athenahealth Stock Rating Upgraded by Sterne Agee (ATHN)
athenahealth (NASDAQ:ATHN) was upgraded by Sterne Agee from a “neutral” rating to a “buy” rating in a research note issued on Friday, TheFlyOnTheWall.com reports. The firm currently has a $132.00 price target on the stock, up from their previous price target of $116.00. Sterne Agee’s price objective suggests a potential upside of 25.16% from the stock’s previous close.
The analysts wrote, “Based on what we believe will be acceleration in ATHN’s core revenue growth as well as moderation in selling and marketing expense growth, we see EBITDA growth accelerating in CY14/15. We are upgrading to Buy and raising our price target to $132 from $116. This represents 22x our CY15 EBITDA estimate, which we believe is fair given our estimate for an EBITDA CAGR of 45% through CY15.”
Shares of athenahealth (NASDAQ:ATHN) traded up 22.79% during mid-day trading on Friday, hitting $129.50. 2,488,738 shares of the company’s stock traded hands. athenahealth has a 52-week low of $56.33 and a 52-week high of $117.72. The stock’s 50-day moving average is $110.1 and its 200-day moving average is $99.75. The company has a market cap of $4.772 billion and a P/E ratio of 17577.50.
athenahealth (NASDAQ:ATHN) last posted its quarterly earnings results on Thursday, October 17th. The company reported $0.29 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.31 by $0.02. The company had revenue of $151.50 million for the quarter, compared to the consensus estimate of $154.80 million. During the same quarter in the previous year, the company posted $0.30 earnings per share. The company’s revenue for the quarter was up 43.1% on a year-over-year basis. On average, analysts predict that athenahealth will post $1.02 earnings per share for the current fiscal year.
In other athenahealth news, CMO Robert Cosinuke sold 6,000 shares of athenahealth stock on the open market in a transaction that occurred on Thursday, October 10th. The stock was sold at an average price of $108.21, for a total value of $649,260.00. Following the sale, the chief marketing officer now directly owns 53,321 shares of the company’s stock, valued at approximately $5,769,865. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link.
Other equities research analysts have also recently issued reports about the stock. Analysts at Zacks reiterated a “hold” rating on shares of athenahealth in a research note to investors on Monday. They now have a $115.00 price target on the stock. Separately, analysts at ISI Group raised their price target on shares of athenahealth from $111.00 to $118.00 in a research note to investors on Monday. They now have a “neutral” rating on the stock. Finally, analysts at Leerink Swann downgraded shares of athenahealth from an “outperform” rating to a “market perform” rating in a research note to investors on Tuesday, September 24th. They now have a $120.00 price target on the stock. Three investment analysts have rated the stock with a sell rating, nine have issued a hold rating and seven have assigned a buy rating to the stock. The company presently has a consensus rating of “Hold” and an average price target of $112.33.
athenahealth, Inc (NASDAQ:ATHN), is a business services company, which provides ongoing billing, clinical-related, and other related services to its customers.
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