Select Medical (NYSE:SEM) Issues Earnings Results, Misses Estimates By $0.11 EPS

Select Medical (NYSE:SEM - Get Free Report) released its quarterly earnings data on Thursday. The health services provider reported $0.18 EPS for the quarter, missing the consensus estimate of $0.29 by ($0.11), Zacks reports. Select Medical had a net margin of 3.23% and a return on equity of 14.04%. The business had revenue of $1.31 billion during the quarter, compared to analysts' expectations of $1.50 billion. Select Medical updated its FY 2025 guidance to 1.090-1.190 EPS.

Select Medical Price Performance

Shares of NYSE:SEM traded up $0.83 during midday trading on Monday, reaching $18.51. 1,225,852 shares of the company's stock traded hands, compared to its average volume of 871,570. The company has a fifty day simple moving average of $19.07 and a two-hundred day simple moving average of $27.81. Select Medical has a 1 year low of $16.20 and a 1 year high of $40.98. The company has a market cap of $2.40 billion, a P/E ratio of 11.22, a PEG ratio of 0.64 and a beta of 1.45. The company has a debt-to-equity ratio of 1.37, a quick ratio of 1.13 and a current ratio of 1.13.

Select Medical Cuts Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, March 13th. Stockholders of record on Monday, March 3rd will be given a $0.0625 dividend. This represents a $0.25 dividend on an annualized basis and a dividend yield of 1.35%. The ex-dividend date is Monday, March 3rd. Select Medical's dividend payout ratio (DPR) is presently 30.30%.

Wall Street Analysts Forecast Growth

Several research firms have commented on SEM. Royal Bank of Canada lowered their price target on shares of Select Medical from $47.00 to $23.00 and set an "outperform" rating on the stock in a report on Monday. Benchmark upgraded Select Medical from a "hold" rating to a "buy" rating and set a $23.00 target price on the stock in a research note on Monday. StockNews.com raised Select Medical from a "hold" rating to a "buy" rating in a report on Friday. Finally, UBS Group decreased their price target on Select Medical from $40.00 to $21.00 and set a "neutral" rating for the company in a report on Friday, January 3rd. One research analyst has rated the stock with a hold rating and four have given a buy rating to the company's stock. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $27.25.

Insider Buying and Selling

In other news, Director Marilyn B. Tavenner sold 32,000 shares of Select Medical stock in a transaction dated Tuesday, November 26th. The shares were sold at an average price of $21.09, for a total value of $674,880.00. Following the sale, the director now owns 22,000 shares in the company, valued at $463,980. This trade represents a 59.26 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, VP Robert G. Breighner, Jr. sold 4,989 shares of the firm's stock in a transaction dated Wednesday, December 4th. The shares were sold at an average price of $19.95, for a total transaction of $99,530.55. Following the completion of the transaction, the vice president now directly owns 30,356 shares in the company, valued at $605,602.20. This represents a 14.12 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 19.14% of the stock is owned by insiders.

About Select Medical

Select Medical Holdings Corporation, through its subsidiaries, operates critical illness recovery hospitals, rehabilitation hospitals, outpatient rehabilitation clinics, and occupational health centers in the United States. It operates in four segments: Critical Illness Recovery Hospital, Rehabilitation Hospital, Outpatient Rehabilitation, and Concentra.