Zurcher Kantonalbank Zurich Cantonalbank Grows Stock Position in Globus Medical, Inc. (NYSE:GMED)

Key Points

• Zurcher Kantonalbank Zurich Cantonalbank increased its stake in Globus Medical, Inc. by 23.2% in the first quarter, bringing its total shares to 38,310, valued at approximately $2.8 million.
• Globus Medical recently reported $0.68 earnings per share for the quarter, missing analyst expectations by $0.06, with revenues totaling $598.12 million, below analysts' forecasts.
• The company has initiated a stock buyback program of up to $500 million, which indicates the board's belief that its stock is currently undervalued.

Zurcher Kantonalbank Zurich Cantonalbank boosted its stake in Globus Medical, Inc. (NYSE:GMED - Free Report) by 23.2% in the first quarter, according to its most recent filing with the Securities and Exchange Commission. The fund owned 38,310 shares of the medical device company's stock after buying an additional 7,215 shares during the quarter. Zurcher Kantonalbank Zurich Cantonalbank's holdings in Globus Medical were worth $2,804,000 as of its most recent SEC filing.

Other hedge funds have also recently bought and sold shares of the company. American Century Companies Inc. raised its stake in shares of Globus Medical by 255.9% during the 4th quarter. American Century Companies Inc. now owns 103,833 shares of the medical device company's stock worth $8,588,000 after purchasing an additional 74,659 shares during the period. Envestnet Asset Management Inc. increased its holdings in Globus Medical by 49.5% during the first quarter. Envestnet Asset Management Inc. now owns 413,366 shares of the medical device company's stock worth $30,258,000 after buying an additional 136,955 shares during the last quarter. Illinois Municipal Retirement Fund purchased a new stake in Globus Medical during the first quarter worth about $587,000. New York State Teachers Retirement System raised its position in Globus Medical by 1.2% in the first quarter. New York State Teachers Retirement System now owns 88,143 shares of the medical device company's stock worth $6,452,000 after acquiring an additional 1,027 shares during the period. Finally, Allspring Global Investments Holdings LLC purchased a new position in Globus Medical in the first quarter valued at about $753,000. 95.16% of the stock is owned by hedge funds and other institutional investors.

Globus Medical Trading Down 1.6%

Shares of GMED traded down $0.83 during mid-day trading on Wednesday, reaching $52.81. 429,147 shares of the stock traded hands, compared to its average volume of 1,424,712. The company has a market cap of $7.15 billion, a price-to-earnings ratio of 39.41, a price-to-earnings-growth ratio of 1.57 and a beta of 1.20. Globus Medical, Inc. has a 1 year low of $51.79 and a 1 year high of $94.93. The firm has a fifty day moving average price of $57.31 and a 200 day moving average price of $69.20.

Globus Medical (NYSE:GMED - Get Free Report) last posted its earnings results on Thursday, May 8th. The medical device company reported $0.68 EPS for the quarter, missing the consensus estimate of $0.74 by ($0.06). Globus Medical had a return on equity of 10.52% and a net margin of 7.39%. The business had revenue of $598.12 million for the quarter, compared to analysts' expectations of $629.74 million. During the same quarter in the previous year, the firm earned $0.72 earnings per share. Globus Medical's quarterly revenue was down 1.4% compared to the same quarter last year. On average, sell-side analysts anticipate that Globus Medical, Inc. will post 3.44 EPS for the current year.

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

Wall Street Analysts Forecast Growth

Several equities research analysts have recently issued reports on GMED shares. Wall Street Zen upgraded shares of Globus Medical from a "hold" rating to a "buy" rating in a research note on Monday, May 12th. Canaccord Genuity Group decreased their target price on Globus Medical from $97.00 to $90.00 and set a "buy" rating for the company in a research report on Tuesday, July 22nd. Needham & Company LLC restated a "hold" rating on shares of Globus Medical in a research note on Monday, July 21st. Barclays reiterated an "overweight" rating on shares of Globus Medical in a research note on Tuesday, June 10th. Finally, BTIG Research restated a "neutral" rating on shares of Globus Medical in a research note on Tuesday, May 27th. Five analysts have rated the stock with a hold rating and nine have issued a buy rating to the company's stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $90.09.

Globus Medical Company Profile

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.