In a notable market movement, Chemed Corp (NYSE:CHE) stock has reached a 52-week low, trading at $522.38. Despite the dip, InvestingPro data shows the company maintains a "GREAT" financial health score and historically low price volatility with a beta of 0.46. This latest price point marks a significant dip for the healthcare and chemical company, reflecting a challenging year with a 1-year change showing a decrease of 10.72%. Investors are closely monitoring Chemed Corp as it navigates through the market's fluctuations, with analyst targets ranging from $633 to $708 suggesting potential upside. The company has maintained dividend payments for 54 consecutive years, demonstrating long-term stability. The 52-week low serves as a critical indicator of the stock's performance range over the past year, setting a new benchmark for the company's valuation on the stock market. Access comprehensive analysis and 12 additional key insights about CHE through a InvestingPro subscription.
In other recent news, Chemed Corporation has authorized an additional $300 million for stock repurchases and maintained its quarterly cash dividend of 50 cents per share, showing the company's financial stability and commitment towards its shareholders. These decisions are part of Chemed's ongoing share repurchase program and will be financed through cash from operations and the company's revolving credit facility. Concurrently, Chemed reported mixed third-quarter results, with its VITAS Healthcare segment demonstrating significant growth, but its Roto-Rooter division experiencing a decline in revenue and call volume.
RBC Capital Markets adjusted its price target for Chemed while maintaining an Outperform rating, acknowledging the momentum in the patient census of the VITAS segment and the uncertainty surrounding a recovery in the residential services sector for Roto-Rooter. Chemed has also adjusted its full-year earnings per share guidance to $23-$23.15, anticipating future performance for VITAS to exceed pre-pandemic growth levels and implementing a strategy to stabilize Roto-Rooter's performance.
These recent developments reflect Chemed's efforts to navigate through mixed market conditions while delivering sustainable growth and shareholder value. The company continues to express cautious optimism for its future performance, backed by the confidence expressed by RBC Capital Markets.
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