Electromed (NYSE:ELMD) Board of Directors Initiates Stock Buyback Plan

Electromed (NYSE:ELMD) announced that its board has initiated a stock buyback plan on Monday, March 10th, RTT News reports. The company plans to repurchase $5.00 million in outstanding shares. This repurchase authorization permits the company to reacquire up to 2.4% of its shares through open market purchases. Shares repurchase plans are often a sign that the company’s board of directors believes its stock is undervalued.

Wall Street Analysts Forecast Growth

Several analysts have issued reports on ELMD shares. StockNews.com downgraded Electromed from a “strong-buy” rating to a “buy” rating in a research note on Monday. B. Riley started coverage on Electromed in a research note on Thursday, February 20th. They issued a “buy” rating and a $38.00 price target on the stock.

Electromed Stock Performance

ELMD opened at $25.20 on Thursday. The business’s 50-day simple moving average is $30.67 and its 200 day simple moving average is $26.35. The firm has a market capitalization of $215.64 million, a PE ratio of 33.60 and a beta of 0.41. Electromed has a 52-week low of $13.74 and a 52-week high of $35.56.

Insider Buying and Selling at Electromed

In related news, Director Andrew Summers sold 35,273 shares of the firm’s stock in a transaction dated Thursday, February 20th. The shares were sold at an average price of $28.83, for a total value of $1,016,920.59. Following the completion of the sale, the director now directly owns 129,190 shares in the company, valued at approximately $3,724,547.70. This trade represents a 21.45 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Director Kathleen Skarvan sold 8,640 shares of the firm’s stock in a transaction dated Friday, February 14th. The shares were sold at an average price of $32.25, for a total transaction of $278,640.00. Following the completion of the sale, the director now owns 71,576 shares of the company’s stock, valued at $2,308,326. This trade represents a 10.77 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 133,618 shares of company stock worth $3,821,636 over the last quarter. 14.00% of the stock is currently owned by insiders.

About Electromed

Electromed, Inc develops, manufactures, markets, and sells airway clearance therapy and related products that apply high frequency chest wall oscillation (HFCWO) therapy in pulmonary care for patients of various ages in the United States and internationally. The company offers SmartVest airway clearance system for patients with compromised pulmonary functions, including bronchiectasis and cystic fibrosis, as well as neuromuscular conditions, such as cerebral palsy and amyotrophic lateral sclerosis; SmartVest SQL System; SmartVest Clearway System that consists of an inflatable therapy garment, a programmable air pulse generator, and a patented single-hose that delivers air pulses from the generator to the garment to create oscillatory pressure on the chest wall; and SmartVest Connect, a wireless technology that allows data connection between physicians and patients to track therapy performance and collaborate in treatment decisions.