Tactile Systems Technology (NASDAQ:TCMD) Trading Down 5.6% – Time to Sell?

Tactile Systems Technology, Inc. (NASDAQ:TCMD) shares dropped 5.6% during trading on Thursday . The stock traded as low as $24.53 and last traded at $24.5160. Approximately 71,830 shares traded hands during trading, a decline of 79% from the average daily volume of 340,752 shares. The stock had previously closed at $25.97.

Wall Street Analyst Weigh In

Several brokerages have recently weighed in on TCMD. Zacks Research cut Tactile Systems Technology from a “strong-buy” rating to a “hold” rating in a research note on Monday, January 5th. Weiss Ratings reiterated a “hold (c+)” rating on shares of Tactile Systems Technology in a report on Friday, March 27th. B. Riley Financial increased their target price on shares of Tactile Systems Technology from $16.00 to $32.00 and gave the company a “neutral” rating in a research report on Wednesday, February 18th. BTIG Research raised their price target on shares of Tactile Systems Technology from $36.00 to $38.00 and gave the stock a “buy” rating in a report on Wednesday, February 18th. Finally, Lake Street Capital set a $40.00 price target on shares of Tactile Systems Technology and gave the stock a “buy” rating in a research report on Wednesday, February 18th. One research analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and three have issued a Hold rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $37.40.

Tactile Systems Technology Stock Performance

The business has a 50 day moving average price of $28.05 and a 200-day moving average price of $24.45. The company has a market capitalization of $560.79 million, a price-to-earnings ratio of 29.70 and a beta of 0.99.

Tactile Systems Technology (NASDAQ:TCMD) last released its earnings results on Tuesday, February 17th. The company reported $0.46 EPS for the quarter, topping the consensus estimate of $0.44 by $0.02. Tactile Systems Technology had a return on equity of 9.26% and a net margin of 5.79%.The business had revenue of $103.59 million during the quarter, compared to analysts’ expectations of $93.80 million. As a group, equities analysts predict that Tactile Systems Technology, Inc. will post 0.7 EPS for the current fiscal year.

Insider Activity

In related news, CEO Sheri Louise Dodd sold 10,993 shares of the business’s stock in a transaction on Tuesday, February 24th. The shares were sold at an average price of $28.94, for a total transaction of $318,137.42. Following the transaction, the chief executive officer owned 243,885 shares in the company, valued at $7,058,031.90. The trade was a 4.31% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CFO Elaine M. Birkemeyer sold 7,701 shares of the firm’s stock in a transaction on Tuesday, February 24th. The stock was sold at an average price of $28.94, for a total transaction of $222,866.94. Following the completion of the sale, the chief financial officer owned 134,819 shares of the company’s stock, valued at $3,901,661.86. The trade was a 5.40% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 55,276 shares of company stock worth $1,583,099 in the last quarter. 2.50% of the stock is owned by corporate insiders.

Institutional Trading of Tactile Systems Technology

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Goldman Sachs Group Inc. grew its stake in Tactile Systems Technology by 2.1% in the first quarter. Goldman Sachs Group Inc. now owns 186,936 shares of the company’s stock valued at $2,471,000 after acquiring an additional 3,898 shares during the period. Rhumbline Advisers grew its position in Tactile Systems Technology by 4.0% in the 2nd quarter. Rhumbline Advisers now owns 37,780 shares of the company’s stock valued at $383,000 after purchasing an additional 1,441 shares during the period. American Century Companies Inc. grew its position in Tactile Systems Technology by 11.2% in the 2nd quarter. American Century Companies Inc. now owns 53,264 shares of the company’s stock valued at $540,000 after purchasing an additional 5,364 shares during the period. Prudential Financial Inc. increased its stake in Tactile Systems Technology by 3.5% during the 2nd quarter. Prudential Financial Inc. now owns 24,360 shares of the company’s stock valued at $247,000 after purchasing an additional 835 shares in the last quarter. Finally, Norges Bank bought a new stake in Tactile Systems Technology during the 2nd quarter valued at $1,464,000. 83.43% of the stock is owned by institutional investors.

Tactile Systems Technology Company Profile

Tactile Systems Technology, Inc, headquartered in Plymouth, Minnesota, is a medical device company specializing in the design, manufacture and marketing of home-use pneumatic compression therapy systems for the treatment of lymphedema and other chronic edema-related conditions. Using proprietary software and patented pump technologies, the company’s platforms are designed to improve patient outcomes through sequential pressure treatment that promotes fluid mobilization and enhanced lymphatic function.

At the core of Tactile Systems’ product portfolio is the Flexitouch® system, a programmable pneumatic pump and garment system approved for home use, and the Aria® device, which features an intuitive touchscreen interface and advanced garment design.