Embecta Corp. (NASDAQ:EMBC) Given Average Recommendation of “Reduce” by Brokerages

Shares of Embecta Corp. (NASDAQ:EMBC) have been given a consensus recommendation of “Reduce” by the five ratings firms that are presently covering the firm, Marketbeat Ratings reports. Two equities research analysts have rated the stock with a sell rating and three have given a hold rating to the company. The average 12 month target price among brokerages that have issued ratings on the stock in the last year is $11.00.

EMBC has been the topic of several research reports. Weiss Ratings lowered Embecta from a “sell (d+)” rating to a “sell (d)” rating in a research report on Monday, August 3rd. Wall Street Zen downgraded Embecta from a “strong-buy” rating to a “hold” rating in a research report on Saturday, May 9th. Mizuho lowered their target price on Embecta from $12.00 to $5.00 and set a “neutral” rating for the company in a research note on Wednesday, May 6th. BTIG Research downgraded Embecta from a “buy” rating to a “neutral” rating in a report on Tuesday, May 5th. Finally, Zacks Research raised Embecta from a “strong sell” rating to a “hold” rating in a research report on Friday, July 17th.

Insider Transactions at Embecta

In other news, CFO Jacob Elguicze bought 20,000 shares of Embecta stock in a transaction dated Wednesday, August 12th. The shares were acquired at an average cost of $4.67 per share, with a total value of $93,400.00. Following the completion of the transaction, the chief financial officer owned 309,139 shares in the company, valued at approximately $1,443,679.13. This trade represents a 6.92% increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Devdatt Kurdikar bought 30,000 shares of the firm’s stock in a transaction dated Wednesday, August 12th. The stock was purchased at an average price of $4.70 per share, with a total value of $141,000.00. Following the completion of the purchase, the chief executive officer directly owned 804,919 shares of the company’s stock, valued at approximately $3,783,119.30. This trade represents a 3.87% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Over the last three months, insiders have bought 70,000 shares of company stock valued at $334,200. Corporate insiders own 1.30% of the company’s stock.

Hedge Funds Weigh In On Embecta

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Royal Bank of Canada increased its position in shares of Embecta by 38.3% during the first quarter. Royal Bank of Canada now owns 18,201 shares of the company’s stock worth $232,000 after acquiring an additional 5,036 shares during the last quarter. AQR Capital Management LLC boosted its holdings in Embecta by 3.7% in the first quarter. AQR Capital Management LLC now owns 225,641 shares of the company’s stock valued at $2,738,000 after purchasing an additional 8,109 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its holdings in Embecta by 2.4% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 49,323 shares of the company’s stock valued at $629,000 after purchasing an additional 1,159 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its stake in Embecta by 4.8% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 172,173 shares of the company’s stock valued at $2,195,000 after purchasing an additional 7,894 shares in the last quarter. Finally, Jane Street Group LLC grew its stake in Embecta by 224.0% during the 1st quarter. Jane Street Group LLC now owns 132,688 shares of the company’s stock valued at $1,692,000 after purchasing an additional 91,729 shares in the last quarter. 93.83% of the stock is owned by hedge funds and other institutional investors.

Embecta Trading Up 0.8%

Shares of EMBC stock opened at $5.03 on Wednesday. The company’s fifty day simple moving average is $3.78 and its 200-day simple moving average is $6.11. Embecta has a 52 week low of $2.77 and a 52 week high of $15.55. The company has a market cap of $285.00 million, a PE ratio of 3.40 and a beta of 0.81.

Embecta (NASDAQ:EMBC) last posted its earnings results on Friday, August 7th. The company reported $0.56 earnings per share for the quarter, beating the consensus estimate of $0.27 by $0.29. Embecta had a net margin of 8.59% and a negative return on equity of 19.25%. The business had revenue of $271.70 million for the quarter, compared to analyst estimates of $254.53 million. During the same quarter in the previous year, the business posted $1.12 EPS. The business’s quarterly revenue was down 8.1% on a year-over-year basis. Embecta has set its FY 2026 guidance at 1.800-1.900 EPS. Equities research analysts expect that Embecta will post 1.84 EPS for the current fiscal year.

Embecta Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 15th. Stockholders of record on Thursday, August 27th will be paid a dividend of $0.01 per share. The ex-dividend date is Thursday, August 27th. This represents a $0.04 dividend on an annualized basis and a dividend yield of 0.8%. Embecta’s dividend payout ratio (DPR) is currently 2.70%.

About Embecta

Embecta Corp (NASDAQ: EMBC) is a pure-play diabetes care company that was spun off from Becton, Dickinson and Company on July 1, 2021. Headquartered in Franklin Lakes, New Jersey, Embecta focuses exclusively on the development, manufacturing and commercialization of products that enable insulin delivery and blood glucose monitoring for people with diabetes.

The company’s product portfolio includes insulin infusion sets, durable and patch pumps, pen needles, infusion tubing, blood glucose test strips, lancets and lancing devices.