Healthcare Services Group (NASDAQ:HCSG) Stock Price Up 10.3% After Dividend Announcement

Healthcare Services Group, Inc. (NASDAQ:HCSG) shares rose 10.3% during trading on Wednesday following a dividend announcement from the company. The company traded as high as $30.69 and last traded at $28.88, approximately 2,157,100 shares traded hands during mid-day trading. An increase of 270% from the average daily volume of 582,595 shares. The stock had previously closed at $26.19.

The newly announced dividend which will be paid on Friday, March 27th. Investors of record on Friday, February 28th will be given a dividend of $0.201 per share. This represents a $0.80 dividend on an annualized basis and a yield of 2.74%. The ex-dividend date is Thursday, February 27th. This is an increase from Healthcare Services Group’s previous quarterly dividend of $0.20. Healthcare Services Group’s dividend payout ratio is 71.43%.

HCSG has been the subject of a number of research analyst reports. Jefferies Financial Group initiated coverage on shares of Healthcare Services Group in a research report on Wednesday. They set a “hold” rating and a $25.00 target price for the company. Royal Bank of Canada assumed coverage on shares of Healthcare Services Group in a research report on Wednesday, November 27th. They set a “sector perform” rating and a $26.00 target price for the company. Zacks Investment Research downgraded shares of Healthcare Services Group from a “hold” rating to a “sell” rating in a research report on Monday, January 13th. Benchmark reaffirmed a “buy” rating and issued a $34.00 price objective (down previously from $37.00) on shares of Healthcare Services Group in a research report on Wednesday, October 23rd. Finally, Credit Suisse Group reaffirmed a “buy” rating and issued a $32.00 price objective on shares of Healthcare Services Group in a research report on Thursday, October 24th. One equities research analyst has rated the stock with a sell rating, five have issued a hold rating and four have assigned a buy rating to the stock. The stock currently has an average rating of “Hold” and an average price target of $33.57.

The company’s 50-day simple moving average is $26.02 and its 200-day simple moving average is $24.66. The company has a market cap of $1.96 billion, a price-to-earnings ratio of 28.47 and a beta of 0.75.

Healthcare Services Group (NASDAQ:HCSG) last issued its quarterly earnings data on Tuesday, February 11th. The business services provider reported $0.25 earnings per share (EPS) for the quarter, meeting the Thomson Reuters’ consensus estimate of $0.25. Healthcare Services Group had a net margin of 4.09% and a return on equity of 17.28%. The company had revenue of $446.96 million during the quarter, compared to the consensus estimate of $444.52 million. Sell-side analysts predict that Healthcare Services Group, Inc. will post 0.86 EPS for the current fiscal year.

A number of large investors have recently modified their holdings of the business. Advisory Services Network LLC grew its position in shares of Healthcare Services Group by 273.1% during the fourth quarter. Advisory Services Network LLC now owns 1,388 shares of the business services provider’s stock worth $34,000 after buying an additional 1,016 shares in the last quarter. Arlington Partners LLC acquired a new stake in shares of Healthcare Services Group during the fourth quarter worth approximately $46,000. Quadrant Capital Group LLC grew its position in shares of Healthcare Services Group by 6,935.3% during the third quarter. Quadrant Capital Group LLC now owns 2,392 shares of the business services provider’s stock worth $57,000 after buying an additional 2,358 shares in the last quarter. NEXT Financial Group Inc grew its position in shares of Healthcare Services Group by 15.3% during the third quarter. NEXT Financial Group Inc now owns 3,347 shares of the business services provider’s stock worth $81,000 after buying an additional 444 shares in the last quarter. Finally, Evoke Wealth LLC acquired a new stake in shares of Healthcare Services Group during the third quarter worth approximately $88,000.

About Healthcare Services Group (NASDAQ:HCSG)

Healthcare Services Group, Inc provides management, administrative, and operating services to the housekeeping, laundry, linen, facility maintenance, and dietary service departments of nursing homes, retirement complexes, rehabilitation centers, and hospitals in the United States. It operates through two segments, Housekeeping and Dietary.

Featured Story: New Google Finance Tool and Screening Stocks

Receive News & Ratings for Healthcare Services Group Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Healthcare Services Group and related companies with MarketBeat.com's FREE daily email newsletter.