Why Shares of Agiliti Dropped This Week
Shares of Agiliti (NYSE: AGTI) were down more than 16% for the week as of 2:15 p.m. on Friday, according to data provided by S&P Global Market Intelligence. The stock closed last week at $9.79 and hit a 52-week low of $7.88 on Friday. The healthcare company, which focuses on healthcare technology management and service solutions, has seen its shares drop by more than 54% so far this year.
On Tuesday, Bank of America Securities cut Agiliti's target share price from $18 to $11 a share. That follows a trend, for in August, analysts from Morgan Stanley, Citigroup, KeyCorp, and Raymond James all downgraded their positions for the stock.
The company, which serves more than 9,000 national, regional, and local acute care and alternate site providers across the U.S., has struggled financially this year. In the second quarter, it reported revenue of $291 million, up 6.2% year over year, but a net loss of $4 million compared to net income of $5 million in the same period a year ago. The company said it lost $0.04 in earnings per share (EPS) compared to positive EPS of $0.03 in the second quarter of 2022. The company had several acquisitions in the fourth quarter of 2022, but it now has more long-term debt and is paying higher interest on its loans.
Source Fool.com
