Zacks Investment Research Downgrades Hill-Rom (HRC) to Hold
Zacks Investment Research lowered shares of Hill-Rom (NYSE:HRC) from a buy rating to a hold rating in a research report released on Tuesday morning.
According to Zacks, “Hill-Rom has been witnessing an increase in revenues on strong international growth. The company is currently focused on gaining traction in the untapped international market on successful execution of its strategy, courtesy its efficient international team and organizational realignment. The company is focusing on product innovation through research and development. A slew of product launches in the fourth quarter is encouraging. Moreover, an improvement in adjusted and operating margin buoys optimism. Overall, Hill-Rom has outperformed the broader industry in the past six months. On the flip side, a decline in revenues at the Patient Support Systems segment is quite disappointing. Also, foreign exchange and a tough competitive landscape remain headwinds.”
Several other equities analysts also recently weighed in on HRC. Morgan Stanley downgraded Hill-Rom from an overweight rating to an equal weight rating in a research report on Tuesday, January 2nd. They noted that the move was a valuation call. Raymond James Financial raised Hill-Rom from a market perform rating to an outperform rating and set a $94.00 target price on the stock in a research report on Wednesday, January 3rd. KeyCorp reissued a buy rating and set a $82.00 target price on shares of Hill-Rom in a research report on Tuesday, October 17th. ValuEngine downgraded Hill-Rom from a buy rating to a hold rating in a research report on Friday, December 1st. Finally, Stifel Nicolaus boosted their target price on Hill-Rom from $84.00 to $85.00 and gave the company a buy rating in a research report on Monday, November 6th. Six analysts have rated the stock with a hold rating and five have issued a buy rating to the stock. Hill-Rom presently has an average rating of Hold and a consensus target price of $93.00.
Hill-Rom (NYSE:HRC) last issued its quarterly earnings data on Friday, November 3rd. The medical technology company reported $1.32 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of $1.27 by $0.05. The business had revenue of $738.30 million for the quarter, compared to analysts’ expectations of $731.10 million. Hill-Rom had a return on equity of 20.27% and a net margin of 4.87%. The company’s revenue for the quarter was up 4.6% on a year-over-year basis. During the same period in the prior year, the firm earned $1.18 EPS. analysts expect that Hill-Rom will post 4.32 earnings per share for the current year.
The business also recently announced a quarterly dividend, which was paid on Friday, December 29th. Stockholders of record on Friday, December 15th were given a dividend of $0.18 per share. This represents a $0.72 annualized dividend and a dividend yield of 0.83%. The ex-dividend date of this dividend was Thursday, December 14th. Hill-Rom’s dividend payout ratio is currently 36.18%.
In other Hill-Rom news, SVP Paul Sherwood Johnson sold 1,000 shares of the company’s stock in a transaction on Wednesday, December 13th. The stock was sold at an average price of $82.99, for a total value of $82,990.00. Following the transaction, the senior vice president now owns 1,066 shares of the company’s stock, valued at approximately $88,467.34. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO John J. Greisch sold 100,000 shares of the company’s stock in a transaction on Tuesday, December 12th. The shares were sold at an average price of $82.82, for a total value of $8,282,000.00. Following the completion of the transaction, the chief executive officer now directly owns 230,851 shares in the company, valued at approximately $19,119,079.82. The disclosure for this sale can be found here. In the last three months, insiders have sold 226,241 shares of company stock worth $18,708,644. Corporate insiders own 2.20% of the company’s stock.
A number of institutional investors have recently made changes to their positions in the business. Public Employees Retirement System of Ohio grew its position in Hill-Rom by 43.7% in the 3rd quarter. Public Employees Retirement System of Ohio now owns 56,022 shares of the medical technology company’s stock valued at $4,146,000 after acquiring an additional 17,035 shares during the last quarter. GSA Capital Partners LLP grew its position in Hill-Rom by 33.2% in the 3rd quarter. GSA Capital Partners LLP now owns 27,279 shares of the medical technology company’s stock valued at $2,019,000 after acquiring an additional 6,798 shares during the last quarter. California Public Employees Retirement System grew its position in Hill-Rom by 5.6% in the 3rd quarter. California Public Employees Retirement System now owns 150,546 shares of the medical technology company’s stock valued at $11,140,000 after acquiring an additional 7,946 shares during the last quarter. Point72 Asset Management L.P. bought a new position in Hill-Rom in the 3rd quarter valued at $5,180,000. Finally, Janus Henderson Group PLC grew its position in Hill-Rom by 56.6% in the 3rd quarter. Janus Henderson Group PLC now owns 260,610 shares of the medical technology company’s stock valued at $19,285,000 after acquiring an additional 94,200 shares during the last quarter. 82.33% of the stock is currently owned by institutional investors.
Hill-Rom Holdings, Inc is a global medical technology company. The Company operates through four segments: North America Patient Support Systems, International Patient Support Systems, Front Line Care and Surgical Solutions. The Company’s products and services include Patient Support Systems, Front Line Care and Surgical Solutions.
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