Medline (NASDAQ:MDLN) Shares Gap Down After Earnings Miss

Shares of Medline (NASDAQ:MDLN) gapped down before the market opened on Wednesday following a dissappointing earnings announcement. The stock had previously closed at $49.99, but opened at $47.38. Medline shares last traded at $50.06, with a volume of 1,165,067 shares trading hands.

The company reported ($0.01) earnings per share for the quarter, missing the consensus estimate of $0.24 by ($0.25). The company’s quarterly revenue was up 14.8% compared to the same quarter last year.

Wall Street Analyst Weigh In

Several research analysts have issued reports on the company. The Goldman Sachs Group initiated coverage on Medline in a report on Monday, January 12th. They set a “buy” rating and a $49.00 price objective on the stock. BTIG Research reaffirmed a “buy” rating and set a $55.00 price target (up from $50.00) on shares of Medline in a research note on Wednesday, January 21st. Sanford C. Bernstein started coverage on Medline in a research report on Monday, January 12th. They issued an “outperform” rating and a $49.00 price objective for the company. BMO Capital Markets assumed coverage on Medline in a report on Monday, January 12th. They set an “outperform” rating and a $45.00 price objective for the company. Finally, Morgan Stanley began coverage on shares of Medline in a research note on Sunday, January 11th. They issued an “overweight” rating and a $48.00 target price on the stock. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-one have issued a Buy rating and five have assigned a Hold rating to the stock. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus target price of $47.92.

Insider Activity at Medline

In other news, Director Charles N. Mills purchased 2,579,310 shares of the business’s stock in a transaction that occurred on Thursday, December 18th. The shares were acquired at an average cost of $29.00 per share, for a total transaction of $74,799,990.00. Following the transaction, the director directly owned 2,441,379 shares of the company’s stock, valued at approximately $70,799,991. The trade was a -1,870.00% increase in their position. The acquisition was disclosed in a filing with the SEC, which is available at this link. Also, Director Andrew J. Mills acquired 2,586,206 shares of the firm’s stock in a transaction that occurred on Thursday, December 18th. The shares were purchased at an average price of $29.00 per share, with a total value of $74,999,974.00. Following the acquisition, the director owned 2,586,206 shares of the company’s stock, valued at approximately $74,999,974. This trade represents a ∞ increase in their position. The SEC filing for this purchase provides additional information.

Hedge Funds Weigh In On Medline

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. Chung Wu Investment Group LLC bought a new stake in shares of Medline in the 4th quarter valued at $155,000. North Star Investment Management Corp. bought a new position in Medline during the fourth quarter worth about $36,000. NBC Securities Inc. acquired a new position in Medline in the fourth quarter valued at about $28,000. Pictet Asset Management Holding SA bought a new stake in shares of Medline in the fourth quarter worth about $48,996,000. Finally, Teachers Retirement System of The State of Kentucky acquired a new stake in shares of Medline during the fourth quarter worth about $2,768,000.

Medline Price Performance

The firm’s fifty day moving average price is $44.13.

About Medline

Medline (NASDAQ: MDLN) is a healthcare products and services company that manufactures, sources and distributes a wide range of medical supplies and equipment for healthcare providers. Its product portfolio spans clinical consumables and personal protective equipment, surgical and procedural supplies, wound care and incontinence products, diagnostic and laboratory supplies, and select durable medical equipment. Medline supports care settings that include hospitals, health systems, long-term care facilities, ambulatory clinics and home health providers.

In addition to product manufacturing and distribution, Medline provides supply‑chain and logistics services designed to help healthcare customers manage inventory, reduce costs and streamline operations.