Truist Financial Reduces Price Target for The Pennant Group to $32.00

On January 6th, 2025, analysts at Truist Financial announced a decrease in their price target for The Pennant Group (NASDAQ:PNTG), lowering it from $38.00 to $32.00. The research note, issued on Monday, maintains a "hold" rating on the stock. This revised price target suggests a potential upside of 20.57% based on the stock’s current trading price.

Additional insights have come from other research firms regarding PNTG. For instance, Stephens reaffirmed an “overweight” rating on the stock and set a price target of $40.00 as noted in their report on October 9th, 2024. Similarly, Wells Fargo & Company began their coverage of The Pennant Group on December 19th, establishing an “equal weight” rating along with a price target of $33.00. In another update, Oppenheimer raised their price target from $34.00 to $37.00, assigning it an “outperform” rating on November 8th, 2024. Royal Bank of Canada also revised their target, increasing it from $26.00 to $38.00 with an “outperform” rating on October 23rd, 2024. According to MarketBeat, there are currently two analysts with a hold rating, while three have given a buy rating to The Pennant Group. The consensus rating stands at "Moderate Buy" with a target price of $36.00.

The Pennant Group's Stock Performance

As of Monday, NASDAQ:PNTG opened at $26.54. The company's market capitalization is approximately $911.60 million, with a price-to-earnings (P/E) ratio of 39.03 and a PEG ratio of 2.99. The stock has shown some volatility, with a beta of 1.93. The company's fifty-day moving average is $30.28, while the two-hundred-day moving average is $30.56. Over the past year, The Pennant Group has experienced a low of $14.12 and a high of $37.13. Financial metrics reveal a debt-to-equity ratio of 0.58, and liquidity ratios show a current ratio of 1.12 and a quick ratio of 1.12.

Institutional Investment Activity

Recently, several large institutional investors have made transactions involving shares of The Pennant Group. For instance, FMR LLC increased its holdings by 51.3% during the third quarter, now owning 2,528,512 shares valued at $90,268,000 following the acquisition of 856,838 additional shares. Furthermore, Crewe Advisors LLC raised its position by 1.6%, with 742,958 shares now worth $26,524,000 after buying an additional 11,927 shares. Geode Capital Management LLC saw a slight increase of 0.4% in its stake, holding 682,132 shares valued at $24,357,000 after an additional purchase of 2,963 shares. Other notable increases in stakes include First Eagle Investment Management LLC, which raised its holdings by 2.1%, and De Lisle Partners LLP, which increased its holdings by 7.6%. Collectively, hedge funds and other institutions now own 85.88% of The Pennant Group's stock.

About The Pennant Group

The Pennant Group, Inc. is dedicated to providing healthcare services across the United States. The company operates in two significant segments: Home Health and Hospice Services, along with Senior Living Services. Its offerings in home health include a variety of clinical services such as nursing, speech, occupational, and physical therapy, as well as medical social work and home health aide assistance. In terms of hospice services, The Pennant Group provides comprehensive clinical care, education, and counseling that meets the physical, spiritual, and psychosocial needs of patients facing terminal illness and their families.

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