Chemed (NYSE:CHE) Hits New 1-Year High After Better-Than-Expected Earnings

Chemed Corporation (NYSE:CHE)’s stock price reached a new 52-week high during mid-day trading on Tuesday following a better than expected earnings announcement. The stock traded as high as $519.05 and last traded at $514.9440, with a volume of 3626 shares traded. The stock had previously closed at $509.34.

The company reported $6.06 EPS for the quarter, beating the consensus estimate of $5.60 by $0.46. Chemed had a return on equity of 30.64% and a net margin of 10.60%.The firm had revenue of $673.25 million during the quarter, compared to the consensus estimate of $665.04 million. During the same period last year, the company earned $4.27 earnings per share. The business’s quarterly revenue was up 8.8% on a year-over-year basis. Chemed has set its FY 2026 guidance at 25.000-25.750 EPS.

Chemed Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, June 16th. Investors of record on Thursday, May 28th were given a dividend of $0.60 per share. The ex-dividend date was Thursday, May 28th. This represents a $2.40 annualized dividend and a yield of 0.4%. Chemed’s dividend payout ratio (DPR) is currently 13.08%.

Key Headlines Impacting Chemed

Here are the key news stories impacting Chemed this week:

• Positive Sentiment: Quarterly results exceeded expectations. Adjusted EPS was $6.06, ahead of the $5.55–$5.60 analyst consensus and up 41.9% from $4.27 a year earlier. Revenue rose 8.8% to $673.3 million, surpassing estimates of approximately $665 million. Chemed Tops Q2 Earnings and Revenue Estimates
• Positive Sentiment: VITAS drove the strongest growth. Net patient revenue increased 11.9% to $443.3 million, while average daily census rose 6.1% and admissions grew 9.0%. VITAS adjusted EBITDA increased 20.6%, with its margin expanding by 196 basis points to 18.2%. Chemed Reports Second-Quarter 2026 Results
• Positive Sentiment: Full-year earnings guidance was raised. Chemed now expects 2026 adjusted EPS of $25.00 to $25.75, above the prior outlook and the roughly $24.01 consensus estimate. Management attributed the increase primarily to VITAS outperformance, while maintaining its Roto-Rooter outlook. Chemed Raises 2026 Guidance
• Positive Sentiment: Share repurchases provided additional support. Chemed bought back approximately 210,000 shares for $89.8 million during the quarter, signaling confidence in the business and reducing shares outstanding.
• Neutral Sentiment: Roto-Rooter performance was mixed. Revenue rose 3.3% to $229.9 million, but net income and adjusted EBITDA were essentially flat, while the EBITDA margin declined 77 basis points to 21.1%. This limits the segment’s contribution relative to VITAS.
• Negative Sentiment: Insider activity was unfavorable. Company insiders reported five sales and no purchases over the past six months. The activity may temper sentiment, although it is less significant than the earnings beat and raised guidance.

Analysts Set New Price Targets

Several brokerages have issued reports on CHE. Weiss Ratings upgraded shares of Chemed from a “hold (c-)” rating to a “hold (c)” rating in a research report on Friday, July 17th. Wall Street Zen cut shares of Chemed from a “buy” rating to a “hold” rating in a research note on Monday, June 8th. Zacks Research upgraded Chemed from a “strong sell” rating to a “hold” rating in a report on Monday, April 27th. Bank of America reaffirmed a “neutral” rating on shares of Chemed in a research report on Wednesday. Finally, Royal Bank Of Canada increased their price target on Chemed from $422.00 to $436.00 and gave the company a “sector perform” rating in a research note on Monday, April 27th. One research analyst has rated the stock with a Buy rating and five have issued a Hold rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus target price of $480.25.

Insiders Place Their Bets

In other Chemed news, Director Andrea R. Lindell sold 1,347 shares of the stock in a transaction dated Tuesday, June 9th. The stock was sold at an average price of $447.33, for a total transaction of $602,553.51. Following the completion of the sale, the director directly owned 4,578 shares in the company, valued at approximately $2,047,876.74. This trade represents a 22.73% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO Kevin J. Mcnamara sold 2,000 shares of Chemed stock in a transaction dated Friday, May 1st. The stock was sold at an average price of $421.13, for a total value of $842,260.00. Following the completion of the transaction, the chief executive officer directly owned 90,219 shares of the company’s stock, valued at approximately $37,993,927.47. This trade represents a 2.17% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 3.33% of the stock is owned by company insiders.

Institutional Investors Weigh In On Chemed

Several institutional investors and hedge funds have recently made changes to their positions in CHE. Geneos Wealth Management Inc. lifted its stake in Chemed by 330.4% in the first quarter. Geneos Wealth Management Inc. now owns 99 shares of the company’s stock valued at $61,000 after buying an additional 76 shares during the period. Arrowstreet Capital Limited Partnership grew its position in shares of Chemed by 67.0% during the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 11,365 shares of the company’s stock worth $5,534,000 after buying an additional 4,560 shares during the period. Marshall Wace LLP bought a new stake in shares of Chemed in the 2nd quarter valued at $579,000. Brown Advisory Inc. lifted its position in shares of Chemed by 36.9% during the 2nd quarter. Brown Advisory Inc. now owns 549 shares of the company’s stock valued at $267,000 after acquiring an additional 148 shares during the period. Finally, Cerity Partners LLC lifted its position in shares of Chemed by 237.7% during the 2nd quarter. Cerity Partners LLC now owns 4,451 shares of the company’s stock valued at $2,165,000 after acquiring an additional 3,133 shares during the period. Institutional investors own 95.85% of the company’s stock.

Chemed Stock Performance

The firm has a market capitalization of $7.13 billion, a P/E ratio of 27.00, a price-to-earnings-growth ratio of 1.91 and a beta of 0.52. The company’s 50 day moving average is $463.37 and its 200-day moving average is $435.25. The company has a quick ratio of 0.83, a current ratio of 0.85 and a debt-to-equity ratio of 0.11.

Chemed Company Profile

Chemed Corporation is a diversified provider of essential home services and healthcare solutions in the United States. Headquartered in Cincinnati, Ohio, the company operates through two principal business segments—Roto-Rooter and Vitas Healthcare. Since its founding in 1974, Chemed has built a reputation for reliability and expertise, serving both residential and commercial customers across a broad range of markets.

The Roto-Rooter segment offers a comprehensive suite of plumbing, drain cleaning and water restoration services.