Tandem Diabetes Care (NASDAQ:TNDM) Share Price Crosses Below Two Hundred Day Moving Average - Time to Sell?

Key Points

• Tandem Diabetes Care shares fell below their 200-day moving average, trading as low as $18.42 versus the $18.93 average, before closing at $18.67 on elevated volume.
• Analyst sentiment is mixed but leans cautious: the stock has an average “Hold” rating and a consensus price target of $27.08, with recent target reductions and a Barclays downgrade to “Hold.”
• The company reported a quarterly loss of $0.31 per share while revenue rose 5.8% year over year to $254.56 million; insiders own 2.1% of the stock, and a director recently sold shares under a pre-arranged trading plan.

Shares of Tandem Diabetes Care, Inc. (NASDAQ:TNDM - Get Free Report) passed below its two hundred day moving average during trading on Monday. The stock has a two hundred day moving average of $18.93 and traded as low as $18.42. Tandem Diabetes Care shares last traded at $18.67, with a volume of 2,901,119 shares trading hands.

Analyst Upgrades and Downgrades

TNDM has been the subject of a number of analyst reports. Oppenheimer reiterated an "outperform" rating on shares of Tandem Diabetes Care in a report on Friday, August 7th. Mizuho set a $18.00 target price on Tandem Diabetes Care in a research note on Tuesday, October 13th. Truist Financial reduced their price target on Tandem Diabetes Care from $31.00 to $28.00 and set a "buy" rating on the stock in a report on Thursday, September 24th. Barclays upgraded Tandem Diabetes Care to a "hold" rating in a report on Wednesday, October 7th. Finally, UBS Group began coverage on Tandem Diabetes Care in a research report on Tuesday, July 28th. They issued a "neutral" rating and a $18.00 price objective on the stock. One research analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating, twelve have assigned a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company has an average rating of "Hold" and an average target price of $27.08.

Tandem Diabetes Care Stock Performance

The company's 50-day moving average price is $17.95 and its 200 day moving average price is $18.93. The company has a debt-to-equity ratio of 4.62, a quick ratio of 2.65 and a current ratio of 3.18. The stock has a market capitalization of $1.30 billion, a PE ratio of -20.08 and a beta of 1.66.

Tandem Diabetes Care (NASDAQ:TNDM - Get Free Report) last announced its quarterly earnings results on Thursday, August 6th. The medical device company reported ($0.31) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.32) by $0.01. Tandem Diabetes Care had a negative net margin of 6.08% and a negative return on equity of 45.97%. The company had revenue of $254.56 million for the quarter, compared to analysts' expectations of $254.99 million. During the same quarter in the previous year, the company earned ($0.78) earnings per share. Tandem Diabetes Care's quarterly revenue was up 5.8% on a year-over-year basis. On average, equities research analysts expect that Tandem Diabetes Care, Inc. will post -0.66 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Tandem Diabetes Care news, Director Christopher J. Twomey sold 1,700 shares of the company's stock in a transaction that occurred on Tuesday, October 27th. The stock was sold at an average price of $19.15, for a total transaction of $32,555.00. Following the transaction, the director owned 24,434 shares in the company, valued at approximately $467,911.10. This represents a 6.50% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 2.10% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in TNDM. Integrated Wealth Concepts LLC bought a new position in Tandem Diabetes Care in the second quarter worth $33,000. Sterling Capital Management LLC lifted its position in Tandem Diabetes Care by 849.0% during the third quarter. Sterling Capital Management LLC now owns 2,325 shares of the medical device company's stock valued at $38,000 after buying an additional 2,080 shares during the period. Prosperitas Financial LLC bought a new stake in shares of Tandem Diabetes Care during the 2nd quarter valued at $151,000. Provenance Wealth Advisors LLC bought a new stake in shares of Tandem Diabetes Care during the 3rd quarter valued at $158,000. Finally, Proficio Capital Partners LLC bought a new stake in shares of Tandem Diabetes Care during the 2nd quarter valued at $180,000.

About Tandem Diabetes Care

Tandem Diabetes Care, Inc is a medical device company focused on developing and commercializing advanced insulin delivery systems for people with diabetes. The company's products are designed to help automate and simplify insulin therapy while supporting integration with continuous glucose monitoring (CGM) technology.

Tandem's product portfolio includes the t:slim X2 Insulin Pump and the compact Tandem Mobi system, along with insulin cartridges, infusion sets, accessories and diabetes management software.

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