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Community Health Stock Hit By Weak Patient Volume

CYH short sellers may have hit the exits too soon

Aug 2, 2017 at 9:11 AM
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Analysts are weighing in on travel technology provider Sabre Corp (NASDAQ:SABR), hospital stock Community Health Systems (NYSE:CYH), and oilfield services provider Baker Hughes (NYSE:BHGE). Here's a quick roundup of today's bearish brokerage notes on shares of SABR, CYH, and BHGE.

Analysts Lower Expectations on SABR Stock After Earnings Meltdown

After the stock tanked to two-year lows yesterday after earnings, analysts are weighing in on Sabre. Specifically, price-target cuts have come through from Cowen ($23), Morgan Stanley ($23), and Mizuho ($25) -- though all three represent a premium to SABR's close yesterday at $19.81. Interestingly, analysts have stayed bullish on Sabre stock, even though it's down more than 32% year-over-year. That is, six of eight brokerage firms maintain "strong buy" recommendations. 

Weak Patient Volume Weighs on CYH Shares

A disappointing full-year outlook could weigh on Community Health Systems stock today. The company is lowering its forecast for the year amid weaker patient volumes, prompting a round of negative attention from analysts. Oppenheimer, Cantor Fitzgerald, and Mizuho all lowered their price targets, with the latter setting the lowest mark of $7. 

CYH stock settled Tuesday at $6.88, down 45% over the past year. Still, short interest has been falling sharply since peaking late September. In the last two reporting periods, short interest on Community Health Systems dropped 18.4%. 

Analysts Trim Outlook as Baker Hughes Continues Descent

HSBC this morning lowered its price target on Baker Hughes stock to $46 from $48, though this stands near the shares' 52-week high, and well above last night's close of $35.70. BHGE has carved out a series of lower highs since mid-December, giving back 21% year-to-date. Considering this, the shares could be due for more bearish analyst attention, given the fact that their average 12-month price target still stands at $52.99 -- a 48% premium to current levels. 
 

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