The Ensign Group (NASDAQ:ENSG) Stock Price Down 5.5% Following Weak Earnings

The Ensign Group, Inc. (NASDAQ:ENSG)’s stock price fell 5.5% during trading on Thursday after the company announced weaker than expected quarterly earnings. The stock traded as low as $140.98 and last traded at $140.67. 108,633 shares changed hands during mid-day trading, a decline of 74% from the average session volume of 411,240 shares. The stock had previously closed at $148.86.

The company reported $1.36 earnings per share for the quarter, missing the consensus estimate of $1.47 by ($0.11). The Ensign Group had a return on equity of 17.21% and a net margin of 5.84%.

The Ensign Group Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, January 31st. Stockholders of record on Tuesday, December 31st were paid a $0.0625 dividend. This is a boost from The Ensign Group’s previous quarterly dividend of $0.06. The ex-dividend date of this dividend was Tuesday, December 31st. This represents a $0.25 dividend on an annualized basis and a dividend yield of 0.18%. The Ensign Group’s dividend payout ratio is currently 6.05%.

Analyst Ratings Changes

A number of analysts recently weighed in on ENSG shares. Macquarie upped their target price on shares of The Ensign Group from $165.00 to $166.00 and gave the company an “outperform” rating in a research note on Tuesday. UBS Group assumed coverage on The Ensign Group in a research note on Thursday, November 21st. They issued a “buy” rating and a $175.00 price objective on the stock. Truist Financial cut their target price on The Ensign Group from $170.00 to $155.00 and set a “hold” rating for the company in a research report on Monday, January 6th. Royal Bank of Canada upped their price target on The Ensign Group from $167.00 to $172.00 and gave the company an “outperform” rating in a research report on Monday, October 28th. Finally, Oppenheimer boosted their target price on shares of The Ensign Group from $165.00 to $168.00 and gave the company an “outperform” rating in a research note on Friday, October 25th. One research analyst has rated the stock with a hold rating and five have given a buy rating to the stock. According to MarketBeat, The Ensign Group presently has an average rating of “Moderate Buy” and a consensus price target of $165.17.

Insider Activity at The Ensign Group

In other The Ensign Group news, Chairman Christopher R. Christensen sold 39,086 shares of the business’s stock in a transaction dated Wednesday, February 5th. The shares were sold at an average price of $148.52, for a total value of $5,805,052.72. Following the completion of the transaction, the chairman now directly owns 12,539 shares of the company’s stock, valued at approximately $1,862,292.28. The trade was a 75.71 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, Director Barry M. Smith sold 700 shares of the stock in a transaction that occurred on Monday, February 3rd. The shares were sold at an average price of $138.48, for a total transaction of $96,936.00. Following the sale, the director now directly owns 30,752 shares in the company, valued at $4,258,536.96. This trade represents a 2.23 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 40,486 shares of company stock valued at $5,995,390 in the last three months. Corporate insiders own 3.90% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Retirement Wealth Solutions LLC bought a new stake in shares of The Ensign Group during the fourth quarter worth $25,000. Avior Wealth Management LLC raised its stake in The Ensign Group by 190.1% in the fourth quarter. Avior Wealth Management LLC now owns 206 shares of the company’s stock valued at $27,000 after purchasing an additional 135 shares in the last quarter. Venturi Wealth Management LLC raised its holdings in shares of The Ensign Group by 150.6% during the 4th quarter. Venturi Wealth Management LLC now owns 208 shares of the company’s stock worth $28,000 after buying an additional 125 shares in the last quarter. Signaturefd LLC increased its holdings in shares of The Ensign Group by 115.2% during the third quarter. Signaturefd LLC now owns 284 shares of the company’s stock worth $41,000 after buying an additional 152 shares in the last quarter. Finally, USA Financial Formulas acquired a new position in The Ensign Group in the 3rd quarter valued at approximately $54,000. Institutional investors own 96.12% of the company’s stock.

The Ensign Group Price Performance

The company has a current ratio of 1.56, a quick ratio of 1.56 and a debt-to-equity ratio of 0.08. The business’s 50-day simple moving average is $138.28 and its two-hundred day simple moving average is $143.85. The firm has a market cap of $8.09 billion, a price-to-earnings ratio of 34.18, a P/E/G ratio of 1.66 and a beta of 0.94.

About The Ensign Group

The Ensign Group, Inc provides skilled nursing, senior living, and rehabilitative services. It operates through two segments: Skilled Services and Standard Bearer. The company's Skilled Services segment engages in the operation of skilled nursing facilities and rehabilitation therapy services for patients with chronic conditions, prolonged illness, and the elderly; and offers nursing facilities including specialty care, such as on-site dialysis, ventilator care, cardiac, and pulmonary management, as well as standard services comprising room and board, special nutritional programs, social services, recreational activities, entertainment, and other services.