Chemed (NYSE:CHE) Stock Breaks Above 200 Day Moving Average - Here's Why

Key Points

• Chemed shares broke above their 200-day moving average, reaching $514.67 before trading at approximately $500.47. The stock’s 200-day average was $465.26.
• Analyst sentiment remains mixed, with a consensus “Hold” rating and an average price target of $554.60; recent targets range from $548 to $650.
• Chemed reported quarterly earnings and revenue above expectations, with EPS of $6.06 and revenue of $673.25 million, while also raising its quarterly dividend from $0.60 to $0.70 per share.

Shares of Chemed Corporation (NYSE:CHE - Get Free Report) crossed above its 200-day moving average during trading on Wednesday. The stock has a 200-day moving average of $465.26 and traded as high as $514.67. Chemed shares last traded at $500.4650, with a volume of 139,128 shares trading hands.

Analyst Upgrades and Downgrades

A number of equities analysts have recently commented on the company. UBS Group initiated coverage on Chemed in a report on Friday, September 25th. They issued a "buy" rating and a $650.00 target price for the company. Royal Bank Of Canada increased their price target on Chemed from $436.00 to $548.00 and gave the company a "sector perform" rating in a report on Thursday, July 30th. Bank of America restated a "neutral" rating on shares of Chemed in a research report on Wednesday, July 29th. Oppenheimer lifted their price objective on shares of Chemed from $500.00 to $590.00 and gave the stock an "outperform" rating in a research note on Friday, July 31st. Finally, Wall Street Zen cut shares of Chemed from a "strong-buy" rating to a "buy" rating in a research report on Saturday, September 19th. Two investment analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of "Hold" and an average price target of $554.60.

Chemed Stock Down 1.8%

The firm has a market cap of $6.54 billion, a PE ratio of 25.14, a price-to-earnings-growth ratio of 2.05 and a beta of 0.51. The company has a 50-day simple moving average of $522.67 and a 200-day simple moving average of $465.26. The company has a debt-to-equity ratio of 0.17, a current ratio of 0.91 and a quick ratio of 0.89.

Chemed (NYSE:CHE - Get Free Report) last issued its quarterly earnings results on Tuesday, July 28th. The company reported $6.06 earnings per share for the quarter, topping the consensus estimate of $5.60 by $0.46. Chemed had a return on equity of 31.77% and a net margin of 10.60%.The firm had revenue of $673.25 million for the quarter, compared to the consensus estimate of $665.04 million. During the same period in the prior year, the business posted $4.27 earnings per share. The company's revenue for the quarter was up 8.8% on a year-over-year basis. Chemed has set its FY 2026 guidance at 25.000-25.750 EPS. Analysts expect that Chemed Corporation will post 23.55 earnings per share for the current fiscal year.

Chemed Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, September 3rd. Stockholders of record on Monday, August 17th were paid a dividend of $0.70 per share. This is an increase from Chemed's previous quarterly dividend of $0.60. This represents a $2.80 dividend on an annualized basis and a dividend yield of 0.6%. The ex-dividend date of this dividend was Monday, August 17th. Chemed's payout ratio is presently 14.06%.

Insider Transactions at Chemed

In other Chemed news, EVP Spencer S. Lee sold 1,000 shares of the company's stock in a transaction dated Friday, August 21st. The shares were sold at an average price of $541.04, for a total value of $541,040.00. Following the transaction, the executive vice president directly owned 13,912 shares in the company, valued at $7,526,948.48. This represents a 6.71% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Patrick P. Grace sold 190 shares of Chemed stock in a transaction that occurred on Friday, July 31st. The shares were sold at an average price of $532.00, for a total transaction of $101,080.00. Following the sale, the director directly owned 3,533 shares of the company's stock, valued at $1,879,556. This represents a 5.10% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 9,190 shares of company stock worth $4,833,160. Insiders own 3.33% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of CHE. Sequoia Financial Advisors LLC purchased a new stake in shares of Chemed in the 2nd quarter worth $563,000. Integrated Wealth Concepts LLC lifted its stake in Chemed by 9.7% in the second quarter. Integrated Wealth Concepts LLC now owns 27,774 shares of the company's stock worth $12,936,000 after acquiring an additional 2,461 shares during the period. NewEdge Advisors LLC grew its holdings in Chemed by 4,167.3% during the 2nd quarter. NewEdge Advisors LLC now owns 2,091 shares of the company's stock worth $974,000 after acquiring an additional 2,042 shares in the last quarter. Squarepoint Ops LLC grew its holdings in Chemed by 50.5% during the 2nd quarter. Squarepoint Ops LLC now owns 5,201 shares of the company's stock worth $2,422,000 after acquiring an additional 1,745 shares in the last quarter. Finally, Baird Financial Group Inc. increased its position in Chemed by 28.8% during the 2nd quarter. Baird Financial Group Inc. now owns 1,874 shares of the company's stock valued at $873,000 after purchasing an additional 419 shares during the period. 95.85% of the stock is currently owned by hedge funds and other institutional investors.

Chemed Company Profile

Chemed Corporation is a diversified services company headquartered in Cincinnati, Ohio. Its operations are organized through two principal businesses: VITAS Healthcare and Roto-Rooter.

VITAS Healthcare provides hospice and palliative care for patients with advanced illnesses. Its services include clinical care, pain and symptom management, emotional and spiritual support, and assistance for patients and their families in homes, hospice residences, hospitals, nursing facilities, and other care settings.

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