $1.12 earnings per share for the most recent quarter, exceeding estimates, along with revenues of $295.50 million, marking an 8.4% year-over-year increase.

Embecta Corp. (NASDAQ:EMBC - Get Free Report) has been assigned an average rating of "Moderate Buy" from the four ratings firms that are presently covering the firm, Marketbeat Ratings reports. Two investment analysts have rated the stock with a hold recommendation, one has given a buy recommendation and one has issued a strong buy recommendation on the company. The average 12 month target price among brokers that have issued ratings on the stock in the last year is $19.00.

EMBC has been the subject of several research reports. Zacks Research upgraded Embecta from a "hold" rating to a "strong-buy" rating in a research report on Tuesday, August 26th. Wall Street Zen upgraded Embecta from a "buy" rating to a "strong-buy" rating in a research report on Saturday, August 16th. Mizuho lowered their price target on Embecta from $13.00 to $12.00 and set a "neutral" rating on the stock in a research report on Wednesday, July 16th. Weiss Ratings reiterated a "hold (c-)" rating on shares of Embecta in a research report on Saturday, September 27th. Finally, BTIG Research reiterated a "buy" rating and set a $25.00 price target on shares of Embecta in a research report on Friday, September 5th.

Institutional Trading of Embecta

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. Laurel Wealth Advisors LLC increased its stake in Embecta by 754.3% during the second quarter. Laurel Wealth Advisors LLC now owns 1,871 shares of the company's stock valued at $193,000 after acquiring an additional 1,652 shares during the period. Brooklyn Investment Group grew its stake in shares of Embecta by 1,164.1% in the 1st quarter. Brooklyn Investment Group now owns 3,590 shares of the company's stock valued at $46,000 after purchasing an additional 3,306 shares during the period. Banque Transatlantique SA grew its stake in shares of Embecta by 879.1% in the 1st quarter. Banque Transatlantique SA now owns 3,701 shares of the company's stock valued at $44,000 after purchasing an additional 3,323 shares during the period. Wealthquest Corp bought a new stake in shares of Embecta in the 1st quarter valued at approximately $48,000. Finally, Picton Mahoney Asset Management bought a new stake in shares of Embecta in the 1st quarter valued at approximately $50,000. Institutional investors and hedge funds own 93.83% of the company's stock.

Embecta Trading Up 0.4%

Shares of NASDAQ EMBC traded up $0.06 during trading on Friday, reaching $14.32. The company had a trading volume of 374,754 shares, compared to its average volume of 588,779. Embecta has a twelve month low of $9.20 and a twelve month high of $21.48. The stock has a market capitalization of $837.51 million, a PE ratio of 10.01, a price-to-earnings-growth ratio of 0.82 and a beta of 1.11. The stock has a 50-day moving average price of $13.53 and a two-hundred day moving average price of $12.04.

Embecta (NASDAQ:EMBC - Get Free Report) last released its quarterly earnings results on Friday, August 8th. The company reported $1.12 earnings per share for the quarter, topping analysts' consensus estimates of $0.77 by $0.35. The company had revenue of $295.50 million during the quarter, compared to analysts' expectations of $278.15 million. Embecta had a negative return on equity of 23.40% and a net margin of 7.58%.The business's revenue for the quarter was up 8.4% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.74 earnings per share. Embecta has set its FY 2025 guidance at 2.900-2.950 EPS. On average, sell-side analysts predict that Embecta will post 2.85 EPS for the current year.

Embecta Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Monday, September 15th. Investors of record on Friday, August 29th were given a dividend of $0.15 per share. The ex-dividend date of this dividend was Friday, August 29th. This represents a $0.60 dividend on an annualized basis and a yield of 4.2%. Embecta's dividend payout ratio (DPR) is presently 41.96%.

About Embecta

Embecta Corp., a medical device company, focuses on the provision of various solutions to enhance the health and wellbeing of people living with diabetes. Its products include pen needles, syringes, and safety injection devices, as well as digital applications to assist people with managing patient's diabetes.

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