Healthways Inc. (NASDAQ:HWAY) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a report released on Tuesday.

According to Zacks, “We believe that Healthways has a substantial pipeline of potential contracts with new and existing customers in both domestic and international markets, which should drive growth. The recently completed organizational restructure is expected to generate cost savings from full-year 2017, which will boost profitability. Meanwhile, estimates have been going up after posting stable second-quarterly results. We note that the company has positive record of earnings surprises in recent quarters. However, declining revenues are a concern. Significant competition in population health management solutions market also remains a major concern.”

HWAY has been the subject of a number of other research reports. Oppenheimer Holdings Inc. raised shares of Healthways to an “outperform” rating and set a $27.00 price objective for the company in a research note on Sunday, August 14th. FBR & Co upped their price objective on shares of Healthways from $16.00 to $21.00 and gave the company an “outperform” rating in a research note on Wednesday, August 10th. Jefferies Group upped their price objective on shares of Healthways from $13.00 to $18.50 and gave the company a “hold” rating in a research note on Thursday, August 4th. Barclays PLC raised shares of Healthways from an “underweight” rating to an “equal weight” rating and upped their price objective for the company from $12.00 to $27.00 in a research note on Monday, August 22nd. Finally, Piper Jaffray Cos. upped their price objective on shares of Healthways from $15.00 to $25.50 and gave the company an “overweight” rating in a research note on Wednesday, August 10th. Three investment analysts have rated the stock with a hold rating and four have issued a buy rating to the company’s stock. The stock currently has an average rating of “Buy” and an average target price of $22.93.

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Shares of Healthways (NASDAQ:HWAY) traded down 0.54% during mid-day trading on Tuesday, reaching $25.73. 981,911 shares of the company’s stock were exchanged. The firm’s market cap is $945.27 million. The company has a 50 day moving average price of $23.13 and a 200 day moving average price of $14.54. Healthways has a 52-week low of $9.18 and a 52-week high of $27.30.

Healthways (NASDAQ:HWAY) last announced its quarterly earnings data on Tuesday, August 9th. The company reported $0.54 earnings per share (EPS) for the quarter, beating the Zacks’ consensus estimate of $0.01 by $0.53. Healthways had a negative net margin of 31.32% and a positive return on equity of 8.83%. The company earned $125 million during the quarter, compared to analysts’ expectations of $186.88 million. During the same quarter in the prior year, the company earned $0.11 EPS. The firm’s revenue was up 10.2% on a year-over-year basis. Analysts forecast that Healthways will post $2.11 earnings per share for the current fiscal year.

In other Healthways news, Director Mary Jane England sold 3,816 shares of the stock in a transaction on Friday, August 26th. The shares were sold at an average price of $24.78, for a total transaction of $94,560.48. Following the completion of the sale, the director now owns 39,068 shares of the company’s stock, valued at approximately $968,105.04. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Company insiders own 14.01% of the company’s stock.

A number of large investors have recently made changes to their positions in the stock. Waddell & Reed Financial Inc. purchased a new stake in shares of Healthways during the second quarter valued at $8,636,000. Rutabaga Capital Management LLC MA raised its position in shares of Healthways by 359.7% in the second quarter. Rutabaga Capital Management LLC MA now owns 866,087 shares of the company’s stock valued at $10,003,000 after buying an additional 677,677 shares during the period. Dimensional Fund Advisors LP raised its position in shares of Healthways by 8.2% in the second quarter. Dimensional Fund Advisors LP now owns 3,058,854 shares of the company’s stock valued at $35,330,000 after buying an additional 230,768 shares during the period. Vanguard Group Inc. raised its position in shares of Healthways by 6.0% in the second quarter. Vanguard Group Inc. now owns 2,622,631 shares of the company’s stock valued at $30,292,000 after buying an additional 148,879 shares during the period. Finally, AQR Capital Management LLC raised its position in shares of Healthways by 461.7% in the second quarter. AQR Capital Management LLC now owns 140,767 shares of the company’s stock valued at $1,626,000 after buying an additional 115,708 shares during the period. 92.52% of the stock is owned by institutional investors and hedge funds.

Healthways Company Profile

Healthways, Inc (Healthways) provides network delivered solutions and population health management services that are designed to help people manage their wellbeing, thereby managing their health and productivity, and their health-related costs. The Company operates in the domestic and international segments, which are collectively known as the well-being improvement services segment.

5 Day Chart for NASDAQ:HWAY

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