Figma Shares Indicated To Open $105/$110
Chemed Corp (NYSE:CHE) stock reached a 52-week low, hitting a price of 456.41 USD. With a market capitalization of $6.72 billion, InvestingPro analysis indicates the stock is currently oversold, while management has been actively buying back shares. This marks a significant point for the company, as the stock has experienced a noticeable downturn over the past year. The 1-year change data reveals a decline of 15.55%, despite the company maintaining strong fundamentals with 8.52% revenue growth and a solid financial health score. According to InvestingPro, the company appears undervalued based on its Fair Value calculations, with analysts setting price targets above current levels. This 52-week low underscores the broader market trends and investor sentiment surrounding Chemed Corp over the past year. Despite current market challenges, the company has maintained its dividend payments for 55 consecutive years, demonstrating long-term financial stability. Discover more insights about Chemed Corp in the comprehensive Pro Research Report, available exclusively on InvestingPro.
In other recent news, Chemed Corporation has reported weaker-than-expected Medicare admissions in Florida, leading to projected revenue limitations for its VITAS subsidiary. The company now anticipates a Medicare Cap revenue limitation of $18 million to $25 million for the 2025 fiscal year, impacting their financial outlook. RBC Capital has responded by lowering its price target for Chemed to $640 from $674, citing the Medicare cap limitations as a significant factor. Despite these challenges, RBC Capital maintains an Outperform rating, expressing optimism about VITAS’s new Certificate of Need in Pinellas County, Florida, which may help mitigate future cap pressures.
In contrast, BofA Securities has maintained a Buy rating on Chemed with a price target of $708, following discussions with the company’s leadership. They highlighted Chemed’s proactive strategies to manage Medicare cap challenges and noted continued growth in VITAS. Additionally, Chemed’s Roto-Rooter division experienced unexpected weakness in residential demand, though commercial demand showed improvement. The company’s recent annual stockholders’ meeting resulted in the election of all nominated directors and the approval of its 2025 Stock Incentive Plan.
Chemed’s management has been actively addressing Medicare cap concerns through strategic adjustments, including shorter-stay hospital admissions. The company’s efforts to optimize its business segments are being recognized by analysts, indicating confidence in its ability to navigate regulatory challenges and maintain financial performance.
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