Molina Healthcare (NYSE:MOH) Hits New 1-Year Low - Time to Sell?

Key Points

• Molina Healthcare's stock has reached a new 52-week low at $152.13 amidst trading activity, showing a significant drop from its previous closing price of $158.15.
• Despite the recent decline, Wall Street analysts have varying ratings, with a consensus rating of "Hold" and an average price target of $244.55.
• The company's most recent earnings report showed an EPS of $5.48, slightly missing analyst estimates while revenue rose 15.7% year-over-year.

Molina Healthcare, Inc (NYSE:MOH - Get Free Report)'s stock price hit a new 52-week low on Wednesday . The company traded as low as $152.13 and last traded at $155.34, with a volume of 1648446 shares. The stock had previously closed at $158.15.

Analyst Upgrades and Downgrades

A number of analysts recently issued reports on the stock. Cantor Fitzgerald restated a "neutral" rating and set a $210.00 price objective (down previously from $312.00) on shares of Molina Healthcare in a report on Friday, July 25th. Morgan Stanley cut shares of Molina Healthcare from an "overweight" rating to an "equal weight" rating and lowered their price target for the stock from $364.00 to $266.00 in a report on Thursday, July 10th. UBS Group dropped their price objective on Molina Healthcare from $260.00 to $180.00 and set a "neutral" rating on the stock in a research note on Friday, July 25th. JPMorgan Chase & Co. decreased their target price on Molina Healthcare from $272.00 to $184.00 and set a "neutral" rating for the company in a research report on Tuesday, July 29th. Finally, Wall Street Zen lowered Molina Healthcare from a "buy" rating to a "hold" rating in a research note on Sunday, June 29th. Eleven analysts have rated the stock with a hold rating and three have given a buy rating to the company's stock. According to MarketBeat, the company currently has an average rating of "Hold" and a consensus target price of $244.55.

Molina Healthcare Price Performance

The business has a fifty day moving average of $236.76 and a 200-day moving average of $286.99. The company has a current ratio of 1.66, a quick ratio of 1.66 and a debt-to-equity ratio of 0.77. The firm has a market cap of $8.50 billion, a PE ratio of 7.73 and a beta of 0.52.

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

Insiders Place Their Bets

In other Molina Healthcare news, COO James Woys acquired 10,000 shares of the company's stock in a transaction that occurred on Monday, August 4th. The stock was bought at an average price of $155.94 per share, with a total value of $1,559,400.00. Following the completion of the purchase, the chief operating officer owned 74,331 shares of the company's stock, valued at approximately $11,591,176.14. This represents a 15.54% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Ronna Romney sold 700 shares of the company's stock in a transaction dated 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 transaction, the director owned 17,131 shares in the company, valued at $2,633,719.94. This represents a 3.93% decrease in their ownership of the stock. The disclosure for this sale can be found here. Company insiders own 1.10% of the company's stock.

Hedge Funds Weigh In On Molina Healthcare

A number of hedge funds and other institutional investors have recently bought and sold shares of MOH. Price T Rowe Associates Inc. MD grew its position in Molina Healthcare by 46.4% during the first quarter. Price T Rowe Associates Inc. MD now owns 3,838,043 shares of the company's stock valued at $1,264,214,000 after acquiring an additional 1,216,903 shares during the last quarter. GAMMA Investing LLC grew its holdings in Molina Healthcare by 74,593.7% in the 1st quarter. GAMMA Investing LLC now owns 667,015 shares of the company's stock worth $219,708,000 after acquiring an additional 666,122 shares during the last quarter. Voloridge Investment Management LLC grew its holdings in Molina Healthcare by 1,641.3% in the 4th quarter. Voloridge Investment Management LLC now owns 409,807 shares of the company's stock worth $119,274,000 after acquiring an additional 386,273 shares during the last quarter. Invesco Ltd. increased its position in shares of Molina Healthcare by 28.5% in the fourth quarter. Invesco Ltd. now owns 1,327,021 shares of the company's stock valued at $386,229,000 after acquiring an additional 294,180 shares during the period. Finally, AQR Capital Management LLC raised its stake in shares of Molina Healthcare by 42.7% during the first quarter. AQR Capital Management LLC now owns 884,958 shares of the company's stock valued at $288,125,000 after acquiring an additional 264,664 shares during the last quarter. Hedge funds and other institutional investors own 98.50% of the company's stock.

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.