PerkinElmer (PKI) Lifted to Buy at Zacks Investment Research

Zacks Investment Research upgraded shares of PerkinElmer (NYSE:PKI) from a hold rating to a buy rating in a research note issued to investors on Monday morning, Zacks.com reports. The brokerage currently has $103.00 price objective on the medical research company’s stock.

According to Zacks, “PerkinElmer’s core Diagnostics unit has been putting up a strong performance on strength in reproductive health, applied genomics and immunodiagnostics business for a considerable period of time. Robust international growth is also encouraging. The recent Cisbio Bioassays buyout is an added positive. Continued expansion in both gross and operating margins buoy optimism. Solid show by Tulip and EUROIMMUN also paints a bright picture. PerkinElmer has outperformed the industry in a year’s time. PerkinElmer exited the first quarter on solid note, with both earnings and revenues beating the consensus mark. Strength in reproductive health, applied genomics and immunodiagnostics business lines led to the impressive performance. Meanwhile, negative currency movement impacted the company’s top line in recent times. Furthermore, PerkinElmer continues to acquire companies, which increases integration risks.”

Several other brokerages also recently weighed in on PKI. Goldman Sachs Group raised PerkinElmer from a neutral rating to a buy rating and set a $115.00 target price for the company in a research note on Tuesday, April 9th. Royal Bank of Canada reaffirmed a hold rating and set a $41.00 target price on shares of PerkinElmer in a research note on Friday, May 3rd. UBS Group set a $92.00 target price on PerkinElmer and gave the stock a hold rating in a research note on Saturday, February 2nd. Piper Jaffray Companies upped their target price on PerkinElmer to $104.00 and gave the stock an overweight rating in a research note on Friday, February 1st. Finally, Desjardins reaffirmed an average rating and set a $45.00 target price on shares of PerkinElmer in a research note on Wednesday, January 16th. Eleven investment analysts have rated the stock with a hold rating and six have given a buy rating to the company. PerkinElmer presently has a consensus rating of Hold and a consensus target price of $82.32.

Shares of PKI stock opened at $87.91 on Monday. The company has a debt-to-equity ratio of 0.70, a current ratio of 1.68 and a quick ratio of 1.17. The company has a market cap of $9.77 billion, a PE ratio of 24.35, a price-to-earnings-growth ratio of 1.56 and a beta of 1.22. PerkinElmer has a 1-year low of $71.31 and a 1-year high of $103.00.

PerkinElmer (NYSE:PKI) last announced its earnings results on Thursday, April 25th. The medical research company reported $0.69 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $0.66 by $0.03. The business had revenue of $648.70 million during the quarter, compared to the consensus estimate of $645.38 million. PerkinElmer had a return on equity of 15.98% and a net margin of 8.89%. The business’s quarterly revenue was up .7% on a year-over-year basis. During the same period in the prior year, the company posted $0.63 EPS. On average, sell-side analysts forecast that PerkinElmer will post 4.05 earnings per share for the current fiscal year.

The company also recently declared a quarterly dividend, which will be paid on Friday, August 9th. Investors of record on Friday, July 19th will be given a dividend of $0.07 per share. This represents a $0.28 annualized dividend and a dividend yield of 0.32%. The ex-dividend date is Thursday, July 18th. PerkinElmer’s payout ratio is 7.76%.

In related news, Director Alexis P. Michas sold 2,118 shares of the business’s stock in a transaction that occurred on Thursday, February 21st. The stock was sold at an average price of $92.96, for a total transaction of $196,889.28. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Daniel R. Tereau sold 1,200 shares of the business’s stock in a transaction that occurred on Thursday, March 7th. The stock was sold at an average price of $93.27, for a total value of $111,924.00. Following the sale, the insider now owns 5,839 shares of the company’s stock, valued at $544,603.53. The disclosure for this sale can be found here. Insiders have sold 55,274 shares of company stock valued at $5,238,106 over the last quarter. 1.80% of the stock is owned by company insiders.

Several institutional investors and hedge funds have recently modified their holdings of PKI. Ladenburg Thalmann Financial Services Inc. grew its holdings in PerkinElmer by 14.9% in the 1st quarter. Ladenburg Thalmann Financial Services Inc. now owns 3,901 shares of the medical research company’s stock valued at $375,000 after buying an additional 505 shares in the last quarter. Schonfeld Strategic Advisors LLC purchased a new stake in PerkinElmer in the 1st quarter valued at $5,887,000. Man Group plc grew its holdings in PerkinElmer by 36.7% in the 1st quarter. Man Group plc now owns 53,927 shares of the medical research company’s stock valued at $5,197,000 after buying an additional 14,472 shares in the last quarter. Macquarie Group Ltd. grew its holdings in PerkinElmer by 7.7% in the 1st quarter. Macquarie Group Ltd. now owns 58,822 shares of the medical research company’s stock valued at $5,668,000 after buying an additional 4,197 shares in the last quarter. Finally, SEI Investments Co grew its holdings in PerkinElmer by 43.8% in the 1st quarter. SEI Investments Co now owns 123,775 shares of the medical research company’s stock valued at $11,908,000 after buying an additional 37,726 shares in the last quarter. Hedge funds and other institutional investors own 96.25% of the company’s stock.

About PerkinElmer

PerkinElmer, Inc provides products, services, and solutions to the diagnostics, life sciences, and applied services markets worldwide. The company operates in two segments, Discovery & Analytical Solutions and Diagnostics. The Discovery & Analytical Solutions segment offers a suite of solutions, including reagents, informatics, and detection and imaging technologies that enable scientists to enhance research breakthroughs in the life sciences research market, as well as laboratory services.

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