Credit Suisse Group Downgrades Healthcare Services Group (NASDAQ:HCSG) to Neutral

Credit Suisse Group lowered shares of Healthcare Services Group (NASDAQ:HCSG) from an outperform rating to a neutral rating in a research note issued to investors on Tuesday, The Fly reports. They currently have $31.00 target price on the business services provider’s stock.

A number of other brokerages have also issued reports on HCSG. ValuEngine lowered Healthcare Services Group from a hold rating to a sell rating in a research report on Friday, July 24th. Northland Securities started coverage on Healthcare Services Group in a research report on Wednesday, July 22nd. They issued a hold rating and a $33.00 target price on the stock. BidaskClub raised Healthcare Services Group from a sell rating to a hold rating in a research report on Friday, July 31st. Royal Bank of Canada cut their target price on Healthcare Services Group from $26.00 to $21.00 and set a sector perform rating on the stock in a research report on Wednesday, April 22nd. Finally, Benchmark lowered Healthcare Services Group from a buy rating to a hold rating in a research report on Monday, July 6th. One analyst has rated the stock with a sell rating and eight have given a hold rating to the stock. The company currently has a consensus rating of Hold and an average price target of $28.83.

HCSG traded down $0.84 during midday trading on Tuesday, hitting $22.81. The company’s stock had a trading volume of 7,170 shares, compared to its average volume of 803,324. Healthcare Services Group has a 52-week low of $15.80 and a 52-week high of $31.30. The firm has a market cap of $1.71 billion, a P/E ratio of 21.32 and a beta of 0.63. The firm has a 50-day moving average price of $25.30 and a two-hundred day moving average price of $24.76.

Healthcare Services Group (NASDAQ:HCSG) last released its quarterly earnings results on Tuesday, July 21st. The business services provider reported $0.31 earnings per share for the quarter, topping the Zacks’ consensus estimate of $0.26 by $0.05. The firm had revenue of $452.03 million during the quarter, compared to analysts’ expectations of $450.41 million. Healthcare Services Group had a return on equity of 17.86% and a net margin of 4.46%. On average, sell-side analysts forecast that Healthcare Services Group will post 1.12 earnings per share for the current fiscal year.

The company also recently declared a quarterly dividend, which will be paid on Friday, September 25th. Investors of record on Friday, August 21st will be given a dividend of $0.204 per share. This is a positive change from Healthcare Services Group’s previous quarterly dividend of $0.20. This represents a $0.82 annualized dividend and a dividend yield of 3.58%. The ex-dividend date of this dividend is Thursday, August 20th. Healthcare Services Group’s dividend payout ratio is currently 93.10%.

Hedge funds have recently bought and sold shares of the stock. Advisor Group Holdings Inc. acquired a new stake in Healthcare Services Group in the first quarter worth $381,000. Federated Hermes Inc. increased its position in Healthcare Services Group by 308.8% in the first quarter. Federated Hermes Inc. now owns 43,569 shares of the business services provider’s stock worth $1,042,000 after buying an additional 32,911 shares during the period. Citigroup Inc. increased its position in Healthcare Services Group by 22.8% in the first quarter. Citigroup Inc. now owns 42,337 shares of the business services provider’s stock worth $1,012,000 after buying an additional 7,874 shares during the period. MERIAN GLOBAL INVESTORS UK Ltd increased its position in Healthcare Services Group by 3.4% in the second quarter. MERIAN GLOBAL INVESTORS UK Ltd now owns 100,611 shares of the business services provider’s stock worth $2,460,000 after buying an additional 3,313 shares during the period. Finally, Janney Montgomery Scott LLC increased its position in Healthcare Services Group by 73.9% in the second quarter. Janney Montgomery Scott LLC now owns 19,229 shares of the business services provider’s stock worth $470,000 after buying an additional 8,169 shares during the period.

About Healthcare Services Group

Healthcare Services Group, Inc provides management, administrative, and operating services to the housekeeping, laundry, linen, facility maintenance, and dietary service departments of nursing homes, retirement complexes, rehabilitation centers, and hospitals in the United States. It operates through two segments, Housekeeping and Dietary.

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