Embecta Corp. (NASDAQ:EMBC) Given Consensus Rating of “Strong Sell” by Brokerages

Embecta Corp. (NASDAQ:EMBC) has been given a consensus rating of “Strong Sell” by the five brokerages that are covering the stock, MarketBeat.com reports. Three analysts have rated the stock with a sell recommendation and two have assigned a hold recommendation to the company. The average twelve-month target price among brokerages that have updated their coverage on the stock in the last year is $11.00.

Several analysts have recently weighed in on EMBC shares. Weiss Ratings downgraded Embecta from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Wednesday, May 6th. Zacks Research downgraded shares of Embecta from a “hold” rating to a “strong sell” rating in a research report on Friday, May 8th. Bank of America reduced their target price on Embecta from $11.00 to $3.00 and set an “underperform” rating on the stock in a report on Monday, May 18th. Mizuho lowered their price target on Embecta from $12.00 to $5.00 and set a “neutral” rating for the company in a report on Wednesday, May 6th. Finally, BTIG Research downgraded shares of Embecta from a “buy” rating to a “neutral” rating in a report on Tuesday, May 5th.

Institutional Trading of Embecta

A number of institutional investors and hedge funds have recently made changes to their positions in EMBC. SG Americas Securities LLC grew its stake in Embecta by 138.4% during the 1st quarter. SG Americas Securities LLC now owns 1,038,948 shares of the company’s stock worth $9,184,000 after buying an additional 603,106 shares during the last quarter. JPMorgan Chase & Co. increased its holdings in shares of Embecta by 39.5% in the 3rd quarter. JPMorgan Chase & Co. now owns 434,822 shares of the company’s stock worth $6,135,000 after acquiring an additional 123,113 shares during the period. Jefferies Financial Group Inc. lifted its position in Embecta by 40.4% in the 3rd quarter. Jefferies Financial Group Inc. now owns 1,884,875 shares of the company’s stock valued at $26,596,000 after purchasing an additional 542,162 shares during the last quarter. Universal Beteiligungs und Servicegesellschaft mbH boosted its stake in Embecta by 1,068.0% during the 4th quarter. Universal Beteiligungs und Servicegesellschaft mbH now owns 143,616 shares of the company’s stock valued at $1,708,000 after purchasing an additional 131,320 shares during the period. Finally, Massachusetts Financial Services Co. MA grew its position in Embecta by 1,212.9% in the 4th quarter. Massachusetts Financial Services Co. MA now owns 202,743 shares of the company’s stock worth $2,409,000 after purchasing an additional 187,301 shares during the last quarter. 93.83% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about Embecta

Here are the key news stories impacting Embecta this week:

• Positive Sentiment: Heavy news flow and repeated legal notices are keeping EMBC in the spotlight, which can drive trading interest even as the underlying issue is negative for the company. Article Title
• Positive Sentiment: The stock is also benefiting from speculation around class-action activity and deadline reminders, which can increase volume and short-term volatility. Article Title
• Neutral Sentiment: Multiple law firms announced or reiterated class-action filings on behalf of investors who bought EMBC shares between November 25, 2025 and May 4, 2026, with lead-plaintiff deadlines due August 17, 2026. Article Title
• Neutral Sentiment: These lawsuits center on allegations that Embecta misled investors about risks to pen needle revenue, following a Q2 2026 report that triggered a sharp selloff. Article Title
• Negative Sentiment: The core concern for investors is the company’s weak operating update and the allegation that prior guidance overstated the strength of its insulin pen business, which has damaged confidence in management. Article Title

Embecta Stock Performance

Shares of NASDAQ:EMBC traded up $0.07 during mid-day trading on Tuesday, hitting $3.35. 1,150,408 shares of the company traded hands, compared to its average volume of 1,595,868. The firm has a market cap of $199.05 million, a P/E ratio of 1.77 and a beta of 0.83. Embecta has a 52-week low of $2.77 and a 52-week high of $15.55. The firm’s 50 day simple moving average is $3.85 and its 200 day simple moving average is $8.10.

Embecta (NASDAQ:EMBC) last posted its quarterly earnings data on Tuesday, May 5th. The company reported $0.27 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.42 by ($0.15). The firm had revenue of $221.80 million for the quarter, compared to analysts’ expectations of $235.67 million. Embecta had a net margin of 10.73% and a negative return on equity of 23.96%. The company’s revenue for the quarter was down 14.4% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.70 EPS. Embecta has set its FY 2026 guidance at 1.550-1.75 EPS. Equities research analysts expect that Embecta will post 1.62 EPS for the current fiscal year.

Embecta Cuts Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Monday, June 15th. Investors of record on Thursday, May 28th were paid a dividend of $0.01 per share. The ex-dividend date was Thursday, May 28th. This represents a $0.04 annualized dividend and a yield of 1.2%. Embecta’s dividend payout ratio is 2.11%.

Embecta Company Profile

Embecta Corp (NASDAQ: EMBC) is a pure-play diabetes care company that was spun off from Becton, Dickinson and Company on July 1, 2021. Headquartered in Franklin Lakes, New Jersey, Embecta focuses exclusively on the development, manufacturing and commercialization of products that enable insulin delivery and blood glucose monitoring for people with diabetes.

The company’s product portfolio includes insulin infusion sets, durable and patch pumps, pen needles, infusion tubing, blood glucose test strips, lancets and lancing devices.