Medidata Solutions (NASDAQ:MDSO) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a note issued to investors on Monday.

According to Zacks, “Medidata has outperformed the industry in a year. The company continues to gain from strong Subscription revenues and focus on cloud-based services. Medidata Cloud also witnessed few developments of late. The company is optimistic about the recently-acquired SHYFT. The latest collaboration with Novartis is likely to support the commercialization of key therapies in Europe. Flagship RAVE genomics platform is much in demand. On the negative side, Medidata's declining gross and operating margins in the last-reported quarter is concerning. A string of acquisitions poses consolidation risks. The company’s overdependence on third parties may also be a concern for the long term. Medidata’s cloud-based platform may lead to complexities and in turn high correctional costs. Stiff competition in the niche space is another drag. The stock is currently overvalued at the moment.”

Other equities research analysts also recently issued research reports about the stock. Piper Jaffray Companies cut their target price on shares of Medidata Solutions from $96.00 to $93.00 in a research report on Thursday, October 18th. Royal Bank of Canada set a $86.00 target price on shares of Medidata Solutions and gave the stock a “buy” rating in a research report on Friday, October 19th. ValuEngine upgraded shares of Medidata Solutions from a “hold” rating to a “buy” rating in a research report on Thursday, November 1st. BidaskClub upgraded shares of Medidata Solutions from a “hold” rating to a “buy” rating in a research report on Wednesday, January 30th. Finally, TheStreet downgraded shares of Medidata Solutions from a “b” rating to a “c+” rating in a research report on Thursday, December 20th. One analyst has rated the stock with a sell rating, four have assigned a hold rating and eight have assigned a buy rating to the company’s stock. Medidata Solutions presently has an average rating of “Buy” and an average target price of $83.64.

Medidata Solutions stock opened at $71.98 on Monday. Medidata Solutions has a 52 week low of $60.10 and a 52 week high of $88.87. The company has a debt-to-equity ratio of 0.15, a current ratio of 2.52 and a quick ratio of 2.52. The company has a market capitalization of $4.48 billion, a P/E ratio of 84.68, a PEG ratio of 4.23 and a beta of 1.32.

Medidata Solutions (NASDAQ:MDSO) last released its earnings results on Tuesday, February 12th. The company reported $0.45 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.37 by $0.08. Medidata Solutions had a net margin of 8.43% and a return on equity of 10.70%. The company had revenue of $167.19 million during the quarter, compared to the consensus estimate of $168.08 million. During the same quarter in the prior year, the firm earned $0.41 EPS. The company’s revenue was up 18.1% compared to the same quarter last year. Equities analysts forecast that Medidata Solutions will post 0.85 EPS for the current year.

In other news, CFO Rouven Bergmann sold 12,512 shares of the firm’s stock in a transaction on Wednesday, February 6th. The shares were sold at an average price of $75.00, for a total transaction of $938,400.00. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, EVP Michael Pray sold 7,000 shares of the firm’s stock in a transaction on Monday, November 26th. The shares were sold at an average price of $73.02, for a total transaction of $511,140.00. Following the transaction, the executive vice president now owns 52,408 shares in the company, valued at approximately $3,826,832.16. The disclosure for this sale can be found here. Insiders have sold a total of 41,632 shares of company stock worth $3,126,704 in the last 90 days. 4.70% of the stock is owned by insiders.

Several institutional investors have recently added to or reduced their stakes in the company. AMP Capital Investors Ltd raised its holdings in Medidata Solutions by 16.8% in the 3rd quarter. AMP Capital Investors Ltd now owns 53,310 shares of the company’s stock worth $3,933,000 after acquiring an additional 7,670 shares during the period. Quantbot Technologies LP bought a new position in Medidata Solutions in the 3rd quarter worth $229,000. Rice Hall James & Associates LLC raised its holdings in Medidata Solutions by 106.7% in the 3rd quarter. Rice Hall James & Associates LLC now owns 251,973 shares of the company’s stock worth $18,472,000 after acquiring an additional 130,070 shares during the period. LPL Financial LLC raised its holdings in Medidata Solutions by 25.2% in the 3rd quarter. LPL Financial LLC now owns 15,840 shares of the company’s stock worth $1,161,000 after acquiring an additional 3,185 shares during the period. Finally, Legal & General Group Plc raised its holdings in Medidata Solutions by 2.0% in the 3rd quarter. Legal & General Group Plc now owns 57,587 shares of the company’s stock worth $4,221,000 after acquiring an additional 1,129 shares during the period.

Medidata Solutions Company Profile

Medidata Solutions, Inc provides cloud-based solutions for life sciences worldwide. It offers the Medidata Clinical Cloud, a platform, pioneering analytics, and clinical technology for the development of new therapies. The company's platform solutions include data capture and management and trial planning and management.

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