Zacks Investment Research lowered shares of AmerisourceBergen (NYSE:ABC) from a hold rating to a sell rating in a research report report published on Tuesday.

According to Zacks, “AmerisourceBergen’s dull performances in the PharMEDium and Lash unit have been a headwind in the last couple of quarters. Contraction in gross and operating margin in the last reported quarter raises concern. The company faces other headwinds like conversion of branded drugs and lower price generics. Cutthroat competition in the MedTech space adds to the woes. On the brighter side, the company continues to gain from, businesses like World Courier and Xcenda which have been raking in huge profits since quite some time. The company’s specialty distribution business also continues to contribute significantly to its topline. Additionally, AmerisourceBergen’s Global Commercialization Services and Animal Health unit saw a strong fourth quarter. A positive guidance for 2019 buoys optimism. AmerisourceBergen has outperformed the industry in a year’s time. “

Several other research analysts have also issued reports on the company. Mizuho reiterated a neutral rating on shares of AmerisourceBergen in a report on Wednesday, September 19th. ValuEngine upgraded AmerisourceBergen from a sell rating to a hold rating in a report on Wednesday, September 19th. Royal Bank of Canada set a $90.00 price target on AmerisourceBergen and gave the stock a hold rating in a report on Wednesday, November 7th. Finally, Morgan Stanley increased their price target on AmerisourceBergen from $88.00 to $91.00 and gave the stock an equal weight rating in a report on Monday. One equities research analyst has rated the stock with a sell rating, seven have given a hold rating and eight have given a buy rating to the company’s stock. The stock has a consensus rating of Hold and a consensus price target of $101.36.

Shares of AmerisourceBergen stock opened at $85.98 on Tuesday. AmerisourceBergen has a one year low of $77.28 and a one year high of $106.27. The company has a debt-to-equity ratio of 1.48, a quick ratio of 0.50 and a current ratio of 0.93. The stock has a market cap of $18.57 billion, a P/E ratio of 13.52, a price-to-earnings-growth ratio of 1.40 and a beta of 0.94.

AmerisourceBergen (NYSE:ABC) last announced its earnings results on Tuesday, November 6th. The company reported $1.45 EPS for the quarter, beating the consensus estimate of $1.44 by $0.01. AmerisourceBergen had a return on equity of 45.54% and a net margin of 0.99%. The company had revenue of $43.30 billion for the quarter, compared to analyst estimates of $43.27 billion. During the same quarter in the prior year, the company earned $1.33 EPS. The firm’s revenue for the quarter was up 10.7% compared to the same quarter last year. Equities research analysts expect that AmerisourceBergen will post 6.81 earnings per share for the current fiscal year.

The business also recently disclosed a quarterly dividend, which was paid on Monday, December 3rd. Stockholders of record on Monday, November 19th were paid a $0.40 dividend. The ex-dividend date of this dividend was Friday, November 16th. This is an increase from AmerisourceBergen’s previous quarterly dividend of $0.38. This represents a $1.60 annualized dividend and a dividend yield of 1.86%. AmerisourceBergen’s dividend payout ratio is 24.65%.

In other news, insider John G. Chou sold 6,974 shares of the stock in a transaction that occurred on Friday, September 14th. The stock was sold at an average price of $86.19, for a total value of $601,089.06. Following the completion of the sale, the insider now directly owns 56,125 shares of the company’s stock, valued at $4,837,413.75. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, EVP Kathy H. Gaddes sold 2,652 shares of the stock in a transaction that occurred on Thursday, September 20th. The stock was sold at an average price of $89.79, for a total value of $238,123.08. Following the completion of the sale, the executive vice president now directly owns 3,891 shares of the company’s stock, valued at $349,372.89. The disclosure for this sale can be found here. Over the last three months, insiders sold 142,753 shares of company stock valued at $12,826,784. Company insiders own 27.30% of the company’s stock.

Several institutional investors have recently modified their holdings of ABC. Migdal Insurance & Financial Holdings Ltd. increased its position in shares of AmerisourceBergen by 140.9% during the third quarter. Migdal Insurance & Financial Holdings Ltd. now owns 1,142 shares of the company’s stock valued at $105,000 after acquiring an additional 668 shares during the last quarter. Financial Gravity Wealth Inc. increased its position in shares of AmerisourceBergen by 93.2% during the third quarter. Financial Gravity Wealth Inc. now owns 1,254 shares of the company’s stock valued at $108,000 after acquiring an additional 605 shares during the last quarter. Truvestments Capital LLC purchased a new stake in shares of AmerisourceBergen during the third quarter valued at approximately $120,000. Livingston Group Asset Management CO operating as Southport Capital Management purchased a new stake in shares of AmerisourceBergen during the third quarter valued at approximately $130,000. Finally, Centaurus Financial Inc. purchased a new stake in shares of AmerisourceBergen during the second quarter valued at approximately $129,000. 64.58% of the stock is owned by hedge funds and other institutional investors.

AmerisourceBergen Company Profile

AmerisourceBergen Corporation sources and distributes pharmaceutical products in the United States and internationally. Its Pharmaceutical Distribution segment distributes brand-name and generic pharmaceuticals, over-the-counter healthcare products, home healthcare supplies and equipment, outsourced compounded sterile preparations, and related services to various healthcare providers, including acute care hospitals and health systems, independent and chain retail pharmacies, mail order pharmacies, medical clinics, long-term care and other alternate site pharmacies, and other customers.

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