Morgan Stanley Cuts Globus Medical (NYSE:GMED) Price Target to $68.00

Globus Medical (NYSE:GMED) had its price target decreased by Morgan Stanley from $75.00 to $68.00 in a report issued on Tuesday,Benzinga reports. Morgan Stanley currently has an overweight rating on the medical device company’s stock.

Several other brokerages have also commented on GMED. Wall Street Zen upgraded shares of Globus Medical from a “hold” rating to a “buy” rating in a research note on Monday, May 12th. Piper Sandler dropped their price objective on Globus Medical from $100.00 to $80.00 and set an “overweight” rating on the stock in a report on Friday, May 9th. BTIG Research reissued a “neutral” rating on shares of Globus Medical in a report on Tuesday, May 27th. JMP Securities reissued a “market perform” rating on shares of Globus Medical in a research report on Tuesday, May 27th. Finally, Barclays restated an “overweight” rating on shares of Globus Medical in a research note on Tuesday, June 10th. Five equities research analysts have rated the stock with a hold rating and nine have given a buy rating to the stock. According to MarketBeat, Globus Medical has a consensus rating of “Moderate Buy” and an average target price of $91.09.

Globus Medical Stock Performance

NYSE:GMED opened at $57.56 on Tuesday. Globus Medical has a 1 year low of $54.48 and a 1 year high of $94.93. The stock has a market cap of $7.79 billion, a P/E ratio of 42.96, a P/E/G ratio of 1.65 and a beta of 1.19. The stock has a 50-day simple moving average of $58.73 and a 200-day simple moving average of $72.22.

Globus Medical (NYSE:GMED) last announced its quarterly earnings results on Thursday, May 8th. The medical device company reported $0.68 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.74 by ($0.06). Globus Medical had a net margin of 7.39% and a return on equity of 10.52%. The business had revenue of $598.12 million during the quarter, compared to analyst estimates of $629.74 million. During the same period last year, the company earned $0.72 earnings per share. The business’s revenue for the quarter was down 1.4% compared to the same quarter last year. On average, equities research analysts predict that Globus Medical will post 3.44 EPS for the current year.

Globus Medical declared that its board has authorized a share repurchase plan on Thursday, May 15th that permits the company to repurchase $500.00 million in outstanding shares. This repurchase authorization permits the medical device company to repurchase up to 6.3% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s board of directors believes its stock is undervalued.

Hedge Funds Weigh In On Globus Medical

A number of large investors have recently bought and sold shares of GMED. American Century Companies Inc. raised its stake in shares of Globus Medical by 255.9% during the 4th quarter. American Century Companies Inc. now owns 103,833 shares of the medical device company’s stock worth $8,588,000 after buying an additional 74,659 shares in the last quarter. Illinois Municipal Retirement Fund purchased a new position in Globus Medical in the first quarter worth $587,000. Envestnet Asset Management Inc. lifted its holdings in Globus Medical by 49.5% in the first quarter. Envestnet Asset Management Inc. now owns 413,366 shares of the medical device company’s stock valued at $30,258,000 after acquiring an additional 136,955 shares during the period. New York State Teachers Retirement System lifted its holdings in Globus Medical by 1.2% in the first quarter. New York State Teachers Retirement System now owns 88,143 shares of the medical device company’s stock valued at $6,452,000 after acquiring an additional 1,027 shares during the period. Finally, Allspring Global Investments Holdings LLC purchased a new stake in shares of Globus Medical during the 1st quarter worth $753,000. Hedge funds and other institutional investors own 95.16% of the company’s stock.

About Globus Medical

Globus Medical, Inc, a medical device company, develops and commercializes healthcare solutions for patients with musculoskeletal disorders in the United States and internationally. The company offers spine products, such as traditional fusion implants comprising pedicle screw and rod systems, plating systems, intervertebral spacers, and corpectomy devices for treating degenerative and congenital conditions, deformity, tumors, and trauma injuries; treatment options for motion preservation technologies that consist of dynamic stabilization, total disc replacement, and interspinous distraction devices; interventional solutions to treat vertebral compression fractures; and regenerative biologic products comprising of allografts and synthetic alternatives.