Reflections On The Current State Of HMS Holdings Corp. (HMSY), Cerner Corporation (CERN)

You should consider shares of HMS Holdings Corp. (NASDAQ:HMSY) and Cerner Corporation (NASDAQ:CERN) if you are looking for a great stocks to invest in. Starting with the HMSY shares, which traded at $29.03 at the close of the recent session, dropping -3.44%. On Tuesday, the company’s shares shed -$1.04 from its value which represented in intraday trading. The stock is now -18.76% lower in year-to-date (YTD) trading. HMSY’s intraday high was $29.96 while its lowest price touched $28.53. The stock’s 52-week high price is $40.67, which means the current price is at -28.61%. In terms of trading activity, the daily trading volume rose to 1787070 against 200-day average trading volume of 598,937 shares.

What are analyst forecasts for HMS Holdings Corp. (NASDAQ:HMSY)?

At a consensus rating of 4.56, HMSY is trending as a streaking Strong Buy, as it has been the case a month ago when 10 analysts called it a Moderate Buy. Two months ago, 10 analysts recommended, on average, that HMSY stock is a Moderate Buy. The Services company’s shares’ overall bearish trend saw it close higher on Tuesday compared to its opening price of $29.90 on the day.

Forecasts for HMS Holdings Corp. (NASDAQ:HMSY) give the stock a fair value for the growth of 27.43% from its last price. The 12-month price forecast for the stock by analysts puts the stock’s mean price target at $40.00, which means the price per share could rise by nearly $10.97. The price range target is between a low of $30.00 and a high of $46.00. The stock would need to gain by about $36.89 to hit the estimated high or 0.84% from its 12-month low.

The consensus among 13 analysts is that it is a good time for one to Buy in the HMS Holdings Corp. 9 analysts rate HMSY as a Buy, with 0 of 13 analysts rate it as a Sell. 2 have valued the stock as Overweight and 2 have recommended that investors Hold.

HMS Holdings Corp. (NASDAQ:HMSY) Upgrades and Downgrades

In terms of rating changes, Guggenheim on November 22, 2019, Upgrade HMS Holdings Corp. (HMSY) at Buy. Analysts at Guggenheim have assigned a Neutral rating for the stock in their research note on August 22, 2019 with an estimated price target of $43. Moreover, SVB Leerink analysts issued a rating of Outperform for the stock on August 05, 2019, giving it a price target of $50 for the next 12 months. On July 10, 2019, the stock earned a Outperform rating due to an analyst call from Credit Suisse, while analysts from Chardan Capital Markets on July 02, 2019 suggested that the stock is Buy.

Cerner Corporation (NASDAQ:CERN) adds $0.15 on Tuesday

The CERN stock has risen 35.53% year-to-date and is currently trading at $71.07, which is -7.06% below its 52-week high. The company shares gained 0.21% on the day and have risen nearly 45.69% off a low hit. At current levels, Cerner Corporation has a valuation of about $5.62B. As of 12/03/19, this stock has risen 0.55% during the week and closed at $70.92 in the previous session. However, recent Cerner Corporation stock performance shows that CERN shares are 5.24% up over the last month, and 5.63% up for the last three months.

Earnings per share (EPS) estimates for the current quarter are $0.63, with the trailing 12-month share earnings at $1.55. The ratio is expected to be up by 9.00% for the current year 2019 and 17.60% for next year. Over the next 5-year period, earnings per share will be 13.60%. But will the CERN stock surprise in the current quarter results, where the $0.66 actual EPS reported on 9/29/2019 surprised by 0.00% or was lower by $0 from the estimated $0.66.

Sales Growth to climb 4.10% for the year

How well will Cerner Corporation perform as a business over the current quarter, year and next 5-year period? Compared to the year-ago quarter, analysts forecast the company to bring in between $1.42B and $1.45B in current quarter sales. The consensus estimated for the current quarter is $1.44B from sales. Forecasts for this fiscal year are between $5.66B and $5.7B and the consensus estimate for sales is at $5.69B. CERN has its next quarter sales estimates at between $1.4B and $1.47B, with the quarter-over-quarter growth estimates at 2.90% and the annual growth forecast for the year at 4.10%.

Who owns shares in Cerner Corporation (CERN)?

Let’s briefly focus on the share ownership of the Cerner Corporation (NASDAQ:CERN) stock, where we find that 82.77% of shares are held by institutions. Vanguard Group, Inc. (The) tops the list of institutional owners as it is holding 33.78 million shares or 10.76% of shares outstanding. Blackrock Inc. and Bank Of New York Mellon Corporation held 23.55 million and 14.53 million representing 7.50% and 4.63% respectively at the close of the last trading session. As of Sep 29, 2019, State Street Corporation accounted for 14.23 million shares at over 969.9 million. This represented 4.53% of shares outstanding. Loomis Sayles & Company, LP held 13.35 million shares at over 910.24 million representing 4.25% of shares outstanding.

CERN Insider Activity

Insider activity can also give a signal in terms of price direction. Looking at Cerner Corporation (CERN), a total of 862027 shares have been sold by insiders over the last 6 months while 848575 shares were added in the same time span. On 9/06/2019, by the name Townsend Jeffrey A sold 349922.0 shares worth $23.7 million at the price of $67.59 per share. Filings also show that Nill Michael R sold a total of 244000.0 shares on 5/29/2019 valued at $16.9 million. Since the last insider activity, the company’s share price has climbed 2.15%.