Premier (NASDAQ:PINC) Shares Up 8.2% - Here's Why

Shares of Premier, Inc. (NASDAQ:PINC - Get Free Report) rose 8.2% during trading on Tuesday . The stock traded as high as $21.81 and last traded at $21.65. Approximately 141,550 shares traded hands during mid-day trading, a decline of 90% from the average daily volume of 1,350,296 shares. The stock had previously closed at $20.01.

Wall Street Analysts Forecast Growth

A number of brokerages have recently weighed in on PINC. StockNews.com downgraded shares of Premier from a "buy" rating to a "hold" rating in a report on Tuesday. Canaccord Genuity Group reduced their target price on Premier from $20.00 to $19.00 and set a "hold" rating on the stock in a report on Wednesday, October 2nd. Robert W. Baird reduced their price objective on Premier from $22.00 to $19.00 and set a "neutral" rating on the stock in a research note on Wednesday, August 21st. JPMorgan Chase & Co. decreased their target price on Premier from $21.00 to $19.00 and set a "neutral" rating on the stock in a research report on Monday, September 9th. Finally, Benchmark cut shares of Premier from a "buy" rating to a "hold" rating in a report on Monday, August 26th. Ten equities research analysts have rated the stock with a hold rating, Based on data from MarketBeat, Premier currently has a consensus rating of "Hold" and a consensus price target of $21.81.

Premier Stock Up 13.3 %

The stock has a market cap of $2.27 billion, a P/E ratio of 19.43, a P/E/G ratio of 9.56 and a beta of 0.40. The company's 50 day moving average price is $19.89 and its 200-day moving average price is $19.66.

Premier (NASDAQ:PINC - Get Free Report) last announced its earnings results on Tuesday, August 20th. The company reported $0.69 EPS for the quarter, topping the consensus estimate of $0.44 by $0.25. Premier had a return on equity of 11.69% and a net margin of 8.88%. The firm had revenue of $350.30 million for the quarter, compared to the consensus estimate of $308.88 million. During the same period in the previous year, the business earned $0.70 EPS. The business's quarterly revenue was up 2.9% compared to the same quarter last year. Equities research analysts anticipate that Premier, Inc. will post 1.04 earnings per share for the current year.

Premier Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Sunday, December 15th. Stockholders of record on Sunday, December 1st will be given a $0.21 dividend. The ex-dividend date of this dividend is Friday, November 29th. This represents a $0.84 dividend on an annualized basis and a dividend yield of 3.71%. Premier's dividend payout ratio (DPR) is currently 81.55%.

Insider Transactions at Premier

In other news, COO Leigh Anderson sold 20,000 shares of Premier stock in a transaction dated Tuesday, October 1st. The stock was sold at an average price of $19.62, for a total value of $392,400.00. Following the completion of the transaction, the chief operating officer now directly owns 131,707 shares of the company's stock, valued at approximately $2,584,091.34. This trade represents a 0.00 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. In other news, COO Leigh Anderson sold 20,000 shares of Premier stock in a transaction on Tuesday, October 1st. The shares were sold at an average price of $19.62, for a total value of $392,400.00. Following the completion of the sale, the chief operating officer now owns 131,707 shares in the company, valued at $2,584,091.34. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, CEO Michael J. Alkire sold 1,264 shares of the stock in a transaction on Monday, September 30th. The stock was sold at an average price of $20.01, for a total transaction of $25,292.64. Following the transaction, the chief executive officer now directly owns 558,143 shares in the company, valued at approximately $11,168,441.43. This represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 135,441 shares of company stock worth $2,738,548 over the last three months. 0.96% of the stock is owned by company insiders.

Institutional Investors Weigh In On Premier

A number of hedge funds have recently added to or reduced their stakes in the company. Mirae Asset Global Investments Co. Ltd. acquired a new stake in Premier in the 1st quarter valued at $1,686,000. SG Americas Securities LLC increased its position in shares of Premier by 1,496.5% during the first quarter. SG Americas Securities LLC now owns 94,734 shares of the company's stock worth $2,094,000 after acquiring an additional 88,800 shares in the last quarter. US Bancorp DE raised its holdings in shares of Premier by 8,726.8% in the 1st quarter. US Bancorp DE now owns 374,434 shares of the company's stock worth $8,275,000 after acquiring an additional 370,192 shares during the last quarter. QRG Capital Management Inc. acquired a new position in Premier during the 1st quarter valued at about $418,000. Finally, Nordea Investment Management AB lifted its holdings in shares of Premier by 10.5% in the first quarter. Nordea Investment Management AB now owns 215,636 shares of the company's stock valued at $4,742,000 after purchasing an additional 20,419 shares in the last quarter. Institutional investors and hedge funds own 74.41% of the company's stock.

About Premier

Premier, Inc, together with its subsidiaries, operates as a healthcare improvement company in the United States. It operates in two segments, Supply Chain Services and Performance Services. The Supply Chain Services segment offers its members with an access to a range of products and services, including medical and surgical products, pharmaceuticals, laboratory supplies, capital equipment, information technology, facilities and construction, and food and nutritional products, as well as purchased services, such as clinical engineering and workforce solutions.