TransMedics Group (NASDAQ:TMDX) Stock Price Up 6.8% on Analyst Upgrade

Key Points

• TransMedics Group's stock (NASDAQ:TMDX) rose 6.8% after being upgraded from a hold to a buy rating by Wall Street Zen, with shares trading around $128.76.
• Several research firms have adjusted their price targets on TMDX, with Canaccord Genuity setting a new target at $142.00, while Oppenheimer increased theirs to $150.00.
• The company reported impressive quarterly earnings of $0.92 per share, significantly exceeding expectations and reflecting a 37.7% year-over-year revenue growth to $157.37 million.

TransMedics Group, Inc. (NASDAQ:TMDX - Get Free Report)'s share price shot up 6.8% during trading on Monday after Wall Street Zen upgraded the stock from a hold rating to a buy rating. The company traded as high as $130.70 and last traded at $128.76. 501,417 shares changed hands during trading, a decline of 63% from the average session volume of 1,355,177 shares. The stock had previously closed at $120.55.

TMDX has been the subject of several other reports. Morgan Stanley increased their price objective on TransMedics Group from $115.00 to $123.00 and gave the company an "equal weight" rating in a research note on Friday, August 1st. Needham & Company LLC reiterated a "hold" rating on shares of TransMedics Group in a research report on Tuesday, June 17th. Oppenheimer boosted their price target on shares of TransMedics Group from $130.00 to $150.00 and gave the stock an "outperform" rating in a research report on Tuesday, June 17th. Canaccord Genuity Group upped their price objective on shares of TransMedics Group from $129.00 to $142.00 and gave the company a "buy" rating in a research note on Tuesday, July 15th. Finally, Piper Sandler reiterated an "overweight" rating and issued a $145.00 price objective (up previously from $125.00) on shares of TransMedics Group in a report on Wednesday, June 4th. Three investment analysts have rated the stock with a hold rating, six have given a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average target price of $123.00.

Insider Buying and Selling at TransMedics Group

In other news, Director David Weill sold 732 shares of the firm's stock in a transaction that occurred on Friday, May 23rd. The shares were sold at an average price of $123.88, for a total transaction of $90,680.16. Following the completion of the sale, the director owned 12,134 shares in the company, valued at $1,503,159.92. This trade represents a 5.69% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Anil P. Ranganath sold 686 shares of TransMedics Group stock in a transaction that occurred on Monday, June 9th. The shares were sold at an average price of $139.80, for a total transaction of $95,902.80. Following the sale, the insider directly owned 13,955 shares in the company, valued at approximately $1,950,909. The trade was a 4.69% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 6,418 shares of company stock worth $818,833 in the last ninety days. 7.00% of the stock is owned by insiders.

Hedge Funds Weigh In On TransMedics Group

Several large investors have recently modified their holdings of the business. NBC Securities Inc. purchased a new stake in TransMedics Group in the 1st quarter valued at about $25,000. Opal Wealth Advisors LLC purchased a new position in TransMedics Group during the second quarter worth about $26,000. Smartleaf Asset Management LLC increased its position in shares of TransMedics Group by 44.3% during the first quarter. Smartleaf Asset Management LLC now owns 440 shares of the company's stock valued at $30,000 after acquiring an additional 135 shares during the last quarter. Quarry LP raised its stake in shares of TransMedics Group by 88.5% in the 1st quarter. Quarry LP now owns 592 shares of the company's stock valued at $40,000 after acquiring an additional 278 shares during the period. Finally, Sound Income Strategies LLC purchased a new stake in shares of TransMedics Group in the 2nd quarter valued at approximately $48,000. Institutional investors and hedge funds own 99.67% of the company's stock.

TransMedics Group Stock Performance

The company has a current ratio of 9.86, a quick ratio of 9.17 and a debt-to-equity ratio of 1.61. The stock has a market capitalization of $3.93 billion, a price-to-earnings ratio of 59.69 and a beta of 2.09. The firm's fifty day moving average price is $124.11 and its 200 day moving average price is $96.77.

TransMedics Group (NASDAQ:TMDX - Get Free Report) last announced its earnings results on Wednesday, July 30th. The company reported $0.92 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.48 by $0.44. TransMedics Group had a return on equity of 28.02% and a net margin of 13.49%. The company had revenue of $157.37 million for the quarter, compared to analyst estimates of $146.64 million. During the same quarter in the previous year, the company earned $0.35 earnings per share. The firm's quarterly revenue was up 37.7% compared to the same quarter last year. Analysts forecast that TransMedics Group, Inc. will post 1 EPS for the current fiscal year.

TransMedics Group Company Profile

TransMedics Group, Inc, a commercial-stage medical technology company, engages in transforming organ transplant therapy for end-stage organ failure patients in the United States and internationally. The company offers Organ Care System (OCS), a portable organ perfusion, optimization, and monitoring system that utilizes its proprietary and customized technology to replicate near-physiologic conditions for donor organs outside of the human body.