AmerisourceBergen Corporation (Holding Co) (NYSE:ABC) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a note issued to investors on Monday.

According to Zacks, “AmerisourceBergen had an unimpressive run on the bourse over the last one month, trading below the broader industry in terms of price performance. The company faces headwinds due to the slowdown in hepatitis C revenues and conversion of branded drugs to the lower price generics. Furthermore, a temporary slowdown in PharMEDium's growth is expected to mar the company’s bottom line. AmerisourceBergen expects a moderation in growth in fiscal 2017 due to a challenging healthcare landscape, as both healthcare providers and pharmaceutical manufacturers are facing increasing cost pressures. The company operates in a highly competitive pharmaceutical distribution and related health care space. Furthermore, the generic industry is facing consolidation of customers and manufacturers, globalization and increasing quality and regulatory challenges. Added to this, AmerisourceBergen’s expensive valuation multiples pose risk owing to Trump’s unclear policy towards brand pricing.”

ABC has been the topic of several other research reports. Needham & Company LLC assumed coverage on shares of AmerisourceBergen Corporation (Holding Co) in a report on Tuesday, April 4th. They issued a “buy” rating and a $99.00 price target on the stock. Vetr raised shares of AmerisourceBergen Corporation (Holding Co) from a “hold” rating to a “buy” rating and set a $92.52 price target on the stock in a report on Tuesday, April 11th. Jefferies Group LLC assumed coverage on shares of AmerisourceBergen Corporation (Holding Co) in a report on Wednesday, May 17th. They issued a “hold” rating and a $95.00 price target on the stock. Mizuho boosted their price target on shares of AmerisourceBergen Corporation (Holding Co) from $83.00 to $93.00 and gave the company a “neutral” rating in a report on Tuesday, May 30th. Finally, Bank of America Corporation lowered shares of AmerisourceBergen Corporation (Holding Co) from a “buy” rating to a “neutral” rating and lowered their price target for the company from $95.76 to $94.00 in a report on Friday, June 30th. One analyst has rated the stock with a sell rating, seven have given a hold rating, eight have assigned a buy rating and one has assigned a strong buy rating to the company’s stock. The company has a consensus rating of “Buy” and an average target price of $94.71.

AmerisourceBergen Corporation (NYSE ABC) opened at 93.91 on Monday. AmerisourceBergen Corporation has a 12-month low of $68.38 and a 12-month high of $97.85. The firm has a market capitalization of $20.51 billion, a price-to-earnings ratio of 18.23 and a beta of 0.91. The stock has a 50 day moving average of $92.12 and a 200 day moving average of $87.40.

AmerisourceBergen Corporation (Holding Co) (NYSE:ABC) last announced its quarterly earnings results on Thursday, May 4th. The company reported $1.77 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $1.68 by $0.09. The firm had revenue of $37.15 billion for the quarter, compared to analyst estimates of $38.07 billion. AmerisourceBergen Corporation (Holding Co) had a net margin of 0.77% and a return on equity of 60.21%. The business’s revenue for the quarter was up 4.1% on a year-over-year basis. During the same quarter in the previous year, the firm posted $1.68 EPS. Equities research analysts anticipate that AmerisourceBergen Corporation will post $5.87 earnings per share for the current year.

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In related news, Chairman Steven H. Collis sold 15,000 shares of the company’s stock in a transaction dated Monday, May 1st. The shares were sold at an average price of $81.98, for a total transaction of $1,229,700.00. Following the transaction, the chairman now owns 253,876 shares in the company, valued at approximately $20,812,754.48. The sale was disclosed in a filing with the SEC, which can be accessed through this link. In the last quarter, insiders have sold 45,000 shares of company stock worth $4,027,050. 27.40% of the stock is owned by corporate insiders.

A number of hedge funds and other institutional investors have recently modified their holdings of ABC. Her Majesty the Queen in Right of the Province of Alberta as represented by Alberta Investment Management Corp increased its position in shares of AmerisourceBergen Corporation (Holding Co) by 91.0% in the fourth quarter. Her Majesty the Queen in Right of the Province of Alberta as represented by Alberta Investment Management Corp now owns 205,065 shares of the company’s stock valued at $21,267,000 after buying an additional 97,700 shares during the period. Northern Trust Corp increased its position in shares of AmerisourceBergen Corporation (Holding Co) by 1.8% in the third quarter. Northern Trust Corp now owns 2,640,037 shares of the company’s stock valued at $213,262,000 after buying an additional 47,858 shares during the period. HealthInvest Partners AB bought a new position in shares of AmerisourceBergen Corporation (Holding Co) during the second quarter valued at about $12,691,000. Legal & General Group Plc increased its position in shares of AmerisourceBergen Corporation (Holding Co) by 0.4% in the first quarter. Legal & General Group Plc now owns 1,177,298 shares of the company’s stock valued at $101,921,000 after buying an additional 4,578 shares during the period. Finally, Airain ltd increased its position in shares of AmerisourceBergen Corporation (Holding Co) by 522.2% in the fourth quarter. Airain ltd now owns 115,971 shares of the company’s stock valued at $12,027,000 after buying an additional 97,333 shares during the period. Institutional investors and hedge funds own 69.11% of the company’s stock.

About AmerisourceBergen Corporation (Holding Co)

AmerisourceBergen Corporation is a pharmaceutical sourcing and distribution services company. The Company’s segments include Pharmaceutical Distribution and Other. The Company provides services to healthcare providers, and pharmaceutical and biotech manufacturers. As of June 30, 2016, the Pharmaceutical Distribution segment consists of two operating segments, including the operations of AmerisourceBergen Drug Corporation (ABDC) and AmerisourceBergen Specialty Group (ABSG), which distributes specialty drugs to their customers.

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Analyst Recommendations for AmerisourceBergen Corporation (Holding Co) (NYSE:ABC)

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