ValuEngine Downgrades AmerisourceBergen (ABC) to Sell

ValuEngine downgraded shares of AmerisourceBergen (NYSE:ABC) from a hold rating to a sell rating in a research note released on Wednesday.

Several other research analysts have also recently issued reports on the company. Robert W. Baird cut AmerisourceBergen from an outperform rating to a neutral rating in a report on Friday, July 20th. Mizuho reissued a hold rating and set a $90.00 target price on shares of AmerisourceBergen in a research note on Sunday, August 12th. Finally, Morgan Stanley cut their target price on shares of AmerisourceBergen from $97.00 to $88.00 and set an equal weight rating on the stock in a research note on Tuesday, July 3rd. Two investment analysts have rated the stock with a sell rating, six have assigned a hold rating and nine have given a buy rating to the company’s stock. AmerisourceBergen presently has a consensus rating of Hold and an average target price of $101.80.

NYSE ABC opened at $85.84 on Wednesday. The firm has a market capitalization of $18.44 billion, a price-to-earnings ratio of 14.60, a P/E/G ratio of 1.33 and a beta of 1.04. AmerisourceBergen has a 1 year low of $71.90 and a 1 year high of $106.27. The company has a current ratio of 0.94, a quick ratio of 0.51 and a debt-to-equity ratio of 1.39.

AmerisourceBergen (NYSE:ABC) last posted its quarterly earnings results on Thursday, August 2nd. The company reported $1.54 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $1.46 by $0.08. The company had revenue of $43.14 billion for the quarter, compared to analysts’ expectations of $43.05 billion. AmerisourceBergen had a return on equity of 48.65% and a net margin of 0.69%. The firm’s revenue was up 11.4% on a year-over-year basis. During the same quarter in the prior year, the company earned $1.43 earnings per share. analysts anticipate that AmerisourceBergen will post 6.48 EPS for the current year.

The company also recently announced a quarterly dividend, which was paid on Tuesday, September 4th. Shareholders of record on Monday, August 20th were paid a dividend of $0.38 per share. This represents a $1.52 annualized dividend and a yield of 1.77%. The ex-dividend date of this dividend was Friday, August 17th. AmerisourceBergen’s dividend payout ratio (DPR) is currently 25.85%.

In other news, CFO Tim G. Guttman sold 11,367 shares of the company’s stock in a transaction on Monday, July 2nd. The shares were sold at an average price of $84.23, for a total value of $957,442.41. Following the transaction, the chief financial officer now directly owns 56,472 shares of the company’s stock, valued at $4,756,636.56. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Steven H. Collis sold 21,350 shares of the company’s stock in a transaction on Tuesday, September 4th. The stock was sold at an average price of $88.33, for a total transaction of $1,885,845.50. Following the completion of the transaction, the chief executive officer now directly owns 287,925 shares in the company, valued at $25,432,415.25. The disclosure for this sale can be found here. Insiders sold 96,587 shares of company stock worth $8,191,700 over the last ninety days. 27.30% of the stock is currently owned by company insiders.

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Mainstay Capital Management LLC ADV increased its stake in shares of AmerisourceBergen by 20.0% in the second quarter. Mainstay Capital Management LLC ADV now owns 11,536 shares of the company’s stock worth $984,000 after acquiring an additional 1,920 shares during the last quarter. Public Employees Retirement System of Ohio increased its stake in shares of AmerisourceBergen by 379.0% in the second quarter. Public Employees Retirement System of Ohio now owns 314,973 shares of the company’s stock worth $26,858,000 after acquiring an additional 249,221 shares during the last quarter. Mount Yale Investment Advisors LLC increased its stake in shares of AmerisourceBergen by 33.0% in the second quarter. Mount Yale Investment Advisors LLC now owns 8,136 shares of the company’s stock worth $694,000 after acquiring an additional 2,018 shares during the last quarter. Arbor Wealth Management LLC acquired a new position in shares of AmerisourceBergen in the second quarter worth $1,660,000. Finally, California Public Employees Retirement System increased its stake in shares of AmerisourceBergen by 5.9% in the second quarter. California Public Employees Retirement System now owns 460,220 shares of the company’s stock worth $39,243,000 after acquiring an additional 25,660 shares during the last quarter. 66.77% of the stock is currently owned by institutional investors and hedge funds.

AmerisourceBergen Company Profile

AmerisourceBergen Corporation sources and distributes pharmaceutical products in the United States and internationally. Its Pharmaceutical Distribution segment distributes brand-name and generic pharmaceuticals, over-the-counter healthcare products, home healthcare supplies and equipment, outsourced compounded sterile preparations, and related services to various healthcare providers, including acute care hospitals and health systems, independent and chain retail pharmacies, mail order pharmacies, medical clinics, long-term care and other alternate site pharmacies, and other customers.

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Analyst Recommendations for AmerisourceBergen (NYSE:ABC)

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