Select Medical (NYSE:SEM) Board Authorizes Share Buyback Program

Select Medical (NYSE:SEM) announced that its Board of Directors has authorized a stock buyback program on Thursday, February 19th, RTT News reports. The company plans to buyback $1.00 billion in outstanding shares. This buyback authorization permits the health services provider to buy up to 49.5% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s management believes its shares are undervalued.

Analyst Upgrades and Downgrades

A number of equities research analysts have weighed in on SEM shares. Benchmark reaffirmed a “buy” rating on shares of Select Medical in a report on Monday, October 27th. Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Select Medical in a report on Wednesday, January 21st. Wall Street Zen raised shares of Select Medical from a “hold” rating to a “buy” rating in a report on Saturday, November 8th. Finally, Mizuho set a $17.00 target price on shares of Select Medical in a research note on Monday, November 3rd. Four investment analysts have rated the stock with a Buy rating, one has given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, Select Medical presently has a consensus rating of “Moderate Buy” and an average target price of $17.80.

Select Medical Stock Down 1.5%

SEM stock opened at $16.08 on Friday. The business has a 50-day moving average of $15.32 and a 200-day moving average of $14.04. Select Medical has a fifty-two week low of $11.65 and a fifty-two week high of $19.40. The stock has a market capitalization of $1.99 billion, a P/E ratio of 18.70, a P/E/G ratio of 0.57 and a beta of 1.25. The company has a debt-to-equity ratio of 0.87, a current ratio of 1.09 and a quick ratio of 1.09.

Select Medical (NYSE:SEM) last posted its quarterly earnings data on Thursday, February 19th. The health services provider reported $0.16 EPS for the quarter, missing analysts’ consensus estimates of $0.23 by ($0.07). Select Medical had a return on equity of 7.41% and a net margin of 2.05%.The business had revenue of $1.40 billion for the quarter, compared to analyst estimates of $1.36 billion. During the same quarter in the prior year, the company earned $0.18 earnings per share. The company’s quarterly revenue was up 6.4% on a year-over-year basis. Select Medical has set its FY 2026 guidance at 1.220-1.320 EPS. On average, sell-side analysts anticipate that Select Medical will post 1.17 earnings per share for the current fiscal year.

Select Medical Company Profile

Select Medical is a leading provider of specialized healthcare services in the United States, operating through two primary business segments: Hospital Division and Outpatient Rehabilitation Division. The Hospital Division offers long-term acute care (LTAC) hospitals and inpatient rehabilitation facilities (IRFs) that serve patients recovering from complex illnesses, trauma or surgery. The Outpatient Rehabilitation Division delivers physical, occupational and speech therapy services through a network of clinic locations and home-based care programs.

Headquartered in Mechanicsburg, Pennsylvania, Select Medical was founded in 1996 and has grown through strategic partnerships, joint ventures and acquisitions.