New Age Alpha Advisors LLC Takes Position in Globus Medical, Inc. (NYSE:GMED)

Key Points

• New Age Alpha Advisors LLC acquired 23,769 shares of Globus Medical, Inc., valued at approximately $1.74 million, signaling increased institutional interest in the stock.
• Globus Medical reported earnings of $0.86 EPS for the latest quarter, exceeding analysts' expectations, with a revenue increase of 18.4% year-over-year.
• The company announced a $500 million share buyback plan, indicating management's belief that its shares are currently undervalued.

New Age Alpha Advisors LLC purchased a new stake in Globus Medical, Inc. (NYSE:GMED - Free Report) during the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor purchased 23,769 shares of the medical device company's stock, valued at approximately $1,740,000.

Other large investors have also modified their holdings of the company. Burgundy Asset Management Ltd. lifted its stake in shares of Globus Medical by 1.7% during the fourth quarter. Burgundy Asset Management Ltd. now owns 2,618,108 shares of the medical device company's stock valued at $216,544,000 after buying an additional 43,330 shares during the period. Geneva Capital Management LLC lifted its stake in shares of Globus Medical by 1.0% during the first quarter. Geneva Capital Management LLC now owns 1,833,647 shares of the medical device company's stock valued at $134,223,000 after buying an additional 17,810 shares during the period. Marshall Wace LLP lifted its stake in shares of Globus Medical by 74.9% during the fourth quarter. Marshall Wace LLP now owns 1,136,266 shares of the medical device company's stock valued at $93,981,000 after buying an additional 486,756 shares during the period. The Manufacturers Life Insurance Company lifted its stake in shares of Globus Medical by 1.0% during the fourth quarter. The Manufacturers Life Insurance Company now owns 1,076,733 shares of the medical device company's stock valued at $89,057,000 after buying an additional 10,989 shares during the period. Finally, RTW Investments LP purchased a new position in shares of Globus Medical during the fourth quarter valued at approximately $80,394,000. 95.16% of the stock is currently owned by institutional investors and hedge funds.

Globus Medical Trading Up 2.5%

Shares of GMED stock opened at $54.16 on Friday. The company's fifty day simple moving average is $57.18 and its 200-day simple moving average is $69.08. Globus Medical, Inc. has a 52 week low of $51.79 and a 52 week high of $94.93. The company has a market cap of $7.33 billion, a PE ratio of 40.42, a P/E/G ratio of 1.54 and a beta of 1.20.

Globus Medical (NYSE:GMED - Get Free Report) last issued its earnings results on Thursday, August 7th. The medical device company reported $0.86 EPS for the quarter, beating analysts' consensus estimates of $0.76 by $0.10. Globus Medical had a net margin of 7.39% and a return on equity of 10.52%. The business had revenue of $745.34 million for the quarter, compared to the consensus estimate of $738.91 million. During the same quarter last year, the firm posted $0.75 EPS. The business's revenue for the quarter was up 18.4% compared to the same quarter last year. Equities research analysts expect that Globus Medical, Inc. will post 3.44 EPS for the current fiscal year.

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

Wall Street Analysts Forecast Growth

Several equities analysts recently issued reports on the stock. Morgan Stanley reduced their price objective on shares of Globus Medical from $75.00 to $68.00 and set an "overweight" rating on the stock in a research note on Tuesday, July 15th. Piper Sandler cut their price target on shares of Globus Medical from $100.00 to $80.00 and set an "overweight" rating on the stock in a research note on Friday, May 9th. Barclays reaffirmed an "overweight" rating on shares of Globus Medical in a research note on Tuesday, June 10th. Needham & Company LLC reaffirmed a "hold" rating on shares of Globus Medical in a research note on Monday, July 21st. Finally, JMP Securities reaffirmed a "market perform" rating on shares of Globus Medical in a research note on Tuesday, May 27th. Five research analysts have rated the stock with a hold rating and nine have assigned a buy rating to the company's stock. Based on data from MarketBeat.com, Globus Medical presently has a consensus rating of "Moderate Buy" and an average 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.

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