Molina Healthcare, Inc (NYSE:MOH) Sees Large Increase in Short Interest

Key Points

• Molina Healthcare's short interest jumped by 30.4% in August, reaching a total of 2,920,000 shares, indicating increased bearish sentiment among investors.
• COO James Woys purchased 10,000 shares of the company at $155.94 each, significantly increasing his position, while Director Ronna Romney sold 700 shares at $153.74.
• Analysts have revised price targets for Molina Healthcare, with UBS Group setting a new objective of $180.00, reflecting a cautious outlook after previously higher estimates.

Molina Healthcare, Inc (NYSE:MOH - Get Free Report) was the target of a significant increase in short interest in the month of August. As of August 31st, there was short interest totaling 2,920,000 shares, an increase of 30.4% from the August 15th total of 2,240,000 shares. Approximately 5.5% of the shares of the company are short sold. Based on an average daily trading volume, of 1,510,000 shares, the short-interest ratio is currently 1.9 days. Based on an average daily trading volume, of 1,510,000 shares, the short-interest ratio is currently 1.9 days. Approximately 5.5% of the shares of the company are short sold.

Insider Activity at Molina Healthcare

In other news, COO James Woys bought 10,000 shares of the business's stock in a transaction on Monday, August 4th. The stock was purchased at an average cost of $155.94 per share, for a total transaction of $1,559,400.00. Following the completion of the transaction, the chief operating officer directly owned 74,331 shares of the company's stock, valued at approximately $11,591,176.14. This trade represents a 15.54% increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Ronna Romney sold 700 shares of the company's stock in a transaction that occurred on Wednesday, August 6th. The stock was sold at an average price of $153.74, for a total value of $107,618.00. Following the completion of the sale, the director owned 17,131 shares of the company's stock, valued at $2,633,719.94. This trade represents a 3.93% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 1.10% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Osaic Holdings Inc. lifted its stake in Molina Healthcare by 29.0% during the second quarter. Osaic Holdings Inc. now owns 2,280 shares of the company's stock worth $682,000 after purchasing an additional 513 shares during the period. Orion Porfolio Solutions LLC increased its holdings in shares of Molina Healthcare by 225.8% during the second quarter. Orion Porfolio Solutions LLC now owns 6,630 shares of the company's stock worth $1,975,000 after buying an additional 4,595 shares in the last quarter. State of Wyoming acquired a new stake in shares of Molina Healthcare during the second quarter worth approximately $235,000. CYBER HORNET ETFs LLC acquired a new stake in shares of Molina Healthcare during the second quarter worth approximately $45,000. Finally, CANADA LIFE ASSURANCE Co increased its holdings in shares of Molina Healthcare by 12.7% during the second quarter. CANADA LIFE ASSURANCE Co now owns 31,594 shares of the company's stock worth $9,415,000 after buying an additional 3,554 shares in the last quarter. Institutional investors own 98.50% of the company's stock.

Molina Healthcare Price Performance

MOH traded down $4.62 during midday trading on Friday, reaching $175.09. 2,063,581 shares of the company's stock were exchanged, compared to its average volume of 1,239,660. The firm has a market capitalization of $9.49 billion, a price-to-earnings ratio of 8.63 and a beta of 0.54. The company has a quick ratio of 1.66, a current ratio of 1.66 and a debt-to-equity ratio of 0.77. Molina Healthcare has a one year low of $151.95 and a one year high of $359.97. The business has a 50-day simple moving average of $174.11 and a two-hundred day simple moving average of $261.67.

Molina Healthcare (NYSE:MOH - Get Free Report) last announced its quarterly earnings results on Wednesday, July 23rd. The company reported $5.48 EPS for the quarter, missing analysts' consensus estimates of $5.50 by ($0.02). The business had revenue of $11.43 billion for the quarter, compared to the consensus estimate of $10.94 billion. Molina Healthcare had a return on equity of 27.72% and a net margin of 2.60%.The firm's revenue for the quarter was up 15.7% on a year-over-year basis. During the same quarter in the prior year, the business earned $5.86 EPS. As a group, research analysts predict that Molina Healthcare will post 24.4 EPS for the current year.

Wall Street Analysts Forecast Growth

A number of equities analysts recently weighed in on MOH shares. Wells Fargo & Company decreased their price target on Molina Healthcare from $216.00 to $198.00 and set an "overweight" rating for the company in a research report on Friday, August 15th. Truist Financial reiterated a "hold" rating and issued a $180.00 price target (down previously from $335.00) on shares of Molina Healthcare in a research report on Friday, July 25th. Barclays decreased their price target on Molina Healthcare from $186.00 to $185.00 and set an "equal weight" rating for the company in a research report on Thursday, September 4th. Cantor Fitzgerald reiterated a "neutral" rating and issued a $210.00 price target on shares of Molina Healthcare in a research report on Tuesday, August 26th. Finally, Mizuho reduced their target price on Molina Healthcare from $400.00 to $330.00 and set an "outperform" rating for the company in a report on Friday, July 11th. Three equities research analysts have rated the stock with a Buy rating and ten have given a Hold rating to the company. According to data from MarketBeat.com, Molina Healthcare currently has an average rating of "Hold" and a consensus price target of $225.18.

Molina Healthcare Company Profile

Molina Healthcare, Inc provides managed healthcare services to low-income families and individuals under the Medicaid and Medicare programs and through the state insurance marketplaces. It operates in four segments: Medicaid, Medicare, Marketplace, and Other. The company served in across 19 states. The company was founded in 1980 and is headquartered in Long Beach, California.