Brokerages Set Select Medical Holdings Corporation (NYSE:SEM) Price Target at $24.60

Select Medical Holdings Corporation (NYSE:SEM) has received an average recommendation of “Moderate Buy” from the four brokerages that are presently covering the stock, Marketbeat.com reports. One analyst has rated the stock with a hold recommendation and three have given a buy recommendation to the company. The average twelve-month target price among brokers that have issued ratings on the stock in the last year is $20.25.

A number of brokerages recently weighed in on SEM. UBS Group reaffirmed a “neutral” rating and set a $14.00 price target (down from $15.00) on shares of Select Medical in a research report on Monday, August 4th. Royal Bank Of Canada decreased their target price on Select Medical from $23.00 to $19.00 and set an “outperform” rating for the company in a research report on Wednesday, May 7th.

Select Medical Trading Up 3.2%

NYSE SEM opened at $13.4050 on Tuesday. The firm has a market capitalization of $1.66 billion, a price-to-earnings ratio of 12.65, a PEG ratio of 0.71 and a beta of 1.25. The company has a debt-to-equity ratio of 0.92, a quick ratio of 1.15 and a current ratio of 1.15. Select Medical has a one year low of $11.65 and a one year high of $40.98. The company’s 50 day moving average price is $14.04 and its 200 day moving average price is $15.71.

Select Medical (NYSE:SEM) last released its quarterly earnings data on Thursday, July 31st. The health services provider reported $0.32 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.28 by $0.04. Select Medical had a net margin of 2.37% and a return on equity of 8.87%. The company had revenue of $1.34 billion during the quarter, compared to the consensus estimate of $1.35 billion. During the same period in the previous year, the firm earned $0.60 earnings per share. Select Medical’s revenue for the quarter was up 4.5% on a year-over-year basis. Select Medical has set its FY 2025 guidance at 1.090-1.19 EPS. On average, sell-side analysts predict that Select Medical will post 1.17 EPS for the current year.

Select Medical declared that its board has authorized a share buyback program on Thursday, May 1st that authorizes the company to repurchase $1.00 billion in shares. This repurchase authorization authorizes the health services provider to reacquire up to 42.6% of its stock through open market purchases. Stock repurchase programs are generally an indication that the company’s leadership believes its shares are undervalued.

Select Medical Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, August 28th. Shareholders of record on Wednesday, August 13th will be issued a $0.0625 dividend. This represents a $0.25 dividend on an annualized basis and a yield of 1.9%. The ex-dividend date is Wednesday, August 13th. Select Medical’s dividend payout ratio is currently 23.58%.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in SEM. MAI Capital Management increased its stake in Select Medical by 48,000.0% during the 2nd quarter. MAI Capital Management now owns 2,405 shares of the health services provider’s stock worth $37,000 after buying an additional 2,400 shares during the period. Caitong International Asset Management Co. Ltd grew its stake in shares of Select Medical by 61.6% during the first quarter. Caitong International Asset Management Co. Ltd now owns 2,703 shares of the health services provider’s stock valued at $45,000 after acquiring an additional 1,030 shares in the last quarter. BI Asset Management Fondsmaeglerselskab A S acquired a new stake in shares of Select Medical during the first quarter valued at about $60,000. Advisors Asset Management Inc. increased its position in shares of Select Medical by 168.2% during the first quarter. Advisors Asset Management Inc. now owns 6,301 shares of the health services provider’s stock worth $105,000 after acquiring an additional 3,952 shares during the last quarter. Finally, GAMMA Investing LLC lifted its stake in shares of Select Medical by 217.4% in the first quarter. GAMMA Investing LLC now owns 6,501 shares of the health services provider’s stock worth $109,000 after acquiring an additional 4,453 shares in the last quarter. 89.48% of the stock is owned by institutional investors and hedge funds.

Select Medical Company Profile

Select Medical Holdings Corporation, through its subsidiaries, operates critical illness recovery hospitals, rehabilitation hospitals, outpatient rehabilitation clinics, and occupational health centers in the United States. It operates in four segments: Critical Illness Recovery Hospital, Rehabilitation Hospital, Outpatient Rehabilitation, and Concentra.