Leerink Partners Forecasts Strong Price Appreciation for Premier (NASDAQ:PINC) Stock

Key Points

• Leerink Partners raised its price target for Premier (NASDAQ:PINC) stock from $24.00 to $26.00, indicating a potential downside of 3% from the current price, while maintaining a "market perform" rating.
• Despite reporting a quarterly earnings per share (EPS) of $0.43, exceeding expectations, Premier's revenue declined by 12.5% year-over-year, indicating challenges in the market.
• Institutional investors now own 74.41% of Premier's stock, with notable increases in stakes from various hedge funds during the second quarter.

Premier (NASDAQ:PINC - Free Report) had its price target lifted by Leerink Partners from $24.00 to $26.00 in a research note issued to investors on Tuesday,Benzinga reports. The brokerage currently has a market perform rating on the stock.

Other equities analysts have also issued reports about the company. Piper Sandler upped their target price on Premier from $19.00 to $24.00 and gave the company a "neutral" rating in a research report on Wednesday, May 21st. Robert W. Baird upped their target price on Premier from $19.00 to $22.00 and gave the company a "neutral" rating in a research report on Thursday, May 15th. Finally, Canaccord Genuity Group upped their target price on Premier from $19.00 to $22.00 and gave the company a "hold" rating in a research report on Thursday, May 8th. Eight equities research analysts have rated the stock with a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock has an average rating of "Reduce" and a consensus price target of $24.00.

Premier Stock Down 1.7%

Shares of PINC traded down $0.44 during trading on Tuesday, reaching $25.14. The company's stock had a trading volume of 1,612,583 shares, compared to its average volume of 1,903,392. The company has a fifty day moving average of $22.30 and a two-hundred day moving average of $20.91. Premier has a twelve month low of $17.23 and a twelve month high of $27.26. The company has a market cap of $2.07 billion, a price-to-earnings ratio of 114.28 and a beta of 0.56.

Premier Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Monday, September 15th. Investors of record on Monday, September 1st will be given a dividend of $0.21 per share. This represents a $0.84 annualized dividend and a dividend yield of 3.3%. The ex-dividend date of this dividend is Friday, August 29th. Premier's dividend payout ratio is currently 381.82%.

Insider Activity at Premier

In related news, Director John T. Bigalke sold 1,137 shares of the company's stock in a transaction that occurred on Wednesday, June 4th. The stock was sold at an average price of $23.03, for a total transaction of $26,185.11. Following the sale, the director directly owned 28,673 shares of the company's stock, valued at approximately $660,339.19. This represents a 3.81% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, Director Helen M. Boudreau sold 2,000 shares of the company's stock in a transaction that occurred on Friday, May 30th. The shares were sold at an average price of $22.88, for a total value of $45,760.00. Following the sale, the director directly owned 18,668 shares in the company, valued at approximately $427,123.84. This represents a 9.68% decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 0.96% of the company's stock.

Institutional Investors Weigh In On Premier

Large investors have recently added to or reduced their stakes in the stock. Tower Research Capital LLC TRC grew its stake in shares of Premier by 1,069.9% in the second quarter. Tower Research Capital LLC TRC now owns 7,862 shares of the company's stock worth $172,000 after purchasing an additional 7,190 shares in the last quarter. Corient Private Wealth LLC bought a new position in Premier during the second quarter valued at about $206,000. Vident Advisory LLC bought a new position in Premier during the second quarter valued at about $204,000. Tidal Investments LLC boosted its stake in Premier by 7.8% during the second quarter. Tidal Investments LLC now owns 31,749 shares of the company's stock valued at $696,000 after buying an additional 2,297 shares in the last quarter. Finally, Smartleaf Asset Management LLC boosted its stake in Premier by 155.1% during the second quarter. Smartleaf Asset Management LLC now owns 2,541 shares of the company's stock valued at $55,000 after buying an additional 1,545 shares in the last quarter. 74.41% of the stock is owned by institutional investors and hedge funds.

About Premier

Premier, Inc, together with its subsidiaries, operates as a healthcare improvement company in the United States. It operates in two segments, Supply Chain Services and Performance Services. The Supply Chain Services segment offers its members with an access to a range of products and services, including medical and surgical products, pharmaceuticals, laboratory supplies, capital equipment, information technology, facilities and construction, and food and nutritional products, as well as purchased services, such as clinical engineering and workforce solutions.