Acadia Healthcare Sees Dip in Stake, but Future Looks Bright
First Trust Advisors LP has recently cut its position in Acadia Healthcare Company, Inc. by 4.4% during the 4th Quarter. This dip amounted to selling 9,274 shares from their portfolio. Despite this reduction, First Trust Advisors LP still owns around 0.22% of Acadia Healthcare’s stake with a value of $16,474,000.
The public may question why a notable investor such as First Trust Advisors LP would sell off some shares from one of their largest holdings. However, it is important to note that changes in institutional investments usually happen either due to a strategic shift in investment style or simple portfolio reallocation.
Recently, Acadia Healthcare reported its earnings results for Q1-2023 which ended on February 27th. Unfortunately, they missed the consensus estimate by $0.04 with an EPS of $0.70 instead of $0.74 as expected by research analysts.
Nevertheless, the fact remains that Acadia Healthcare had increased revenue this past quarter compared to the consensus estimate – they generated $675.30 million versus an anticipated $659.17 million for Q1-2023.
While there may have been a small dip in institutional investments and EPS estimates missing the mark, there are still several reasons why investors should not be too quick to dismiss Acadia Healthcare as an option for investment portfolios going forward.
One reason is that despite the dip in profits on a quarterly basis, Acadia Healthcare still delivered double-digit returns and posted success regarding net margin (10.32%) and return on equity (10.22%). Additionally, research analysts forecast that the company will post 3.23 EPS for FY-2023 which indicates future growth potential.
In conclusion, while there may have been hiccups along the way such as slight dips in investment stake and missed earnings estimates from analysts; institutional investors should not be too quick to write off Acadia Healthcare as a potential investment opportunity. The company has multiple promising aspects, including successful returns and forecasts indicating future growth prospects.
Institutional Investors Show Strong Support for Acadia Healthcare, Boosting Investor Confidence and Growth Potential[stock_market_widget type=”chart” template=”basic” color=”#3946CE” assets=”ACHC” range=”1mo” interval=”1d” axes=”true” cursor=”true” range_selector=”true” api=”yf”]
Acadia Healthcare Company, Inc., a leading provider of behavioral healthcare services, has been recently attracting strong institutional investor support. Over the last several months, various hedge funds and institutional investors have added Acadia Healthcare’s shares to their portfolio.
SG Americas Securities LLC increased its holdings in shares of Acadia Healthcare by an impressive 156.7%, bringing its shares worth to $1.6 million after acquiring an additional 11,903 shares in the last quarter. Meanwhile, Oliver Luxxe Assets LLC has boosted its stake by 2.7%, owning now 10,810 shares of the company’s stock valued at $890,000 after buying an additional 284 shares during the period.
Mount Yale Investment Advisors LLC also expanded its position by 50.4%, holding 9,643 shares valued at $754,000 after purchasing another 3,232 shares. The Great West Life Assurance Co. Can acquired a new stake worth about $4.3 million during the third quarter of last year.
Finally, Frontier Capital Management Co. LLC raised its holdings in Acadia Healthcare by 3.7%, owning over 388,984 shares worth $30.4 million after acquiring an additional 13,908 shares during the last quarter.
These strong investments have significantly contributed to boosting investor confidence in Acadia Healthcare in recent times and helped it find stable ground as it navigates through ever-changing market conditions.
Shares of NASDAQ ACHC opened at $72.58 on Tuesday indicating aggressive buying and growth potential amongst this investor lot and beyond! Despite an economic climate that continues to be full of uncertainty for many businesses worldwide due to the COVID-19 pandemic and other factors such as inflation concerns among others; Academic Healthcare seems to be emerging as a relatively resilient firm thanks to this strong support from market participants.
In summary, these recent rounds of investment underscore a bright future for Acadia Healthcare Company Inc., making it one of the most attractive and viable options for institutional investors seeking to secure top-tier returns while mitigating portfolio risk.