Select Medical Holdings Corporation (NYSE:SEM) Receives $15.50 Consensus Price Target from Brokerages

Select Medical Holdings Corporation (NYSE:SEM) has received an average recommendation of “Hold” from the seven research firms that are covering the firm, MarketBeat.com reports. Six analysts have rated the stock with a hold rating and one has given a buy rating to the company. The average 12-month target price among brokers that have issued ratings on the stock in the last year is $15.50.

SEM has been the subject of a number of research analyst reports. Royal Bank Of Canada reaffirmed a “sector perform” rating and set a $16.50 price objective (down from $19.00) on shares of Select Medical in a report on Tuesday, March 3rd. Mizuho reaffirmed a “neutral” rating and set a $16.50 price objective (down from $17.00) on shares of Select Medical in a report on Tuesday, May 12th. Benchmark downgraded Select Medical from a “buy” rating to a “hold” rating in a research report on Wednesday, March 4th. Weiss Ratings reiterated a “hold (c-)” rating on shares of Select Medical in a research report on Wednesday, May 20th. Finally, Wall Street Zen downgraded Select Medical from a “buy” rating to a “hold” rating in a research report on Monday, March 9th.

Select Medical Trading Down 0.1%

Shares of SEM opened at $16.53 on Thursday. The company has a debt-to-equity ratio of 0.88, a current ratio of 1.15 and a quick ratio of 1.15. Select Medical has a 1 year low of $11.65 and a 1 year high of $16.99. The company has a 50 day simple moving average of $16.40 and a two-hundred day simple moving average of $15.56. The firm has a market cap of $2.05 billion, a P/E ratio of 15.59, a price-to-earnings-growth ratio of 0.95 and a beta of 1.02.

Select Medical (NYSE:SEM) last announced its quarterly earnings data on Thursday, April 30th. The health services provider reported $0.36 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.43 by ($0.07). Select Medical had a net margin of 2.42% and a return on equity of 6.62%. The company had revenue of $1.42 billion for the quarter, compared to analysts’ expectations of $1.41 billion. During the same period last year, the business earned $0.44 earnings per share. The company’s quarterly revenue was up 5.0% compared to the same quarter last year. Select Medical has set its FY 2026 guidance at 1.220-1.320 EPS. On average, equities analysts expect that Select Medical will post 1.26 earnings per share for the current fiscal year.

Select Medical Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, May 28th. Stockholders of record on Thursday, May 14th will be given a dividend of $0.0625 per share. This represents a $0.25 dividend on an annualized basis and a dividend yield of 1.5%. The ex-dividend date is Thursday, May 14th. Select Medical’s dividend payout ratio is currently 23.58%.

Select Medical declared that its board has approved a share repurchase plan on Thursday, February 19th that permits the company to buyback $1.00 billion in shares. This buyback authorization permits the health services provider to purchase up to 49.5% of its stock through open market purchases. Stock buyback plans are often a sign that the company’s board believes its shares are undervalued.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of SEM. Quarry LP bought a new position in shares of Select Medical during the 4th quarter valued at approximately $26,000. Quantbot Technologies LP bought a new stake in Select Medical in the third quarter worth $27,000. Caitong International Asset Management Co. Ltd bought a new stake in Select Medical in the fourth quarter worth $28,000. Hantz Financial Services Inc. lifted its position in Select Medical by 214.7% in the fourth quarter. Hantz Financial Services Inc. now owns 2,549 shares of the health services provider’s stock worth $38,000 after buying an additional 1,739 shares during the last quarter. Finally, Smartleaf Asset Management LLC lifted its position in Select Medical by 37.8% in the fourth quarter. Smartleaf Asset Management LLC now owns 2,870 shares of the health services provider’s stock worth $43,000 after buying an additional 788 shares during the last quarter. 89.48% of the stock is currently owned by institutional investors.

Select Medical Company Profile

Select Medical is a leading provider of specialized healthcare services in the United States, operating through two primary business segments: Hospital Division and Outpatient Rehabilitation Division. The Hospital Division offers long-term acute care (LTAC) hospitals and inpatient rehabilitation facilities (IRFs) that serve patients recovering from complex illnesses, trauma or surgery. The Outpatient Rehabilitation Division delivers physical, occupational and speech therapy services through a network of clinic locations and home-based care programs.

Headquartered in Mechanicsburg, Pennsylvania, Select Medical was founded in 1996 and has grown through strategic partnerships, joint ventures and acquisitions.