Penumbra (NYSE:PEN) Shares Gap Up After Strong Earnings

Penumbra, Inc. (NYSE:PEN)’s share price gapped up before the market opened on Wednesday following a stronger than expected earnings report. The stock had previously closed at $227.15, but opened at $247.00. Penumbra shares last traded at $256.30, with a volume of 346,328 shares traded.

The company reported $0.86 earnings per share for the quarter, beating analysts’ consensus estimates of $0.81 by $0.05. Penumbra had a return on equity of 11.89% and a net margin of 11.54%. The business had revenue of $339.46 million for the quarter, compared to the consensus estimate of $327.37 million. During the same period last year, the business earned $0.64 EPS. The firm’s revenue was up 13.4% compared to the same quarter last year.

Analysts Set New Price Targets

A number of research analysts recently weighed in on PEN shares. Robert W. Baird raised their price objective on Penumbra from $283.00 to $285.00 and gave the company an “outperform” rating in a research note on Wednesday. Canaccord Genuity Group raised their price objective on Penumbra from $340.00 to $350.00 and gave the company a “buy” rating in a research note on Wednesday. Stifel Nicolaus set a $318.00 price objective on Penumbra and gave the company a “buy” rating in a research note on Thursday, April 24th. Wells Fargo & Company cut their price objective on Penumbra from $315.00 to $290.00 and set an “overweight” rating on the stock in a research note on Wednesday. Finally, William Blair raised Penumbra to a “strong-buy” rating in a research note on Friday, July 18th. Three analysts have rated the stock with a hold rating, thirteen have issued a buy rating and three have issued a strong buy rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Buy” and an average price target of $300.07.

Insider Transactions at Penumbra

In other news, CEO Adam Elsesser sold 16,150 shares of Penumbra stock in a transaction that occurred on Wednesday, July 23rd. The stock was sold at an average price of $233.16, for a total transaction of $3,765,534.00. Following the sale, the chief executive officer owned 146,258 shares of the company’s stock, valued at approximately $34,101,515.28. This trade represents a 9.94% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Bridget O’rourke sold 100 shares of Penumbra stock in a transaction that occurred on Thursday, May 15th. The stock was sold at an average price of $286.15, for a total value of $28,615.00. Following the sale, the director directly owned 5,423 shares in the company, valued at $1,551,791.45. The trade was a 1.81% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders have sold 117,735 shares of company stock valued at $31,074,530. 4.20% of the stock is owned by corporate insiders.

Institutional Trading of Penumbra

Several institutional investors have recently modified their holdings of PEN. LPL Financial LLC grew its holdings in shares of Penumbra by 4.0% during the 4th quarter. LPL Financial LLC now owns 9,486 shares of the company’s stock worth $2,253,000 after purchasing an additional 368 shares in the last quarter. Norges Bank acquired a new stake in Penumbra in the 4th quarter valued at $54,396,000. Pictet Asset Management Holding SA boosted its stake in Penumbra by 9.7% in the 4th quarter. Pictet Asset Management Holding SA now owns 5,736 shares of the company’s stock valued at $1,362,000 after buying an additional 508 shares in the last quarter. O Shaughnessy Asset Management LLC boosted its stake in Penumbra by 37.6% in the 4th quarter. O Shaughnessy Asset Management LLC now owns 1,313 shares of the company’s stock valued at $312,000 after buying an additional 359 shares in the last quarter. Finally, Alliancebernstein L.P. boosted its stake in Penumbra by 2.9% in the 4th quarter. Alliancebernstein L.P. now owns 200,175 shares of the company’s stock valued at $47,538,000 after buying an additional 5,569 shares in the last quarter. Institutional investors and hedge funds own 88.88% of the company’s stock.

Penumbra Trading Up 11.9%

The company has a 50 day moving average of $250.23 and a 200 day moving average of $267.25. The company has a current ratio of 6.30, a quick ratio of 3.68 and a debt-to-equity ratio of 0.02. The firm has a market cap of $9.84 billion, a price-to-earnings ratio of 67.60, a price-to-earnings-growth ratio of 2.02 and a beta of 0.47.

About Penumbra

Penumbra, Inc, together with its subsidiaries, designs, develops, manufactures, and markets medical devices in the United States and internationally. The company offers peripheral products, including the Indigo System for power aspiration of thrombus in the body; Lightning Flash, a mechanical thrombectomy system; Lightning Bolt 7, an arterial thrombectomy system; and CAT RX.