BofA Securities raised the price target for the Bausch Health Companies Inc. (NYSE:BHC) stock from “a Neutral” to “an Underperform”. The rating was released on March 24, 2021. We previously noted in another research note published on February 17, 2021 by RBC Capital Mkts that upgraded the stock from a Sector perform to an Outperform with a price target of $42 for BHC stock. The research report from Piper Sandler has downgraded the stock from Overweight to Neutral, with a price target set at $30. The stock was upgraded by BofA Securities, who disclosed in a research note on September 17, 2020, from Underperform to Neutral and set the price objective to $19. In their research brief published August 24, 2020, H.C. Wainwright analysts reiterated the Bausch Health Companies Inc. stock to Buy with a price target of $50.
Historical Earnings Surprises and Revenue Forecasts
Profit is the most critical financial performance measure. Every investor in a business is looking forward to the earnings report as stock price to increase when earnings exceed market expectations and progressively decrease when earnings do not meet expectations. The firm reported an earnings per share (EPS) of $1.33 during the last quarter as opposed to a consensus estimate of $1.12, which indicates the company beat its estimate by $0.21, which implies that the company surprised the market by 18.70%. It appears that the average earnings per share estimate for the current quarter (ending in Mar 2021) is $0.96. This is an average of 11 analysts’ earnings, where the high earnings per share estimate is $1.18 and the low earnings per share estimate is $0.83. According to 11 analyst estimates, an average revenue estimate of $2.06B is projected for the current quarter with a high revenue estimate of $2.13B and a low estimate of $1.98B.
The latest trade, Performances and Moving Averages give us the following Picture
The share price of Bausch Health Companies Inc. (NYSE:BHC) raised 4.13% to close Wednesday’s market session at $32.54, higher as compared to yesterday’s close. The stock price fluctuated between $30.96 and $34.50 throughout the trading session with the volume trading being 10470565 shares, which represented a significant variation when compared to the three months average volume of 4.45 million shares. The firm’s stock price fluctuated 10.12% within the last five trades and 6.03% within the last 30 trades, which was a significant change from the beginning of this year. Despite the fact that the share price increased 82.50% in the last 6 months and 31.26% was added to its value over the previous 3 months. BHC stock is trading at a margin of 6.87%, 3.22% and 44.45% apart from the 20-Day, 50-Day and 200-Day Simple Moving Average prices.
As of the close of trading, BHC deals in the Healthcare domain. The stock is trading -6.49 percent below its 52-week high and 118.98 percent above its 52-week low. For example, looking both at the price and the high and low measurements of 52 weeks will give you a clearer picture of the direction the price is heading. The firm’s Weighted Alpha is 105.24. A positive weighted alpha indicates the firm has done well over the course of the year, whereas one below 0 indicates that the firm has done poorly.
What Does Bausch Health Companies Inc.’s Profitability and Valuation Ratios Tell Us About the Stock?
With regard to the profitability of the company, the operating margin is currently at 7.70 percent and the profit margin is -7.00 percent, and the company has reported a gross margin of 72.00 percent. The profit margin, also known as the revenue ratio or gross profit ratio, is an efficiency figure used to estimate the business’s profitability by comparing net income and sales. The higher the number, the more profits are generated for the company and vice versa.
The stock’s market cap achieved a total value of $11.51 billion as of the last trading session. Market capitalization is the total value of all outstanding shares of a corporation and it is used to measure a company’s market value. The price-to-earnings ratio is a method of assessing corporate values by comparing them to their per-share profit. Forward P/E stands at 6.52. Forward price-to-earnings is calculated using predicted earnings for the next financial year’s P/E determination. The stock has achieved an effective Price-to-Sales Ratio of 1.43 that mirrors the cost to be found for sales by the market. The firm managed a Price-to-Book ratio of 21.69, which equates the market value of a stock with its book value.
Is Insider Trading a Real Thing?
Almost all investors and traders prefer to invest in shares controlled by the management of a corporation as a management company will be more likely to run the business itself and to never conduct things against the management’s desires and will always try to do what is best for their shareholders. Currently, 2.30 percent of Bausch Health Companies Inc. shares are owned by insiders, and 66.80 percent are held by financial institutions. Humphries William D., the President, Ortho-Dermatologics at Bausch Health Companies Inc. (BHC) has sold 114,055 shares of firm on Dec 04 at a price of $19.87 against the total amount of $2.27 million. In another inside trade, Humphries William D., President, Ortho-Dermatologics of Bausch Health Companies Inc. (NYSE:BHC) sold 13,663 shares of the firm on Nov 27 for a total worth of $0.27 million at a price of $19.63. An inside trade which took place on Nov 24, President, Ortho-Dermatologics of Bausch Health Companies Inc. Humphries William D. sold 21,658 shares of firm against total price of $0.43 million at the cost of $19.63 per share.
How Bausch Health Companies Inc. (BHC) Stock Is Sustainable?
To Conclude, the score of Environmental, Social and Governance (ESG) has been traditionally used by investors to measure the actions of corporations and to make their future financial predictions. According to the ESG rating scale, there are five hazard levels in the scale: marginal, weak, moderate, high, and extreme. The next generation ESG score is a scale from 0 to 100 where 100 represents the most extreme situation. The score was designed to assist investors at safety and investment level in identifying and recognizing financially relevant ESG threats. A current assessment of the Bausch Health Companies Inc.’s sustainability factors indicates that it scores at 77 or 77th percentile overall, with an Environment Score of 2.4 or 2.4 percentile, a Social Score of 21.6 or 21.6 percentile, and a Governance Score of 12.2 or 12.2 percentile.