Zacks Research Upgrades Healthcare Services Group (NASDAQ:HCSG) to Strong-Buy

Healthcare Services Group (NASDAQ:HCSG) was upgraded by equities researchers at Zacks Research from a “hold” rating to a “strong-buy” rating in a research report issued to clients and investors on Monday,Zacks.com reports.

A number of other equities analysts have also recently commented on HCSG. Wall Street Zen upgraded Healthcare Services Group from a “hold” rating to a “buy” rating in a report on Sunday, March 29th. Benchmark raised their price target on Healthcare Services Group from $28.00 to $30.00 and gave the stock a “buy” rating in a research note on Thursday, April 23rd. BMO Capital Markets raised their price target on Healthcare Services Group from $22.00 to $24.00 and gave the stock a “market perform” rating in a research note on Thursday, April 23rd. Robert W. Baird set a $23.00 price target on Healthcare Services Group in a research note on Thursday, February 12th. Finally, Royal Bank Of Canada raised their price target on Healthcare Services Group from $22.00 to $24.00 and gave the stock a “sector perform” rating in a research note on Thursday, April 23rd. One research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and four have issued a Hold rating to the company. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $24.00.

Healthcare Services Group Stock Performance

Shares of Healthcare Services Group stock opened at $21.73 on Monday. The stock has a market cap of $1.49 billion, a price-to-earnings ratio of 22.64 and a beta of 0.85. The stock has a 50 day moving average price of $20.07 and a 200-day moving average price of $19.27. Healthcare Services Group has a one year low of $12.66 and a one year high of $24.39.

Healthcare Services Group (NASDAQ:HCSG) last announced its earnings results on Wednesday, April 22nd. The business services provider reported $0.37 EPS for the quarter, topping analysts’ consensus estimates of $0.22 by $0.15. The firm had revenue of $462.77 million during the quarter, compared to analysts’ expectations of $479.79 million. Healthcare Services Group had a return on equity of 17.81% and a net margin of 3.67%.The company’s quarterly revenue was up 3.4% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.23 EPS. Sell-side analysts predict that Healthcare Services Group will post 1.01 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, CAO Andrew M. Brophy sold 2,490 shares of the firm’s stock in a transaction that occurred on Thursday, February 26th. The stock was sold at an average price of $21.75, for a total transaction of $54,157.50. Following the completion of the sale, the chief accounting officer directly owned 15,735 shares of the company’s stock, valued at approximately $342,236.25. This trade represents a 13.66% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Patrick J. Orr sold 44,615 shares of the firm’s stock in a transaction that occurred on Wednesday, February 18th. The stock was sold at an average price of $20.53, for a total value of $915,945.95. The SEC filing for this sale provides additional information. In the last three months, insiders sold 146,962 shares of company stock valued at $3,014,100. Insiders own 2.90% of the company’s stock.

Institutional Investors Weigh In On Healthcare Services Group

A number of institutional investors and hedge funds have recently bought and sold shares of the company. Cetera Investment Advisers raised its position in Healthcare Services Group by 4.3% during the 4th quarter. Cetera Investment Advisers now owns 14,052 shares of the business services provider’s stock valued at $269,000 after purchasing an additional 581 shares in the last quarter. Amalgamated Bank raised its position in Healthcare Services Group by 3.4% during the 3rd quarter. Amalgamated Bank now owns 21,563 shares of the business services provider’s stock valued at $363,000 after purchasing an additional 719 shares in the last quarter. Sanctuary Advisors LLC raised its position in Healthcare Services Group by 3.8% during the 4th quarter. Sanctuary Advisors LLC now owns 20,151 shares of the business services provider’s stock valued at $385,000 after purchasing an additional 738 shares in the last quarter. GAMMA Investing LLC raised its position in Healthcare Services Group by 29.7% during the 4th quarter. GAMMA Investing LLC now owns 3,688 shares of the business services provider’s stock valued at $71,000 after purchasing an additional 845 shares in the last quarter. Finally, Farther Finance Advisors LLC raised its position in Healthcare Services Group by 32.0% during the 4th quarter. Farther Finance Advisors LLC now owns 3,619 shares of the business services provider’s stock valued at $69,000 after purchasing an additional 877 shares in the last quarter. 97.97% of the stock is owned by institutional investors.

About Healthcare Services Group

Healthcare Services Group, Inc (NASDAQ: HCSG) is a leading provider of support services to healthcare facilities across the United States. The company specializes in environmental services, including housekeeping and sanitation, as well as linen and laundry management. In addition, Healthcare Services Group offers dietary and nutrition services, catering to hospitals, skilled nursing facilities, assisted living communities and other long-term care providers.

Founded as a family-owned business in the late 1970s, the company completed its initial public offering in 1997.