Key Points
- Director John Henneman III bought 5,000 shares of Orthofix Medical at an average price of $12.26, a $61,300 transaction that boosted his stake by 5.83% to 90,809 shares.
- Orthofix reported first-quarter earnings that beat expectations, posting a smaller-than-expected loss of $0.52 per share while revenue came in essentially in line at $196.71 million.
- Despite the earnings beat, the stock remains under pressure: analysts currently have a consensus Hold rating, and the company is still unprofitable with margin concerns and potential competitive pressure from an FDA reclassification.
Orthofix Medical Inc. (NASDAQ:OFIX - Get Free Report) Director John Henneman III bought 5,000 shares of the company's stock in a transaction dated Thursday, May 7th. The stock was bought at an average cost of $12.26 per share, for a total transaction of $61,300.00. Following the acquisition, the director owned 90,809 shares of the company's stock, valued at approximately $1,113,318.34. This trade represents a 5.83% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link.
Orthofix Medical Price Performance
Shares of NASDAQ OFIX opened at $11.65 on Friday. The company has a debt-to-equity ratio of 0.54, a current ratio of 2.87 and a quick ratio of 1.43. The stock has a fifty day moving average price of $12.20 and a 200 day moving average price of $13.88. Orthofix Medical Inc. has a 1-year low of $10.24 and a 1-year high of $16.99. The company has a market cap of $467.63 million, a PE ratio of -7.72 and a beta of 0.79.
Orthofix Medical (NASDAQ:OFIX - Get Free Report) last announced its quarterly earnings data on Tuesday, May 5th. The medical device company reported ($0.52) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.68) by $0.16. The company had revenue of $196.71 million for the quarter, compared to analysts' expectations of $196.40 million. Orthofix Medical had a negative net margin of 7.27% and a negative return on equity of 13.44%. Sell-side analysts forecast that Orthofix Medical Inc. will post -1.57 EPS for the current year.
Analyst Upgrades and Downgrades
Several research analysts recently issued reports on OFIX shares. Weiss Ratings reissued a "sell (d-)" rating on shares of Orthofix Medical in a report on Tuesday, April 21st. Wall Street Zen lowered Orthofix Medical from a "buy" rating to a "hold" rating in a report on Saturday, May 2nd. TD Cowen started coverage on Orthofix Medical in a research note on Tuesday, January 27th. They set a "hold" rating and a $14.00 target price for the company. Stifel Nicolaus reduced their price target on Orthofix Medical from $22.00 to $18.00 and set a "buy" rating for the company in a report on Monday, March 9th. Finally, Canaccord Genuity Group decreased their price target on Orthofix Medical from $24.00 to $20.00 and set a "buy" rating on the stock in a research note on Thursday, February 26th. Three analysts have rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat.com, the stock presently has an average rating of "Hold" and an average price target of $17.25.
View Our Latest Research Report on OFIX
Key Headlines Impacting Orthofix Medical
Here are the key news stories impacting Orthofix Medical this week:
- Positive Sentiment: Engine Capital Management, a major shareholder, bought about 184,900 shares of Orthofix Medical across May 5-7 for roughly $2.23 million, increasing its stake to about 3.85 million shares. That kind of repeated insider accumulation often signals confidence in the company’s outlook and can support the stock. Article: Insider Buying: Orthofix Medical (NASDAQ:OFIX) Major Shareholder Purchases 30,000 Shares of Stock
- Positive Sentiment: Orthofix posted first-quarter results that beat expectations, reporting a smaller-than-expected loss per share and revenue roughly in line with estimates. Investors may view the earnings beat as a sign that performance is holding up better than feared. Article: Orthofix Medical earnings report
- Neutral Sentiment: Analysts maintained a consensus view of roughly Hold, but the average price target is $17.25, which is above recent trading levels and suggests some upside if execution improves. Article: Orthofix Medical Inc. (NASDAQ:OFIX) Just Reported, And Analysts Assigned A US$17.25 Price Target
- Neutral Sentiment: Another report noted Engine Capital’s purchase of 30,000 shares for about $365,400, reinforcing the theme of insider confidence, though this is part of the same buying trend already reflected above. Article: Insider Buying: Orthofix Medical (NASDAQ:OFIX) Major Shareholder Purchases 30,000 Shares of Stock
- Negative Sentiment: Despite the earnings beat, Orthofix remains unprofitable and faces margin pressure, and the FDA’s reclassification of bone growth stimulators could increase competitive pressure in a key product category. Those issues may be limiting enthusiasm around the stock. Article: FDA reclassifies bone growth stimulators
Institutional Investors Weigh In On Orthofix Medical
A number of hedge funds and other institutional investors have recently modified their holdings of the stock. CWM LLC grew its holdings in shares of Orthofix Medical by 99.0% in the 3rd quarter. CWM LLC now owns 1,920 shares of the medical device company's stock worth $28,000 after acquiring an additional 955 shares during the period. State of Alaska Department of Revenue purchased a new stake in Orthofix Medical during the third quarter worth $30,000. Kestra Advisory Services LLC acquired a new stake in Orthofix Medical in the fourth quarter valued at $56,000. Abel Hall LLC acquired a new stake in Orthofix Medical in the first quarter valued at $139,000. Finally, Mackenzie Financial Corp purchased a new position in shares of Orthofix Medical in the third quarter valued at $148,000. 89.76% of the stock is currently owned by institutional investors and hedge funds.
Orthofix Medical Company Profile
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Get Free Report)
Orthofix Medical Inc (NASDAQ: OFIX) is a global medical device company focused on the design and development of innovative orthopedic and spinal solutions. The company's core business is divided into two segments: spine and orthopedics. In the spine segment, Orthofix offers a range of titanium implants, biologics and portable bone growth stimulation devices designed to support spinal fusion, deformity correction and minimally invasive procedures. Its orthopedic segment encompasses products for fracture fixation, external fixation systems, trauma care and sports medicine, providing surgeons with implantable devices and instruments for complex bone reconstruction and healing.
Orthofix's product portfolio includes strut systems, bone growth stimulators, interbody fusion devices and fixation hardware that address various indications such as degenerative disc disease, spinal deformities, non-unions and long-bone fractures.
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