Insider Selling: Varex Imaging (NASDAQ:VREX) CFO Sells 130,000 Shares of Stock

Key Points

• Varex Imaging CFO Shubham Maheshwari sold 130,000 shares at an average price of $18.46, generating approximately $2.4 million. The sale, which reduced his holdings by 48.15%, was made to cover tax withholding on vested equity awards.
• Varex Imaging shares traded near a 52-week high at $18.47, while the company’s latest quarterly earnings of $0.31 per share exceeded analyst expectations of $0.21 despite revenue falling short of estimates.
• Analyst sentiment is cautious: the stock carries a consensus “Hold” rating from seven analysts, with an average price target of $16.88.

Varex Imaging (NASDAQ:VREX - Get Free Report) CFO Shubham Maheshwari sold 130,000 shares of the stock in a transaction dated Friday, September 11th. The shares were sold at an average price of $18.46, for a total value of $2,399,800.00. Following the completion of the sale, the chief financial officer owned 139,972 shares of the company's stock, valued at approximately $2,583,883.12. This trade represents a 48.15% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Varex Imaging Stock Up 0.1%

Varex Imaging stock traded up $0.01 during midday trading on Tuesday, hitting $18.47. 548,724 shares of the company were exchanged, compared to its average volume of 526,859. The company has a market cap of $777.59 million, a PE ratio of 35.52 and a beta of 0.96. Varex Imaging has a fifty-two week low of $9.09 and a fifty-two week high of $18.63. The company's fifty day moving average price is $14.95 and its 200-day moving average price is $12.37. The company has a debt-to-equity ratio of 0.64, a current ratio of 3.38 and a quick ratio of 1.53.

Varex Imaging (NASDAQ:VREX - Get Free Report) last posted its quarterly earnings data on Monday, August 10th. The company reported $0.31 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.21 by $0.10. The company had revenue of $210.50 million for the quarter, compared to analyst estimates of $215.50 million. Varex Imaging had a net margin of 2.55% and a return on equity of 9.19%. On average, research analysts predict that Varex Imaging will post 1.04 EPS for the current fiscal year.

Hedge Funds Weigh In On Varex Imaging

Large investors have recently bought and sold shares of the business. Engineers Gate Manager LP acquired a new stake in shares of Varex Imaging during the 2nd quarter worth approximately $542,000. Integrated Wealth Concepts LLC acquired a new position in Varex Imaging during the 2nd quarter valued at approximately $32,000. Squarepoint Ops LLC acquired a new position in Varex Imaging during the 2nd quarter valued at approximately $1,492,000. AXQ Capital LP bought a new position in Varex Imaging during the 2nd quarter worth $116,000. Finally, Empowered Funds LLC acquired a new stake in Varex Imaging in the second quarter worth $1,043,000.

Wall Street Analysts Forecast Growth

Several analysts have recently weighed in on the company. CJS Securities downgraded Varex Imaging from an "outperform" rating to a "market perform" rating in a research note on Monday, August 17th. Sidoti reissued a "neutral" rating and issued a $19.00 price target on shares of Varex Imaging in a report on Monday, August 10th. Zacks Research lowered Varex Imaging from a "strong-buy" rating to a "hold" rating in a research note on Monday, July 27th. B. Riley Financial downgraded Varex Imaging from a "buy" rating to a "hold" rating in a report on Monday, August 10th. Finally, Weiss Ratings raised Varex Imaging from a "sell (d+)" rating to a "hold (c-)" rating in a research report on Wednesday, August 26th. Seven equities research analysts have rated the stock with a Hold rating, According to data from MarketBeat, the company currently has a consensus rating of "Hold" and an average price target of $16.88.

About Varex Imaging

Varex Imaging Corporation NASDAQ: VREX develops and manufactures X-ray imaging components used by medical, industrial and security equipment manufacturers. Its products are incorporated into systems that support diagnostic imaging, radiation therapy, inspection and threat detection.

The company's portfolio includes X-ray tubes, digital image detectors, high-voltage generators, image-processing software and other imaging subsystems. These products are used in applications such as computed tomography, radiography, fluoroscopy, mammography, dental and veterinary imaging, as well as industrial non-destructive testing and security screening.

Varex Imaging was established as an independent public company in 2017 through a spin-off from Varian Medical Systems.

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