Baxter International (NYSE:BAX) Shares Gap Up Following Earnings Beat

Shares of Baxter International Inc. (NYSE:BAX - Get Free Report) gapped up before the market opened on Thursday after the company announced better than expected quarterly earnings. The stock had previously closed at $30.82, but opened at $33.29. Baxter International shares last traded at $33.23, with a volume of 1,512,522 shares changing hands.

The medical instruments supplier reported $0.58 EPS for the quarter, topping analysts' consensus estimates of $0.52 by $0.06. Baxter International had a net margin of 0.77% and a return on equity of 18.30%. The business had revenue of $2.75 billion for the quarter, compared to analyst estimates of $2.67 billion.

Baxter International Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, April 1st. Investors of record on Friday, February 28th will be given a dividend of $0.17 per share. This represents a $0.68 dividend on an annualized basis and a yield of 2.01%. The ex-dividend date of this dividend is Friday, February 28th. Baxter International's dividend payout ratio is 340.02%.

Analyst Ratings Changes

BAX has been the topic of a number of analyst reports. StockNews.com downgraded shares of Baxter International from a "buy" rating to a "hold" rating in a research note on Monday, November 11th. Barclays initiated coverage on shares of Baxter International in a research note on Thursday. They set an "overweight" rating and a $39.00 price objective on the stock. JPMorgan Chase & Co. reduced their price objective on shares of Baxter International from $38.00 to $36.00 and set a "neutral" rating on the stock in a research note on Friday. Stifel Nicolaus reduced their price objective on shares of Baxter International from $46.00 to $38.00 and set a "buy" rating on the stock in a research note on Monday, November 11th. Finally, Citigroup reduced their price objective on shares of Baxter International from $37.00 to $35.00 and set a "neutral" rating on the stock in a research note on Wednesday, December 11th. One investment analyst has rated the stock with a sell rating, seven have issued a hold rating and three have issued a buy rating to the company's stock. According to data from MarketBeat, the stock currently has an average rating of "Hold" and a consensus price target of $38.80.

Institutional Investors Weigh In On Baxter International

A number of hedge funds have recently made changes to their positions in the stock. CKW Financial Group boosted its stake in shares of Baxter International by 19.3% in the 4th quarter. CKW Financial Group now owns 2,625 shares of the medical instruments supplier's stock valued at $77,000 after purchasing an additional 425 shares in the last quarter. Farther Finance Advisors LLC boosted its position in Baxter International by 23.2% during the 3rd quarter. Farther Finance Advisors LLC now owns 2,519 shares of the medical instruments supplier's stock worth $96,000 after buying an additional 475 shares during the period. LRI Investments LLC boosted its position in Baxter International by 60.8% during the 3rd quarter. LRI Investments LLC now owns 1,560 shares of the medical instruments supplier's stock worth $59,000 after buying an additional 590 shares during the period. Whittier Trust Co. of Nevada Inc. boosted its position in Baxter International by 5.8% during the 4th quarter. Whittier Trust Co. of Nevada Inc. now owns 13,618 shares of the medical instruments supplier's stock worth $397,000 after buying an additional 752 shares during the period. Finally, Greenleaf Trust boosted its position in Baxter International by 10.0% during the 3rd quarter. Greenleaf Trust now owns 9,491 shares of the medical instruments supplier's stock worth $360,000 after buying an additional 859 shares during the period. 90.19% of the stock is currently owned by institutional investors and hedge funds.

Baxter International Trading Up 1.3 %

The firm's 50-day moving average is $30.65 and its 200 day moving average is $34.14. The company has a current ratio of 1.43, a quick ratio of 1.09 and a debt-to-equity ratio of 1.31. The firm has a market capitalization of $17.29 billion, a price-to-earnings ratio of 169.33, a P/E/G ratio of 9.83 and a beta of 0.61.

About Baxter International

Baxter International Inc, through its subsidiaries, develops and provides a portfolio of healthcare products worldwide. The company operates through four segments: Medical Products and Therapies, Healthcare Systems and Technologies, Pharmaceuticals, and Kidney Care. The company offers sterile intravenous (IV) solutions; infusion systems and devices; parenteral nutrition therapies; generic injectable pharmaceuticals; surgical hemostat and sealant products, advanced surgical equipment; smart bed systems; patient monitoring and diagnostic technologies; and respiratory health devices, as well as advanced equipment for the surgical space, including surgical video technologies, precision positioning devices, and other accessories.