Maximus (NYSE:MMS) Trading Up 11.6% on Better-Than-Expected Earnings

Maximus, Inc. (NYSE:MMS) shares rose 11.6% during mid-day trading on Thursday following a stronger than expected earnings report. The company traded as high as $75.11 and last traded at $74.92. Approximately 203,169 shares changed hands during trading, a decline of 64% from the average daily volume of 558,234 shares. The stock had previously closed at $67.16.

The health services provider reported $2.01 EPS for the quarter, beating the consensus estimate of $1.37 by $0.64. Maximus had a return on equity of 21.95% and a net margin of 5.28%. The company had revenue of $1.36 billion during the quarter, compared to analyst estimates of $1.29 billion. During the same period in the prior year, the company earned $1.57 earnings per share. The business’s revenue was up 1.0% compared to the same quarter last year.

Maximus Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Saturday, May 31st. Investors of record on Thursday, May 15th will be paid a dividend of $0.30 per share. The ex-dividend date is Thursday, May 15th. This represents a $1.20 dividend on an annualized basis and a dividend yield of 1.59%. Maximus’s dividend payout ratio is presently 25.81%.

Wall Street Analysts Forecast Growth

Separately, StockNews.com upgraded shares of Maximus from a “hold” rating to a “buy” rating in a research report on Wednesday.

Insider Activity

In other news, Director Jan Madsen sold 2,439 shares of the stock in a transaction that occurred on Tuesday, March 18th. The shares were sold at an average price of $67.71, for a total value of $165,144.69. Following the completion of the sale, the director now directly owns 18,097 shares of the company’s stock, valued at $1,225,347.87. This represents a 11.88 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Ilene R. Baylinson sold 14,500 shares of the business’s stock in a transaction that occurred on Wednesday, February 19th. The shares were sold at an average price of $68.14, for a total transaction of $988,030.00. Following the transaction, the insider now directly owns 2,512 shares in the company, valued at $171,167.68. The trade was a 85.23 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 1.60% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Maximus

A number of hedge funds have recently modified their holdings of MMS. UMB Bank n.a. increased its holdings in Maximus by 79.8% in the fourth quarter. UMB Bank n.a. now owns 356 shares of the health services provider’s stock worth $27,000 after buying an additional 158 shares during the last quarter. Eastern Bank bought a new position in shares of Maximus during the 4th quarter valued at $29,000. V Square Quantitative Management LLC boosted its holdings in Maximus by 65.9% in the fourth quarter. V Square Quantitative Management LLC now owns 453 shares of the health services provider’s stock worth $34,000 after purchasing an additional 180 shares in the last quarter. GAMMA Investing LLC increased its position in Maximus by 67.1% during the first quarter. GAMMA Investing LLC now owns 732 shares of the health services provider’s stock worth $50,000 after buying an additional 294 shares during the last quarter. Finally, R Squared Ltd bought a new position in Maximus during the fourth quarter valued at about $54,000. 97.21% of the stock is owned by institutional investors and hedge funds.

Maximus Stock Performance

The company has a debt-to-equity ratio of 0.82, a quick ratio of 1.72 and a current ratio of 1.72. The company has a market cap of $4.26 billion, a P/E ratio of 16.20 and a beta of 0.61. The firm has a 50 day moving average price of $68.07 and a 200-day moving average price of $73.15.

About Maximus

Maximus, Inc operates as a provider of government services in the United States and internationally. It operates through three segments: U.S. Federal Services, U.S. Services, and Outside the U.S. The U.S. Services segment offers program eligibility support and enrollment; centralized multilingual customer contact centers, multichannel, and digital self-service options for enrollment; application assistance and independent health plan choice counseling; beneficiary outreach, education, eligibility, enrollment, and redeterminations; and person-centered independent disability, long-term sick, and other health assessments.