Royal Bank Of Canada Reaffirms Sector Perform Rating for Chemed (NYSE:CHE)

Chemed (NYSE:CHE)‘s stock had its “sector perform” rating restated by investment analysts at Royal Bank Of Canada in a report released on Friday, Marketbeat reports. They currently have a $422.00 price objective on the stock, down from their previous price objective of $572.00. Royal Bank Of Canada’s target price points to a potential upside of 2.89% from the company’s current price.

Other research analysts also recently issued research reports about the stock. Weiss Ratings reiterated a “hold (c-)” rating on shares of Chemed in a research note on Wednesday, January 21st. Jefferies Financial Group cut shares of Chemed from a “buy” rating to a “hold” rating in a research report on Thursday, January 22nd. Finally, Zacks Research upgraded shares of Chemed from a “strong sell” rating to a “hold” rating in a research note on Thursday, October 30th. Two investment analysts have rated the stock with a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and a consensus target price of $498.00.

Chemed Trading Up 3.4%

NYSE:CHE opened at $410.14 on Friday. Chemed has a 12-month low of $385.00 and a 12-month high of $623.60. The firm has a market cap of $5.81 billion, a PE ratio of 22.33, a price-to-earnings-growth ratio of 2.00 and a beta of 0.44. The stock has a fifty day moving average price of $446.06 and a 200 day moving average price of $443.90.

Chemed (NYSE:CHE) last posted its quarterly earnings results on Wednesday, February 25th. The company reported $6.42 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $7.02 by ($0.60). The company had revenue of $639.34 million during the quarter, compared to analyst estimates of $659.09 million. Chemed had a net margin of 10.48% and a return on equity of 24.70%. Chemed’s revenue for the quarter was down .1% on a year-over-year basis. During the same period in the prior year, the business earned $6.83 EPS. Chemed has set its FY 2026 guidance at 23.250-24.250 EPS. Equities analysts forecast that Chemed will post 21.43 EPS for the current year.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in CHE. Northwestern Mutual Wealth Management Co. lifted its stake in Chemed by 2,444,879.3% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 5,550,103 shares of the company’s stock valued at $2,374,667,000 after buying an additional 5,549,876 shares during the last quarter. JPMorgan Chase & Co. increased its holdings in shares of Chemed by 122.7% in the 3rd quarter. JPMorgan Chase & Co. now owns 499,968 shares of the company’s stock valued at $223,856,000 after acquiring an additional 275,423 shares during the period. Norges Bank purchased a new stake in Chemed in the 2nd quarter valued at $89,388,000. AQR Capital Management LLC raised its position in Chemed by 89.2% in the 4th quarter. AQR Capital Management LLC now owns 325,579 shares of the company’s stock valued at $139,302,000 after purchasing an additional 153,469 shares during the last quarter. Finally, Victory Capital Management Inc. boosted its stake in Chemed by 1,260.2% during the 4th quarter. Victory Capital Management Inc. now owns 117,685 shares of the company’s stock worth $50,353,000 after purchasing an additional 109,033 shares during the period. Hedge funds and other institutional investors own 95.85% of the company’s stock.

Key Chemed News

Here are the key news stories impacting Chemed this week:

• Positive Sentiment: Oppenheimer lowered its price target but kept an “outperform” rating (PT cut to $500), signaling some analysts still see multi‑quarter upside despite the recent miss. Oppenheimer PT/Rating
• Neutral Sentiment: RBC reaffirmed a “sector perform” rating and set a $422 target (down from $572), reflecting a more cautious stance but not a full downgrade; this indicates mixed analyst conviction. RBC note
• Neutral Sentiment: Chemed issued FY‑2026 EPS guidance of $23.25–$24.25 (roughly in line but slightly below consensus), and said ~55% of 2026 earnings are likely back‑half weighted as it executes transition initiatives — guidance tempers but does not eliminate investor concern. Earnings release / guidance
• Neutral Sentiment: Full Q4 earnings and conference-call transcripts were posted (Seeking Alpha, Yahoo, others); these provide management commentary on margin compression, VITAS trends and cash‑flow dynamics for investors doing deeper diligence. Earnings call transcript
• Negative Sentiment: Zacks highlights the headline: Q4 EPS and revenue missed consensus, margins contracted and the FY‑2026 EPS outlook came in below street expectations — the earnings shock was the primary catalyst for the sharp share drop. Zacks: Earnings & margins miss
• Negative Sentiment: Detailed quarter metrics (QuiverQuant) show revenue and EPS declines, steeper drops in operating cash flow and lower cash balances — these raise near‑term liquidity and execution risk concerns for investors. QuiverQuant: Financial details
• Negative Sentiment: Johnson Fistel announced an investigation into possible claims tied to Chemed executives — potential litigation risk can amplify selling pressure and valuation uncertainty. GlobeNewswire: Investigation notice
• Negative Sentiment: BofA cut Chemed to neutral after the Q4 miss — another sign of weakening analyst conviction that can pressure sentiment until evidence of margin/cash‑flow stabilization appears. MSN / BofA note

About Chemed

Chemed Corporation is a diversified provider of essential home services and healthcare solutions in the United States. Headquartered in Cincinnati, Ohio, the company operates through two principal business segments—Roto-Rooter and Vitas Healthcare. Since its founding in 1974, Chemed has built a reputation for reliability and expertise, serving both residential and commercial customers across a broad range of markets.

The Roto-Rooter segment offers a comprehensive suite of plumbing, drain cleaning and water restoration services.