Select Medical (NYSE:SEM) Sees Strong Trading Volume – Here’s What Happened

Shares of Select Medical Holdings Corporation (NYSE:SEM) saw strong trading volume on Wednesday . 2,708,775 shares changed hands during trading, an increase of 58% from the previous session’s volume of 1,711,664 shares.The stock last traded at $16.2650 and had previously closed at $16.26.

Analyst Ratings Changes

A number of research analysts recently weighed in on the company. Weiss Ratings raised Select Medical from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Friday, February 20th. Wall Street Zen cut shares of Select Medical from a “buy” rating to a “hold” rating in a report on Monday, March 9th. Benchmark downgraded shares of Select Medical from a “buy” rating to a “hold” rating in a research report on Wednesday, March 4th. Royal Bank Of Canada reaffirmed a “sector perform” rating and issued a $16.50 price objective (down from $19.00) on shares of Select Medical in a research report on Tuesday, March 3rd. Finally, Zacks Research lowered shares of Select Medical from a “hold” rating to a “strong sell” rating in a research note on Thursday, February 26th. Two research analysts have rated the stock with a Buy rating, four have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, Select Medical has an average rating of “Hold” and an average target price of $15.63.

Select Medical Price Performance

The stock has a market cap of $2.02 billion, a PE ratio of 14.14, a P/E/G ratio of 0.93 and a beta of 1.22. The firm’s fifty day moving average price is $15.57 and its 200 day moving average price is $14.46. The company has a quick ratio of 1.04, a current ratio of 1.04 and a debt-to-equity ratio of 0.89.

Select Medical (NYSE:SEM) last released its quarterly earnings data on Thursday, February 19th. The health services provider reported $0.16 EPS for the quarter, missing the consensus estimate of $0.23 by ($0.07). The company had revenue of $1.40 billion for the quarter, compared to the consensus estimate of $1.36 billion. Select Medical had a net margin of 2.68% and a return on equity of 7.26%. The firm’s revenue for the quarter was up 6.4% on a year-over-year basis. During the same period last year, the company earned $0.18 EPS. Select Medical has set its FY 2026 guidance at 1.220-1.320 EPS. As a group, equities analysts expect that Select Medical Holdings Corporation will post 1.17 EPS for the current fiscal year.

Select Medical Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Thursday, March 12th. Stockholders of record on Monday, March 2nd were paid 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 of this dividend was Monday, March 2nd. Select Medical’s payout ratio is currently 21.74%.

Select Medical announced that its Board of Directors has initiated a share buyback plan on Thursday, February 19th that authorizes the company to buyback $1.00 billion in shares. This buyback authorization authorizes the health services provider to purchase up to 49.5% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s management believes its shares are undervalued.

Institutional Investors Weigh In On Select Medical

Large investors have recently added to or reduced their stakes in the stock. Quarry LP purchased a new position in shares of Select Medical during the fourth quarter worth approximately $26,000. Caitong International Asset Management Co. Ltd bought a new position in Select Medical in the fourth quarter worth approximately $28,000. Quantbot Technologies LP purchased a new position in Select Medical during the 3rd quarter worth $27,000. MAI Capital Management lifted its holdings in shares of Select Medical by 48,000.0% in the 2nd quarter. MAI Capital Management now owns 2,405 shares of the health services provider’s stock worth $37,000 after buying an additional 2,400 shares during the period. Finally, Hantz Financial Services Inc. grew its position in shares of Select Medical by 214.7% during the 4th 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 in the last quarter. 89.48% of the stock is owned by hedge funds and other institutional investors.

About Select Medical

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.