Longbow Finance SA Buys New Shares in Globus Medical, Inc. (NYSE:GMED)

Key Points

• Longbow Finance SA acquired a significant stake in Globus Medical, purchasing 28,995 shares valued at approximately $2.12 million during the first quarter.
• Globus Medical's stock has been highlighted by analysts with several ratings; Barclays maintains an "overweight" rating, while Piper Sandler and Morgan Stanley have lowered their price targets to $80.00 and $68.00, respectively.
• The company initiated a stock buyback program allowing for the repurchase of up to $500 million in shares, indicating management's belief that the stock is undervalued.

Longbow Finance SA bought a new position in shares of Globus Medical, Inc. (NYSE:GMED - Free Report) in the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm bought 28,995 shares of the medical device company's stock, valued at approximately $2,122,000.

Several other institutional investors and hedge funds have also made changes to their positions in GMED. Farther Finance Advisors LLC boosted its holdings in Globus Medical by 145.5% in the first quarter. Farther Finance Advisors LLC now owns 405 shares of the medical device company's stock worth $30,000 after acquiring an additional 240 shares in the last quarter. Larson Financial Group LLC lifted its holdings in Globus Medical by 1,007.7% in the first quarter. Larson Financial Group LLC now owns 432 shares of the medical device company's stock valued at $32,000 after acquiring an additional 393 shares during the period. Parallel Advisors LLC raised its stake in shares of Globus Medical by 62.1% during the 1st quarter. Parallel Advisors LLC now owns 504 shares of the medical device company's stock worth $37,000 after buying an additional 193 shares during the period. Versant Capital Management Inc raised its stake in shares of Globus Medical by 932.1% during the 1st quarter. Versant Capital Management Inc now owns 547 shares of the medical device company's stock worth $40,000 after buying an additional 494 shares during the period. Finally, Whittier Trust Co. increased its position in shares of Globus Medical by 46.5% during the first quarter. Whittier Trust Co. now owns 580 shares of the medical device company's stock worth $42,000 after purchasing an additional 184 shares in the last quarter. 95.16% of the stock is currently owned by institutional investors.

Globus Medical Trading Down 0.3%

Globus Medical stock traded down $0.15 during mid-day trading on Tuesday, hitting $54.15. 211,257 shares of the company's stock were exchanged, compared to its average volume of 1,432,451. The stock has a market cap of $7.33 billion, a P/E ratio of 40.37, a P/E/G ratio of 1.59 and a beta of 1.19. Globus Medical, Inc. has a 1-year low of $51.87 and a 1-year high of $94.93. The stock has a 50 day moving average of $58.05 and a two-hundred day moving average of $70.57.

Globus Medical (NYSE:GMED - Get Free Report) last issued its quarterly earnings results on Thursday, May 8th. The medical device company reported $0.68 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.74 by ($0.06). The business had revenue of $598.12 million during the quarter, compared to analyst estimates of $629.74 million. Globus Medical had a net margin of 7.39% and a return on equity of 10.52%. The company's revenue for the quarter was down 1.4% compared to the same quarter last year. During the same period in the prior year, the business posted $0.72 earnings per share. As a group, research analysts predict that Globus Medical, Inc. will post 3.44 EPS for the current fiscal year.

Globus Medical announced that its board has authorized a stock buyback plan on Thursday, May 15th that authorizes the company to repurchase $500.00 million in shares. This repurchase authorization authorizes the medical device company to reacquire up to 6.3% of its stock through open market purchases. Stock repurchase plans are usually an indication that the company's board believes its shares are undervalued.

Analysts Set New Price Targets

Several brokerages have issued reports on GMED. Canaccord Genuity Group dropped their target price on Globus Medical from $97.00 to $90.00 and set a "buy" rating for the company in a report on Tuesday, July 22nd. Needham & Company LLC reissued a "hold" rating on shares of Globus Medical in a research note on Monday, July 21st. Piper Sandler reduced their price target on Globus Medical from $100.00 to $80.00 and set an "overweight" rating on the stock in a research report on Friday, May 9th. BTIG Research reiterated a "neutral" rating on shares of Globus Medical in a report on Tuesday, May 27th. Finally, Barclays restated an "overweight" rating on shares of Globus Medical in a research note on Tuesday, June 10th. Five analysts have rated the stock with a hold rating and nine have assigned a buy rating to the stock. According to data from MarketBeat, Globus Medical currently has a consensus rating of "Moderate Buy" and a consensus target price of $90.09.

About Globus Medical

Globus Medical, Inc, a medical device company, develops and commercializes healthcare solutions for patients with musculoskeletal disorders in the United States and internationally. The company offers spine products, such as traditional fusion implants comprising pedicle screw and rod systems, plating systems, intervertebral spacers, and corpectomy devices for treating degenerative and congenital conditions, deformity, tumors, and trauma injuries; treatment options for motion preservation technologies that consist of dynamic stabilization, total disc replacement, and interspinous distraction devices; interventional solutions to treat vertebral compression fractures; and regenerative biologic products comprising of allografts and synthetic alternatives.