Molina Healthcare Inc (NYSE:MOH) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research report issued to clients and investors on Monday.

According to Zacks, “Molina Healthcare suffers from rising medical care costs along with acute dependence on debt financing that has resulted in higher interest expenses draining the bottom line. The Zacks Consensus earnings estimate for both 2017 and 2018 has declined significantly over past 90 days. However, year to date, the shares have gained 29% outperforming the Zacks classified Health Maintenance Organization that increased 21%. The company has been witnessing steady increase in premiums and service revenues over the past several quarters. Its several inorganic growth initiatives have paid off well. It will release the second quarter results On Aug 2, 2017. The Zacks Consensus Estimate is pegged at $0.86 for the second quarter reflecting a 29% year over year growth.”

MOH has been the topic of a number of other research reports. ValuEngine upgraded shares of Molina Healthcare from a “hold” rating to a “buy” rating in a research note on Friday, June 2nd. Credit Suisse Group restated an “underperform” rating and set a $53.00 price target (up previously from $50.00) on shares of Molina Healthcare in a research note on Friday. Jefferies Group LLC reaffirmed a “hold” rating and issued a $61.00 price objective on shares of Molina Healthcare in a report on Thursday, June 8th. Morgan Stanley assumed coverage on shares of Molina Healthcare in a report on Tuesday, June 6th. They issued an “underweight” rating and a $65.00 price objective on the stock. Finally, Stifel Nicolaus upped their price objective on shares of Molina Healthcare from $45.00 to $47.00 and gave the company a “hold” rating in a report on Wednesday, May 3rd. Five equities research analysts have rated the stock with a sell rating, eight have assigned a hold rating and three have given a buy rating to the company’s stock. The company has an average rating of “Hold” and an average target price of $60.37.

Shares of Molina Healthcare (MOH) traded down 0.71% during midday trading on Monday, reaching $69.70. 230,629 shares of the company traded hands. The company has a market capitalization of $3.97 billion, a PE ratio of 37.45 and a beta of 0.91. The company has a 50 day moving average price of $68.04 and a 200 day moving average price of $56.55. Molina Healthcare has a 1-year low of $42.56 and a 1-year high of $72.15.

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In other news, Director John C. Molina sold 15,393 shares of the stock in a transaction dated Wednesday, May 3rd. The shares were sold at an average price of $65.00, for a total value of $1,000,545.00. Following the completion of the sale, the director now directly owns 693,599 shares in the company, valued at $45,083,935. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider William Dentino sold 66,000 shares of the firm’s stock in a transaction dated Thursday, July 6th. The stock was sold at an average price of $68.68, for a total transaction of $4,532,880.00. The disclosure for this sale can be found here. Insiders sold 174,042 shares of company stock valued at $11,791,712 over the last quarter. Company insiders own 6.20% of the company’s stock.

A number of large investors have recently added to or reduced their stakes in MOH. Point72 Asset Management L.P. boosted its stake in Molina Healthcare by 1,821.5% in the first quarter. Point72 Asset Management L.P. now owns 599,500 shares of the company’s stock valued at $27,337,000 after buying an additional 568,300 shares during the last quarter. Norges Bank purchased a new stake in Molina Healthcare during the fourth quarter valued at about $29,447,000. Redmile Group LLC boosted its stake in Molina Healthcare by 42.7% in the first quarter. Redmile Group LLC now owns 1,149,727 shares of the company’s stock valued at $52,428,000 after buying an additional 344,181 shares during the last quarter. Dimensional Fund Advisors LP boosted its stake in Molina Healthcare by 12.8% in the first quarter. Dimensional Fund Advisors LP now owns 2,488,977 shares of the company’s stock valued at $113,498,000 after buying an additional 282,144 shares during the last quarter. Finally, Victory Capital Management Inc. boosted its stake in Molina Healthcare by 20.0% in the first quarter. Victory Capital Management Inc. now owns 1,583,018 shares of the company’s stock valued at $72,186,000 after buying an additional 263,892 shares during the last quarter. Hedge funds and other institutional investors own 92.96% of the company’s stock.

About Molina Healthcare

Molina Healthcare, Inc offers Medicaid-related solutions for low-income families and individuals, and assists government agencies in their administration of the Medicaid program. The Company operates through three segments: Health Plans, Molina Medicaid Solutions and Other, which includes its Pathways Health and Community Support LLC (Pathways) business.

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