In a surprising move, Yousif Capital Management LLC has announced a significant reduction in its stake in Select Medical Holdings Co. (NYSE:SEM). According to the company’s most recent 13F filing with the Securities & Exchange Commission, the institutional investor sold 7,440 shares during the first quarter, resulting in an 11.2% decrease in its holdings. This decision comes as a shock to industry insiders who have been closely monitoring Yousif Capital Management LLC’s investment activities.
At the end of the reporting period, Yousif Capital Management LLC owned 58,783 shares of Select Medical’s stock valued at $1,520,000. While still holding a substantial position in the health services provider, this reduction signals a shift in strategy for the renowned capital management firm.
This news follows Select Medical’s recent disclosure of its quarterly dividend payment. Shareholders of record on Thursday, May 18th received a $0.125 dividend, resulting in an annualized dividend of $0.50 and a yield of 1.67%. The ex-dividend date for this payment was Wednesday, May 17th. It is noteworthy that Select Medical’s dividend payout ratio (DPR) currently stands at 35.21%.
The implications of Yousif Capital Management LLC’s share reduction are sure to generate interest among analysts and market participants alike. Several analysts have already issued reports on SEM shares, shedding light on their perspectives regarding Select Medical as an investment opportunity.
StockNews.com initiated coverage on Select Medical back on Thursday, May 18th with a “buy” rating attached to it. Meanwhile, TheStreet upgraded their rating from “c+” to “b” in a research note published on Wednesday, May 17th. Royal Bank of Canada reaffirmed an “outperform” rating and set a price objective of $38.00 for Select Medical shares on Thursday, July 20th. Lastly, Deutsche Bank Aktiengesellschaft increased its price objective on the company’s stock from $35.00 to $37.00 in a research note dated Monday, May 8th.
Currently, Select Medical holds a consensus rating of “Moderate Buy” based on data from Bloomberg.com. Moreover, analysts have assigned a consensus price target of $35.75 to the stock. These ratings and projections highlight the positive sentiment surrounding Select Medical and reinforce its potential as an investment choice.
As we move further into August 2023, it is evident that Yousif Capital Management LLC’s decision to reduce its stake in Select Medical has raised eyebrows within the financial industry. In conjunction with analyst reports and dividend statistics, this development invites scrutiny and sparks speculation about the future direction of both Select Medical and Yousif Capital Management LLC’s investment strategy. Investors and market observers will undoubtedly keep a close eye on subsequent filings and announcements to gain more insight into this perplexing situation.
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Select Medical Holdings Co.: Investor Activity and Company News Analysis
[stock_market_widget type=”chart” template=”basic” color=”#3946CE” assets=”SEM” range=”1mo” interval=”1d” axes=”true” cursor=”true” range_selector=”true” api=”yf”]August 2, 2023
Select Medical: A Closer Look at Recent Investor Activity and Company News
In recent months, Select Medical Holdings Co. (NYSE:SEM) has been the focus of various investor activities and notable news. The healthcare services provider has seen changes in its shareholder positions as well as insider stock sales. Additionally, the company has disclosed its latest dividend and provided updates on its financial performance. Today, we delve deeper into these developments to gain valuable insights into Select Medical’s current status.
Large investors have made noteworthy changes to their positions in Select Medical. Belpointe Asset Management LLC recently acquired a new stake in the company during the fourth quarter of fiscal year 2022, with an estimated value of approximately $25,000. At the same time, IFP Advisors Inc raised its stake by an impressive 275.4%, now owning 1,036 shares valued at $32,000 after acquiring an additional 760 shares during that period.
During the first quarter of fiscal year 2023, West Branch Capital LLC entered the scene and purchased a new stake in Select Medical worth approximately $39,000. Conversely, Strs Ohio increased its stake by 80.0%, now possessing 2,700 shares valued at $69,000 after purchasing an additional 1,200 shares during that period. UBS Group AG also saw a significant increase in its stake – up by 252.4% – now holding 2,844 shares valued at $69,000 after acquiring an additional 2,037 shares.
These changes demonstrate a continued interest from hedge funds and other institutional investors who collectively own around 79.99% of Select Medical’s stock.
Notably, Chairman Robert A. Ortenzio made significant stock sales during this period as well. On Monday May 8th alone, he sold a total of 50,000 shares of Select Medical stock at an average price of $29.68, resulting in a transaction value of $1,484,000.00. After this transaction, Chairman Ortenzio retained ownership of 6,989,668 shares of the company’s stock valued at approximately $207,453,346.24.
In addition to Chairman Ortenzio’s sales, Vice President Robert G. Breighner Jr. also sold 10,044 shares on May 8th at an average price of $29.45. As a result, his direct ownership now stands at 32,989 shares valued at approximately $971,526.05.
Overall insider stock sales amounted to 294,011 shares valued at $8,948,306 during the last quarter alone. Insiders’ current stake constitutes around 19.14% of Select Medical’s stock.
Furthermore, Select Medical recently announced a quarterly dividend payment on May 31st for shareholders who were recorded as such on May 18th. The dividend payout was set at $0.125 per share and represents an annualized dividend of $0.50 and a yield rate of 1.67%. The ex-dividend date for this particular payment fell on May 17th.
Turning our attention to Select Medical’s financial performance and market outlook – as reported on August 2nd – its stock opened at $29.92 on NYSE (New York Stock Exchange). This came after the fifty-day moving average stood at $29.70 and the two-hundred day moving average reached $28.52.
Select Medical Holdings Co.’s market capitalization currently sits at an impressive $3.80 billion with a price-earnings ratio (PE ratio) of 21.07 and a PEG ratio of 1.04 – signaling encouraging growth prospects according to experts in the field.
The company boasts a beta reading of 1.39, indicating a higher volatility compared to the market’s benchmark. Intriguingly, Select Medical has recorded a fifty-two week low of $18.86 along with a fifty-two week high of $33.51.
On May 5th, Select Medical last released its quarterly earnings results. The company outperformed market expectations by reporting an earnings per share (EPS) figure of $0.56 for the quarter, surpassing consensus estimates by $0.19. Additionally, it generated revenue totaling $1.67 billion in comparison to analyst predictions of $1.65 billion.
Looking ahead, sell-side analysts anticipate that Select Medical Holdings Co. will post 1.93 earnings per share for the current fiscal year.
In conclusion, recent investor activities and company news suggest continued interest and confidence in Select Medical Holdings Co.’s growth potential and financial stability. Large institutional investors have increased their stakes in the company while insiders have engaged in substantial stock transactions.
Furthermore, Select Medical’s dividend payout ratio remains at 35.21%, indicating a commitment to rewarding shareholders’ investments.
The company’s strong financial performance and positive market outlook make it an enticing investment opportunity for those pursuing long-term gains in the healthcare industry.
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