Needham & Company LLC Forecasts Strong Price Appreciation for Montrose Environmental Group (NYSE:MEG) Stock

Key Points

• Needham & Company LLC has raised its price target for Montrose Environmental Group (NYSE:MEG) from $30.00 to $31.00, indicating a potential upside of 24.37% from the previous close and maintaining a "buy" rating on the stock.
• The company has initiated a $40 million share repurchase plan, allowing it to buy up to 7.7% of its outstanding shares, suggesting that management believes the shares are currently undervalued.
• Institutional investors have significantly increased their stakes in Montrose Environmental Group, with ownership now at 87.87%, showing strong confidence from the funds in the company's future prospects.

Montrose Environmental Group (NYSE:MEG - Get Free Report) had its price target lifted by stock analysts at Needham & Company LLC from $30.00 to $31.00 in a report issued on Friday,Benzinga reports. The firm presently has a "buy" rating on the stock. Needham & Company LLC's target price points to a potential upside of 24.37% from the company's previous close.

Montrose Environmental Group Stock Up 10.2%

Shares of NYSE MEG opened at $24.93 on Friday. The stock has a 50 day moving average price of $22.26 and a 200 day moving average price of $18.98. The company has a debt-to-equity ratio of 0.58, a quick ratio of 2.05 and a current ratio of 2.05. The firm has a market capitalization of $863.90 million, a price-to-earnings ratio of -16.51, a PEG ratio of 7.94 and a beta of 1.90. Montrose Environmental Group has a 52-week low of $10.51 and a 52-week high of $34.56.

Montrose Environmental Group announced that its Board of Directors has initiated a share repurchase plan on Wednesday, May 7th that permits the company to repurchase $40.00 million in outstanding shares. This repurchase authorization permits the company to buy up to 7.7% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company's leadership believes its shares are undervalued.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. Quarry LP purchased a new stake in Montrose Environmental Group during the fourth quarter worth approximately $36,000. AlphaQuest LLC lifted its position in Montrose Environmental Group by 569.3% in the first quarter. AlphaQuest LLC now owns 4,096 shares of the company's stock valued at $58,000 after purchasing an additional 3,484 shares during the period. CWM LLC lifted its holdings in Montrose Environmental Group by 1,015.3% in the second quarter. CWM LLC now owns 4,506 shares of the company's stock valued at $99,000 after acquiring an additional 4,102 shares during the period. Creekmur Asset Management LLC acquired a new position in Montrose Environmental Group during the second quarter worth about $113,000. Finally, Brooklyn Investment Group purchased a new stake in Montrose Environmental Group during the first quarter worth $79,000. Hedge funds and other institutional investors own 87.87% of the company's stock.

Montrose Environmental Group Company Profile

Montrose Environmental Group, Inc operates as an environmental services company in the United States, Canada, and internationally. The company operates in three segments: Assessment, Permitting and Response; Measurement and Analysis; and Remediation and Reuse. The Assessment, Permitting and Response segment provides scientific advisory and consulting services to support environmental assessments; environmental emergency response and recovery; toxicology consulting and environmental audits and permits for current operations; facility upgrades; new projects; decommissioning projects; and development projects.

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