Change Healthcare (NASDAQ:CHNG) Stock Rating Lowered by Zacks Investment Research

Zacks Investment Research cut shares of Change Healthcare (NASDAQ:CHNG) from a hold rating to a sell rating in a research note published on Monday, Zacks.com reports. Zacks Investment Research currently has $9.00 price objective on the stock.

According to Zacks, “Change Healthcare underperformed the industry in a year’s time. Cut-throat competition remains a concern. However, Change Healthcare exited fourth-quarter fiscal 2020 on a strong note, with both earnings and revenues beating the Zacks Consensus Estimate. The Network Solutions recorded solid performance in the quarter. The company remains committed toward payment accuracy business, while remaining focused on healthcare plans and payers that have been generating continued double-digit growth for this business. Also, it has been utilizing AI and ML to detect inefficiencies and eliminating them from administrative processes in the healthcare system, thereby lowering costs and providing payers, providers, and patients with better outcomes. The company completed McKesson Corporation's disposition of its ownership interest in Change Healthcare.”

CHNG has been the topic of several other reports. Credit Suisse Group restated a buy rating and set a $16.00 target price on shares of Change Healthcare in a report on Wednesday, May 6th. SVB Leerink assumed coverage on Change Healthcare in a report on Monday, April 13th. They set an outperform rating and a $13.00 target price on the stock. BidaskClub upgraded Change Healthcare from a sell rating to a hold rating in a research note on Thursday, March 26th. Wells Fargo & Co upgraded Change Healthcare from an equal weight rating to an overweight rating and set a $19.00 price objective on the stock in a research note on Tuesday, March 10th. Finally, ValuEngine lowered Change Healthcare from a hold rating to a sell rating in a research note on Thursday, April 2nd. One research analyst has rated the stock with a sell rating, two have assigned a hold rating, seventeen have given a buy rating and one has given a strong buy rating to the stock. Change Healthcare has an average rating of Buy and a consensus target price of $16.97.

NASDAQ CHNG opened at $10.89 on Monday. Change Healthcare has a fifty-two week low of $6.18 and a fifty-two week high of $17.57. The stock’s 50-day moving average is $11.76 and its two-hundred day moving average is $12.89. The company has a debt-to-equity ratio of 1.43, a current ratio of 1.32 and a quick ratio of 1.32. The firm has a market cap of $3.40 billion and a P/E ratio of 272.32.

Change Healthcare (NASDAQ:CHNG) last posted its earnings results on Wednesday, June 3rd. The company reported $0.42 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $0.37 by $0.05. Change Healthcare had a positive return on equity of 22.03% and a negative net margin of 0.17%. The company had revenue of $843.40 million for the quarter, compared to analyst estimates of $834.69 million. Change Healthcare’s revenue for the quarter was up .8% on a year-over-year basis. On average, equities analysts expect that Change Healthcare will post 1 EPS for the current year.

In other news, CFO Fredrik J. Eliasson bought 100,000 shares of the firm’s stock in a transaction that occurred on Wednesday, June 10th. The shares were acquired at an average cost of $12.00 per share, with a total value of $1,200,000.00. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. 20.77% of the stock is owned by company insiders.

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in CHNG. Great West Life Assurance Co. Can acquired a new stake in Change Healthcare during the fourth quarter valued at approximately $54,000. UBS Group AG acquired a new stake in Change Healthcare during the fourth quarter valued at approximately $61,000. Citigroup Inc. boosted its holdings in Change Healthcare by 66.3% during the fourth quarter. Citigroup Inc. now owns 5,701 shares of the company’s stock valued at $93,000 after purchasing an additional 2,272 shares in the last quarter. Victory Capital Management Inc. boosted its holdings in Change Healthcare by 9.2% during the fourth quarter. Victory Capital Management Inc. now owns 9,299 shares of the company’s stock valued at $144,000 after purchasing an additional 780 shares in the last quarter. Finally, Alambic Investment Management L.P. acquired a new stake in Change Healthcare during the fourth quarter valued at approximately $170,000.

Change Healthcare Company Profile

Change Healthcare Inc, an independent healthcare technology platform, provides data and analytics-driven solutions to improve clinical, financial, and patient engagement outcomes in the United States healthcare system. It operates in three segments: Software and Analytics, Network Solutions, and Technology-Enabled Services.

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