Globus Medical (NYSE:GMED) Sets New 52-Week Low - Should You Sell?

Globus Medical, Inc. (NYSE:GMED - Get Free Report)'s share price reached a new 52-week low on Monday . The stock traded as low as $52.22 and last traded at $53.03, with a volume of 576820 shares changing hands. The stock had previously closed at $56.34.

Wall Street Analysts Forecast Growth

Several research firms recently weighed in on GMED. BTIG Research reiterated a "neutral" rating on shares of Globus Medical in a research report on Tuesday, May 27th. Piper Sandler dropped their price target on Globus Medical from $100.00 to $80.00 and set an "overweight" rating for the company in a research report on Friday, May 9th. Truist Financial dropped their price target on Globus Medical from $80.00 to $68.00 and set a "hold" rating for the company in a research report on Monday, May 12th. JMP Securities reaffirmed a "market perform" rating on shares of Globus Medical in a research note on Tuesday, May 27th. Finally, Morgan Stanley decreased their price target on Globus Medical from $75.00 to $68.00 and set an "overweight" rating for the company in a research note on Tuesday, July 15th. Five investment analysts have rated the stock with a hold rating and nine have assigned a buy rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $91.09.

Globus Medical Stock Performance

The company has a 50 day simple moving average of $58.74 and a two-hundred day simple moving average of $71.89. The firm has a market cap of $7.17 billion, a PE ratio of 39.54, a P/E/G ratio of 1.64 and a beta of 1.19.

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

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

Institutional Investors Weigh In On Globus Medical

Several institutional investors have recently modified their holdings of the company. American Century Companies Inc. grew its position in Globus Medical by 255.9% in the fourth quarter. American Century Companies Inc. now owns 103,833 shares of the medical device company's stock valued at $8,588,000 after acquiring an additional 74,659 shares in the last quarter. Envestnet Asset Management Inc. increased its stake in Globus Medical by 49.5% in the 1st quarter. Envestnet Asset Management Inc. now owns 413,366 shares of the medical device company's stock worth $30,258,000 after purchasing an additional 136,955 shares in the last quarter. Illinois Municipal Retirement Fund purchased a new stake in shares of Globus Medical in the first quarter valued at $587,000. New York State Teachers Retirement System increased its stake in shares of 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 last quarter. Finally, Allspring Global Investments Holdings LLC acquired a new position in Globus Medical during the first quarter worth $753,000. Hedge funds and other institutional investors own 95.16% of the company's stock.

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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