Zacks Research Forecasts Reduced Earnings for Select Medical

Select Medical Holdings Co. (NYSE:SEM) – Investment analysts at Zacks Research lowered their Q4 2024 EPS estimates for shares of Select Medical in a research note issued on Thursday, November 14th. Zacks Research analyst Z. Masood now expects that the health services provider will post earnings of $0.30 per share for the quarter, down from their prior forecast of $0.31. The consensus estimate for Select Medical’s current full-year earnings is $2.16 per share. Zacks Research also issued estimates for Select Medical’s Q1 2025 earnings at $0.62 EPS, Q2 2025 earnings at $0.59 EPS, Q4 2025 earnings at $0.47 EPS, FY2025 earnings at $2.14 EPS, Q3 2026 earnings at $0.56 EPS and FY2026 earnings at $2.44 EPS.

A number of other research firms also recently issued reports on SEM. Benchmark reaffirmed a “buy” rating and issued a $48.00 price objective on shares of Select Medical in a research note on Friday, November 1st. Royal Bank of Canada upped their price target on shares of Select Medical from $40.00 to $47.00 and gave the company an “outperform” rating in a research note on Monday, November 4th. Bank of America started coverage on shares of Select Medical in a research report on Tuesday, August 20th. They set a “buy” rating and a $42.00 price objective for the company. Finally, StockNews.com upgraded shares of Select Medical from a “hold” rating to a “buy” rating in a report on Wednesday, November 13th. One investment analyst has rated the stock with a hold rating and four have issued a buy rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $40.75.

Select Medical Price Performance

NYSE:SEM opened at $36.62 on Monday. The business’s 50-day moving average is $34.81 and its 200 day moving average is $34.82. Select Medical has a 12 month low of $22.26 and a 12 month high of $40.98. The company has a market capitalization of $4.74 billion, a P/E ratio of 17.50, a P/E/G ratio of 1.95 and a beta of 1.42. The company has a current ratio of 1.13, a quick ratio of 1.13 and a debt-to-equity ratio of 1.37.

Select Medical (NYSE:SEM) last issued its quarterly earnings results on Thursday, October 31st. The health services provider reported $0.43 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.36 by $0.07. Select Medical had a return on equity of 15.99% and a net margin of 3.97%. The business had revenue of $1.76 billion during the quarter, compared to analyst estimates of $1.74 billion. During the same quarter in the prior year, the business posted $0.46 EPS. Select Medical’s revenue for the quarter was up 5.7% compared to the same quarter last year.

Select Medical Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, November 26th. Investors of record on Wednesday, November 13th will be given a $0.125 dividend. The ex-dividend date is Wednesday, November 13th. This represents a $0.50 dividend on an annualized basis and a yield of 1.37%. Select Medical’s dividend payout ratio is presently 23.36%.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the company. Point72 Asset Management L.P. lifted its holdings in shares of Select Medical by 144.2% in the 3rd quarter. Point72 Asset Management L.P. now owns 2,059,791 shares of the health services provider’s stock worth $71,825,000 after acquiring an additional 1,216,263 shares during the last quarter. Vanguard Group Inc. raised its position in Select Medical by 5.3% in the 1st quarter. Vanguard Group Inc. now owns 12,997,891 shares of the health services provider’s stock worth $391,886,000 after purchasing an additional 650,093 shares during the period. Millennium Management LLC lifted its stake in Select Medical by 183.9% in the second quarter. Millennium Management LLC now owns 679,522 shares of the health services provider’s stock worth $23,824,000 after purchasing an additional 440,140 shares during the last quarter. Hood River Capital Management LLC purchased a new position in shares of Select Medical during the second quarter valued at approximately $14,819,000. Finally, Ceredex Value Advisors LLC bought a new position in shares of Select Medical during the second quarter valued at approximately $11,456,000. Institutional investors own 89.48% of the company’s stock.

About Select Medical

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.