Healthcare Services Group (NASDAQ:HCSG) Downgraded by Zacks Investment Research

Zacks Investment Research cut shares of Healthcare Services Group (NASDAQ:HCSG) from a buy rating to a hold rating in a research note published on Monday morning, Zacks.com reports.

According to Zacks, “Healthcare Services Group, Inc. provides housekeeping, laundry, linen, facility maintenance and food services to the health care industry, including nursing homes, retirement complexes, rehabilitation centers and hospitals. Healthcare Services Group has the experience and expertise to meet these needs, making the preferred choice for hospital and senior living clients nationwide. Healthcare Services Group has delivered exceptional housekeeping/laundry and dining/nutrition services to an ever-changing healthcare industry. Healthcare Services provide professional management of ancillary services to a diverse mix of satisfied clients. Flexible and responsive, our people are trained to help you achieve success by delivering innovative solutions, exceptional performance and measurable results. “

A number of other brokerages have also weighed in on HCSG. Stifel Nicolaus assumed coverage on Healthcare Services Group in a research note on Tuesday, June 22nd. They issued a hold rating on the stock. Robert W. Baird restated a hold rating on shares of Healthcare Services Group in a report on Monday, April 26th. Five research analysts have rated the stock with a hold rating and one has given a buy rating to the company’s stock. The company has a consensus rating of Hold and an average price target of $31.40.

Shares of NASDAQ:HCSG opened at $26.92 on Monday. The stock has a market capitalization of $2.01 billion, a PE ratio of 19.51 and a beta of 0.42. Healthcare Services Group has a 12-month low of $20.05 and a 12-month high of $35.80. The firm’s 50 day moving average is $30.97.

Healthcare Services Group (NASDAQ:HCSG) last posted its quarterly earnings data on Wednesday, July 21st. The business services provider reported $0.13 earnings per share for the quarter, missing the Thomson Reuters’ consensus estimate of $0.29 by ($0.16). The business had revenue of $398.20 million during the quarter, compared to analysts’ expectations of $407.24 million. Healthcare Services Group had a return on equity of 21.85% and a net margin of 6.00%. The firm’s revenue for the quarter was down 11.9% on a year-over-year basis. During the same period in the prior year, the firm posted $0.31 EPS. As a group, equities analysts predict that Healthcare Services Group will post 1.19 EPS for the current year.

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Janus Henderson Group PLC raised its position in shares of Healthcare Services Group by 357.9% in the 1st quarter. Janus Henderson Group PLC now owns 1,577,347 shares of the business services provider’s stock worth $44,213,000 after acquiring an additional 1,232,893 shares in the last quarter. Westwood Holdings Group Inc. increased its position in Healthcare Services Group by 65.7% during the 1st quarter. Westwood Holdings Group Inc. now owns 2,374,388 shares of the business services provider’s stock valued at $66,554,000 after buying an additional 941,876 shares in the last quarter. Norges Bank bought a new position in Healthcare Services Group during the 4th quarter valued at approximately $24,467,000. BlackRock Inc. increased its position in Healthcare Services Group by 3.7% during the 1st quarter. BlackRock Inc. now owns 8,503,323 shares of the business services provider’s stock valued at $238,348,000 after buying an additional 306,210 shares in the last quarter. Finally, AQR Capital Management LLC increased its position in Healthcare Services Group by 21.0% during the 1st quarter. AQR Capital Management LLC now owns 1,416,762 shares of the business services provider’s stock valued at $39,712,000 after buying an additional 246,129 shares in the last quarter.

About Healthcare Services Group

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.

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