Select Medical Holdings Corporation (NYSE:SEM) Given Average Recommendation of “Hold” by Brokerages

Select Medical Holdings Corporation (NYSE:SEM) has received an average rating of “Hold” from the seven analysts that are currently covering the firm, Marketbeat Ratings reports. One analyst has rated the stock with a sell rating, four have given a hold rating and two have given a buy rating to the company. The average 1-year price objective among brokerages that have covered the stock in the last year is $15.6250.

Several equities analysts have recently weighed in on SEM shares. Wall Street Zen lowered shares of Select Medical from a “buy” rating to a “hold” rating in a report on Monday, March 9th. Weiss Ratings raised shares of Select Medical from a “sell (d+)” rating to a “hold (c-)” rating in a report on Friday, February 20th. Benchmark lowered shares of Select Medical from a “buy” rating to a “hold” rating in a research note on Wednesday, March 4th. Zacks Research lowered Select Medical from a “hold” rating to a “strong sell” rating in a research note on Thursday, February 26th. Finally, Royal Bank Of Canada reaffirmed a “sector perform” rating and issued a $16.50 price target (down from $19.00) on shares of Select Medical in a report on Tuesday, March 3rd.

Institutional Trading of Select Medical

A number of institutional investors and hedge funds have recently modified their holdings of the stock. 8 Knots Management LLC purchased a new position in Select Medical in the 2nd quarter valued at about $26,568,000. Millennium Management LLC raised its holdings in shares of Select Medical by 407.9% during the third quarter. Millennium Management LLC now owns 1,590,339 shares of the health services provider’s stock valued at $20,420,000 after acquiring an additional 1,277,233 shares during the last quarter. Adage Capital Partners GP L.L.C. purchased a new position in shares of Select Medical in the fourth quarter valued at approximately $17,603,000. Western Standard LLC acquired a new stake in shares of Select Medical in the third quarter worth approximately $13,551,000. Finally, Eversept Partners LP purchased a new stake in shares of Select Medical during the fourth quarter worth approximately $13,456,000. Hedge funds and other institutional investors own 89.48% of the company’s stock.

Select Medical Stock Performance

Shares of SEM stock opened at $16.30 on Wednesday. Select Medical has a 52-week low of $11.65 and a 52-week high of $18.60. The company has a quick ratio of 1.04, a current ratio of 1.04 and a debt-to-equity ratio of 0.89. The stock has a market cap of $2.02 billion, a PE ratio of 14.17, a price-to-earnings-growth ratio of 0.94 and a beta of 1.22. The business has a 50-day simple moving average of $15.78 and a 200-day simple moving average of $14.69.

Select Medical (NYSE:SEM) last posted its earnings results on Thursday, February 19th. The health services provider reported $0.16 EPS for the quarter, missing the consensus estimate of $0.23 by ($0.07). Select Medical had a return on equity of 7.26% and a net margin of 2.68%.The company had revenue of $1.40 billion for the quarter, compared to analyst estimates of $1.36 billion. During the same period last year, the business earned $0.18 earnings per share. The firm’s revenue was up 6.4% on a year-over-year basis. Select Medical has set its FY 2026 guidance at 1.220-1.320 EPS. On average, equities analysts expect that Select Medical will post 1.17 EPS for the current year.

Select Medical Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, March 12th. Stockholders of record on Monday, March 2nd were given a dividend of $0.0625 per share. The ex-dividend date was Monday, March 2nd. This represents a $0.25 dividend on an annualized basis and a dividend yield of 1.5%. Select Medical’s dividend payout ratio (DPR) is 21.74%.

Select Medical announced that its board has initiated a share repurchase plan on Thursday, February 19th that authorizes the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization authorizes the health services provider to buy up to 49.5% of its shares through open market purchases. Shares repurchase plans are generally a sign that the company’s board believes its shares are undervalued.

Select Medical Company Profile

Select Medical is a leading provider of specialized healthcare services in the United States, operating through two primary business segments: Hospital Division and Outpatient Rehabilitation Division. The Hospital Division offers long-term acute care (LTAC) hospitals and inpatient rehabilitation facilities (IRFs) that serve patients recovering from complex illnesses, trauma or surgery. The Outpatient Rehabilitation Division delivers physical, occupational and speech therapy services through a network of clinic locations and home-based care programs.

Headquartered in Mechanicsburg, Pennsylvania, Select Medical was founded in 1996 and has grown through strategic partnerships, joint ventures and acquisitions.