Chemed (NYSE:CHE) Stock Price Down 7.2% Following Weak Earnings

Chemed Co. (NYSE:CHE)’s stock price dropped 7.2% on Thursday after the company announced weaker than expected quarterly earnings. The company traded as low as $561.00 and last traded at $573.47. Approximately 71,152 shares were traded during trading, a decline of 8% from the average daily volume of 77,294 shares. The stock had previously closed at $617.95.

The company reported $4.68 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $5.09 by ($0.41). The firm had revenue of $589.23 million during the quarter, compared to the consensus estimate of $587.18 million. Chemed had a return on equity of 32.29% and a net margin of 12.03%.

Chemed Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, March 15th. Investors of record on Monday, February 26th were given a dividend of $0.40 per share. This represents a $1.60 annualized dividend and a dividend yield of 0.28%. The ex-dividend date of this dividend was Friday, February 23rd. Chemed’s dividend payout ratio is currently 8.93%.

Analyst Ratings Changes

Several equities research analysts recently commented on the stock. Oppenheimer boosted their price objective on shares of Chemed from $625.00 to $650.00 and gave the stock an “outperform” rating in a research note on Thursday, February 29th. Royal Bank of Canada upped their target price on shares of Chemed from $604.00 to $712.00 and gave the stock an “outperform” rating in a research note on Monday, March 4th.

Insider Activity at Chemed

In other Chemed news, CFO Michael D. Witzeman sold 2,650 shares of the company’s stock in a transaction that occurred on Thursday, March 21st. The shares were sold at an average price of $643.14, for a total transaction of $1,704,321.00. Following the completion of the sale, the chief financial officer now directly owns 2,882 shares of the company’s stock, valued at $1,853,529.48. The sale was disclosed in a filing with the SEC, which can be accessed through this link. In other news, VP Brian C. Judkins sold 11,158 shares of the stock in a transaction on Wednesday, March 20th. The shares were sold at an average price of $645.00, for a total value of $7,196,910.00. Following the completion of the sale, the vice president now directly owns 1,422 shares of the company’s stock, valued at $917,190. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, CFO Michael D. Witzeman sold 2,650 shares of the stock in a transaction on Thursday, March 21st. The stock was sold at an average price of $643.14, for a total transaction of $1,704,321.00. Following the completion of the sale, the chief financial officer now directly owns 2,882 shares of the company’s stock, valued at $1,853,529.48. The disclosure for this sale can be found here. Insiders have sold a total of 15,808 shares of company stock worth $10,184,531 over the last quarter. Company insiders own 3.32% of the company’s stock.

Hedge Funds Weigh In On Chemed

Several institutional investors have recently bought and sold shares of CHE. SG Americas Securities LLC lifted its holdings in shares of Chemed by 32.8% in the 3rd quarter. SG Americas Securities LLC now owns 3,290 shares of the company’s stock worth $1,710,000 after acquiring an additional 813 shares during the last quarter. Golden State Equity Partners increased its position in Chemed by 29.4% during the 3rd quarter. Golden State Equity Partners now owns 673 shares of the company’s stock valued at $350,000 after purchasing an additional 153 shares during the period. Trinity Street Asset Management LLP increased its position in Chemed by 3.0% during the 3rd quarter. Trinity Street Asset Management LLP now owns 29,861 shares of the company’s stock valued at $15,519,000 after purchasing an additional 863 shares during the period. Xponance Inc. increased its position in Chemed by 1.8% during the 3rd quarter. Xponance Inc. now owns 2,974 shares of the company’s stock valued at $1,546,000 after purchasing an additional 54 shares during the period. Finally, Raymond James & Associates increased its position in Chemed by 2.7% during the 3rd quarter. Raymond James & Associates now owns 64,264 shares of the company’s stock valued at $33,398,000 after purchasing an additional 1,669 shares during the period. Institutional investors own 95.85% of the company’s stock.

Chemed Trading Down 6.5 %

The business’s 50-day simple moving average is $624.00 and its 200 day simple moving average is $590.66. The firm has a market cap of $8.74 billion, a PE ratio of 32.00, a P/E/G ratio of 2.47 and a beta of 0.42.

About Chemed

Chemed Corporation provides hospice and palliative care services to patients through a network of physicians, registered nurses, home health aides, social workers, clergy, and volunteers primarily in the United States. The company operates in VITAS and Roto-Rooter segments. It offers plumbing, drain cleaning, excavation, water restoration, and other related services to residential and commercial customers through company-owned branches, independent contractors, and franchisees.