Bank of America Cuts Embecta (NASDAQ:EMBC) Price Target to $3.00

Embecta (NASDAQ:EMBC) had its price objective reduced by research analysts at Bank of America from $11.00 to $3.00 in a research note issued on Monday,Benzinga reports. The brokerage currently has an “underperform” rating on the stock. Bank of America‘s price objective would indicate a potential downside of 0.50% from the stock’s previous close.

Other analysts also recently issued reports about the company. Wall Street Zen downgraded Embecta from a “strong-buy” rating to a “hold” rating in a research report on Saturday, May 9th. Zacks Research downgraded shares of Embecta from a “hold” rating to a “strong sell” rating in a report on Friday, May 8th. BTIG Research downgraded shares of Embecta from a “buy” rating to a “neutral” rating in a report on Tuesday, May 5th. Mizuho dropped their target price on shares of Embecta from $12.00 to $5.00 and set a “neutral” rating for the company in a report on Wednesday, May 6th. Finally, Weiss Ratings downgraded shares of Embecta from a “hold (c-)” rating to a “sell (d+)” rating in a report on Wednesday, May 6th. Two equities research analysts have rated the stock with a Hold rating and three have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Strong Sell” and an average price target of $11.00.

Embecta Price Performance

Shares of NASDAQ:EMBC traded down $0.13 during midday trading on Monday, reaching $3.02. 2,030,411 shares of the company’s stock were exchanged, compared to its average volume of 1,334,958. The firm’s 50 day simple moving average is $8.04 and its two-hundred day simple moving average is $10.60. The stock has a market cap of $178.88 million, a price-to-earnings ratio of 1.59 and a beta of 1.09. Embecta has a fifty-two week low of $2.99 and a fifty-two week high of $15.55.

Embecta (NASDAQ:EMBC) last issued its quarterly earnings data on Tuesday, May 5th. The company reported $0.27 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.42 by ($0.15). The business had revenue of $221.80 million for the quarter, compared to analyst estimates of $235.67 million. Embecta had a negative return on equity of 23.96% and a net margin of 10.73%.The firm’s revenue for the quarter was down 14.4% compared to the same quarter last year. During the same period in the previous year, the business posted $0.70 earnings per share. Embecta has set its FY 2026 guidance at 1.550-1.75 EPS. Equities research analysts predict that Embecta will post 1.58 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Embecta

Institutional investors and hedge funds have recently made changes to their positions in the stock. JPMorgan Chase & Co. grew its position in shares of Embecta by 39.5% during the third quarter. JPMorgan Chase & Co. now owns 434,822 shares of the company’s stock worth $6,135,000 after buying an additional 123,113 shares in the last quarter. Jefferies Financial Group Inc. grew its stake in shares of Embecta by 40.4% during the third quarter. Jefferies Financial Group Inc. now owns 1,884,875 shares of the company’s stock worth $26,596,000 after purchasing an additional 542,162 shares in the last quarter. Public Sector Pension Investment Board increased its holdings in Embecta by 57.7% in the third quarter. Public Sector Pension Investment Board now owns 314,129 shares of the company’s stock valued at $4,432,000 after buying an additional 114,902 shares during the last quarter. Teacher Retirement System of Texas increased its holdings in Embecta by 365.7% in the third quarter. Teacher Retirement System of Texas now owns 372,451 shares of the company’s stock valued at $5,255,000 after buying an additional 292,477 shares during the last quarter. Finally, SG Americas Securities LLC purchased a new position in Embecta in the fourth quarter valued at $5,178,000. 93.83% of the stock is owned by institutional investors and hedge funds.

About Embecta

Embecta Corp (NASDAQ: EMBC) is a pure-play diabetes care company that was spun off from Becton, Dickinson and Company on July 1, 2021. Headquartered in Franklin Lakes, New Jersey, Embecta focuses exclusively on the development, manufacturing and commercialization of products that enable insulin delivery and blood glucose monitoring for people with diabetes.

The company’s product portfolio includes insulin infusion sets, durable and patch pumps, pen needles, infusion tubing, blood glucose test strips, lancets and lancing devices.