In a recent filing with the Securities and Exchange Commission, American Century Companies Inc. announced that it has reduced its holdings in TransMedics Group, Inc. by 35.4% during the first quarter of this year. The company now owns 245,833 shares of TransMedics Group’s stock, down from 380,782 shares previously held.
The decision to lessen its holdings in TransMedics Group may have been influenced by various factors. One such factor could be the financial performance of the company. According to TransMedics Group’s most recent quarterly earnings report released on August 3rd, the company reported earnings per share (EPS) of ($0.03), surpassing analysts’ consensus estimates of ($0.15) by $0.12.
TransMedics Group also revealed that it generated $42.46 million in revenue for the quarter, slightly exceeding analysts’ expectations of $42.42 million. It is important to note that during the same period last year, the company reported a loss per share of ($0.41). This indicates significant improvement in TransMedics Group’s financial performance over time.
Despite these positive developments, TransMedics Group still faces challenges in terms of its net margin and return on equity. The company recorded a negative net margin of 11.77% and a negative return on equity of 9.98%. These figures suggest that there is room for improvement in terms of profitability and shareholder returns.
Looking ahead, analysts predict that TransMedics Group will post earnings per share of -0.51 for the current fiscal year as a whole.
American Century Companies Inc.’s decision to reduce its stake in TransMedics Group could suggest cautiousness or a reassessment of their investment strategy. It is not uncommon for institutional investors to adjust their portfolios based on changing market conditions or their own internal assessments.
Overall, while American Century Companies Inc.’s decision may raise questions about TransMedics Group’s future prospects, it is important to remember that investment decisions are based on numerous factors and are subject to change. Investors should closely monitor the company’s performance and any developments that may impact its financial outlook.
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Ownership Changes and Financial Transactions Shape TransMedics Group’s Future in the Medical Technology Sector
TransMedics Group, Inc., a medical technology company specializing in organ transplant systems, has seen significant changes in its ownership as hedge funds and institutional investors modify their holdings of the company. In particular, BlackRock Inc. increased its holdings by 16.1% during the third quarter, now owning 2,198,654 shares valued at $91,771,000. Similarly, Macquarie Group Ltd. boosted its stake by 11.3% during the fourth quarter and now owns 1,947,472 shares valued at $120,198,000.
Vanguard Group Inc. also grew its holdings by 14.5% during the third quarter, acquiring an additional 208,377 shares of TransMedics Group stock valued at $68,650,000. Lord Abbett & CO. LLC increased its stake significantly by 53.8% during the fourth quarter and now owns 1,187,806 shares worth $73,311,,000 after acquiring an additional 415,,733 shares.
Driehaus Capital Management LLC raised its holdings in TransMedics Group by 10.5% during the fourth quarter with a total of 1.,101,,377 shares valued at $67,,977,,000.
It is worth noting that hedge funds and institutional investors currently hold approximately 91.25% of TransMedics Group’s stock.
Several equities research analysts have recently weighed in on the stock as well: TheStreet upgraded TransMedics Group from a “d+” rating to a “c-” rating on August 4th; Robert W. Baird started coverage on the stock with an “outperform” rating on July 19th; Oppenheimer increased their price target from to $92 from $90 on August 4th; TD Cowen boosted their price objective to $110 from $95 with an “outperform” rating on August 4th. William Blair has also restated an “outperform” rating on TransMedics Group.
Interestingly, in a recent transaction, Director David Weill purchased 2,500 shares of TransMedics Group’s stock at an average cost of $62 per share, totaling $155,000. Following this acquisition, Weill now owns 13,693 shares valued at $848,966.
On the other hand, CEO Waleed H. Hassanein sold 7,500 shares with an average price of $93.06 per share for a total transaction value of $697,950. After the sale, Hassanein holds around 536,,691 shares in the company valued at approximately $49,,944,,464.
Overall, insiders have sold 22,,974 shares worth $2,,061,,434 over the past three months. Insiders currently own 6.70% of TransMedics Group.
TransMedics Group’s stock opened at $65.63 on Friday with a market capitalization of $2.14 billion. The company has a quick ratio of 19.74 and a current ratio of 20.70 while maintaining a debt-to-equity ratio of 3.48.
Despite these recent ownership changes and financial transactions within the company and its shareholders, TransMedics Group continues to operate in the medical technology sector as it develops innovative solutions for organ transplant systems.