Healthcare Services Group (NASDAQ:HCSG) Cut to "Hold" at Wall Street Zen

Key Points

• Wall Street Zen downgraded Healthcare Services Group from “Buy” to “Hold,” though the broader analyst consensus remains “Moderate Buy” with an average price target of $26.20.
• HCSG reported quarterly EPS of $0.32, beating the $0.22 consensus estimate, while revenue of $470.81 million was essentially in line with expectations.
• The stock opened at $23.30 and has risen from a one-year low of $12.84, with institutional investors owning approximately 97.97% of outstanding shares.

Healthcare Services Group (NASDAQ:HCSG - Get Free Report) was downgraded by research analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a report issued on Saturday.

Other equities analysts have also recently issued reports about the company. UBS Group increased their price target on Healthcare Services Group from $27.00 to $30.00 and gave the stock a "buy" rating in a report on Wednesday, July 8th. Zacks Research lowered shares of Healthcare Services Group from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, June 30th. Weiss Ratings upgraded shares of Healthcare Services Group from a "buy (b-)" rating to a "buy (b)" rating in a research report on Tuesday. BMO Capital Markets increased their target price on shares of Healthcare Services Group from $22.00 to $24.00 and gave the stock a "market perform" rating in a research note on Thursday, April 23rd. Finally, Benchmark increased their target price on shares of Healthcare Services Group from $28.00 to $30.00 and gave the stock a "buy" rating in a research note on Thursday, April 23rd. Five analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $26.20.

Healthcare Services Group Trading Up 1.0%

HCSG stock opened at $23.30 on Friday. The stock has a 50-day moving average price of $22.87 and a 200-day moving average price of $21.09. Healthcare Services Group has a 1-year low of $12.84 and a 1-year high of $25.75. The firm has a market cap of $1.60 billion, a PE ratio of 13.55 and a beta of 0.78.

Healthcare Services Group (NASDAQ:HCSG - Get Free Report) last announced its quarterly earnings data on Wednesday, July 22nd. The business services provider reported $0.32 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.22 by $0.10. The company had revenue of $470.81 million for the quarter, compared to the consensus estimate of $471.22 million. Healthcare Services Group had a return on equity of 18.97% and a net margin of 6.59%.During the same period in the previous year, the business earned ($0.44) EPS. On average, analysts forecast that Healthcare Services Group will post 1.01 earnings per share for the current year.

Institutional Trading of Healthcare Services Group

Several institutional investors and hedge funds have recently modified their holdings of the stock. Royal Bank of Canada lifted its holdings in Healthcare Services Group by 3.7% during the first quarter. Royal Bank of Canada now owns 139,126 shares of the business services provider's stock worth $1,402,000 after acquiring an additional 4,917 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its stake in Healthcare Services Group by 4.4% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 43,704 shares of the business services provider's stock valued at $441,000 after purchasing an additional 1,824 shares during the period. Dynamic Technology Lab Private Ltd bought a new position in Healthcare Services Group in the 1st quarter valued at $242,000. Jane Street Group LLC increased its position in shares of Healthcare Services Group by 962.0% during the 1st quarter. Jane Street Group LLC now owns 200,082 shares of the business services provider's stock valued at $2,017,000 after purchasing an additional 181,242 shares during the last quarter. Finally, Invesco Ltd. increased its position in shares of Healthcare Services Group by 19.4% during the 2nd quarter. Invesco Ltd. now owns 747,822 shares of the business services provider's stock valued at $11,240,000 after purchasing an additional 121,263 shares during the last quarter. 97.97% of the stock is owned by hedge funds and other institutional investors.

About Healthcare Services Group

Healthcare Services Group, Inc NASDAQ: HCSG is a leading provider of support services to healthcare facilities across the United States. The company specializes in environmental services, including housekeeping and sanitation, as well as linen and laundry management. In addition, Healthcare Services Group offers dietary and nutrition services, catering to hospitals, skilled nursing facilities, assisted living communities and other long-term care providers.

Founded as a family-owned business in the late 1970s, the company completed its initial public offering in 1997.

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