BlackRock Fund Advisors recently announced the acquisition of new stake in Option Care Health Inc. (NASDAQ:OPCH). The institutional investor has increased its shareholding in the Healthcare company by 18.74% to 17.02 million shares with purchase of 2.69 million shares. This fresh investment now brings its stake to 9.36% valued currently at $522.06 million. In addition, The Vanguard Group, Inc. raised its holdings by 0.24 million to 15.11 million shares. And SSgA Funds Management, Inc. has lifted its position by 2.37% or 0.11 million shares – to 4.96 million shares.
With over 1.86 million Option Care Health Inc. (OPCH) shares trading Monday and a closing price of $30.57 on the day, the dollar volume was approximately $56.76 million. The shares have shown a negative half year performance of -7.87% and its price on 03/13/23 lost nearly -0.20%. Currently, there are 181.93M common shares owned by the public and among those 155.19M shares have been available to trade.
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An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 8 analysts who have offered their price forecasts for OPCH have a consensus price objective of $39.00. The analysts have set the share’s price value over the next 12 months at a high of $41.00 and a low of $38.00. The average price target is 21.27% above its recent price level and an upside to the estimated low will see the stock gain 19.55% over that period. But an upside of 25.44% will see the stock hit the forecast high price target while median target price for the stock is $39.00.
Insiders at the company have transacted a total of 27 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 15 of these insider trades were purchases, accounting for 105,793 shares. Insider sales of the common stock occurred on 12 occasions, with total insider shares sold totaling 11,032,939 shares.
The top 3 mutual fund holders in Option Care Health Inc. are iShares Core S&P Mid Cap ETF, Vanguard Total Stock Market Index, and Vanguard Small Cap Index Fund. iShares Core S&P Mid Cap ETF owns 4.83 million shares of the company’s stock, all valued at over $148.01 million. The company bought an additional 10932.0 shares recently to bring their total holdings to about 2.65% of the shares outstanding. Vanguard Total Stock Market Index bought 6489.0 shares to see its total holdings expand to 4.72 million shares valued at over $144.76 million and representing 2.60% of the shares outstanding. Vanguard Small Cap Index Fund bought 21848.0 shares to bring its total holdings to over 4.01 million shares at a value of $122.86 million. Vanguard Small Cap Index Fund now owns shares totaling to 2.20% of the shares outstanding.
Shares of Option Care Health Inc. (NASDAQ: OPCH) opened at $30.41, down -$0.22 from a prior closing price of $30.63. However, the script later moved the day high at 30.94, down -0.20%. The company’s stock has a 5-day price change of -6.08% and 1.87% over the past three months. OPCH shares are trading 1.60% year to date (YTD), with the 12-month market performance up to 17.22% higher. It has a 12-month low price of $24.57 and touched a high of $35.87 over the same period. OPCH has an average intraday trading volume of 1.24 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by -0.11%, 3.46%, and -0.22% respectively.
Institutional ownership of Option Care Health Inc. (NASDAQ: OPCH) shares accounts for 85.30% of the company’s 181.93M shares outstanding. Mutual fund holders own 35.78%, while other institutional holders and individual stakeholders account for 50.83% and 32.87% respectively.
It has a market capitalization of $5.76B and a beta (3y monthly) value of 1.14. The stock’s trailing 12-month PE ratio is 37.05, while the earnings-per-share (ttm) stands at $0.82. The company has a PEG of 3.71 and a Quick Ratio of 1.40 with the debt-to-equity ratio at 0.77. Price movements for the stock have been influenced by the stock’s volatility, which stands at 2.86% over the week and 3.05% over the month.
Analysts forecast that Option Care Health Inc. (OPCH) will achieve an EPS of $0.22 for the current quarter, $0.2 for the next quarter and $0.92 for 2023. The lowest estimate earnings-per-share for the quarter is $0.19 while analysts give the company a high EPS estimate of $0.24. Comparatively, EPS for the current quarter was $0.41 a year ago. Earnings per share for the fiscal year are expected to increase by 7.10%, and 19.14% over the next financial year. EPS should shrink at an annualized rate of 10.00% over the next five years, compared to 45.50% over the past 5-year period.
If you are looking to buy this stock, then you may note that the average analyst recommendation by 8 brokerage firm advisors rate Option Care Health Inc. (OPCH) as a “Strong Buy” at a consensus score of 1.50. Specifically, 8 Wall Street analysts polled rate the stock as a buy, while 0 of the 8 advise that investors “hold,” and 0 rated it as a “Sell.”
Looking at the support for the OPCH, a number of firms have released research notes about the stock. Jefferies stated their Buy rating for the stock in a research note on February 27, 2023, with the firm’s price target at $38. Goldman coverage for the Option Care Health Inc. (OPCH) stock in a research note released on July 19, 2021 offered a Buy rating with a price target of $25. Deutsche Bank was of a view on January 22, 2021 that the stock is Buy, while JP Morgan gave the stock Overweight rating on January 11, 2021, issuing a price target of $21. Goldman on their part issued Neutral rating on December 15, 2020.
