Shares of Progyny, Inc. (NASDAQ:PGNY) have garnered an average rating of “Moderate Buy” from analysts, reflecting strong confidence in the company’s future performance. According to Marketbeat.com, a total of twelve analysts are currently covering the stock. Of these, three have assigned a hold rating, seven have rated it as buy, and two have given it a strong buy rating. The average twelve-month price target set by analysts who have updated their coverage in the past year stands at $28.40.
Several analysts have recently provided insights on Progyny’s stock. Notably, Canaccord Genuity Group raised its price target on Progyny from $23.00 to $26.00, maintaining a hold rating as of November 17, 2023. Weiss Ratings also reiterated a “hold (c)” rating in a report released on December 29, 2023. Additionally, Barclays initiated coverage on December 8, 2023, offering an “overweight” rating with a target price of $29.00. Furthermore, Zacks Research upgraded Progyny from a hold to a strong buy rating on January 1, 2024, and Truist Financial adjusted its rating from hold to buy, setting a price objective of $34.00 on January 8, 2024.
Investor Activity and Stock Performance
Recent trading activity has seen significant movements among institutional investors in Progyny. Cetera Trust Company N.A. increased its holdings by an impressive 303.1% during the second quarter, now owning 1,310 shares valued at approximately $29,000 after acquiring an additional 985 shares. Similarly, Federated Hermes Inc. raised its position by 147.3% in the third quarter, owning 1,375 shares worth around $30,000 following a purchase of 819 shares. Other investors, such as Versant Capital Management Inc. and Covestor Ltd, also made substantial increases in their holdings during the same period.
Currently, institutional investors hold approximately 94.93% of Progyny’s stock, indicating strong institutional confidence in the company’s performance.
On Wednesday, PGNY stock opened at $24.52. The company’s 50-day moving average stands at $25.69, while the 200-day moving average is $23.20. With a market capitalization of $2.11 billion, Progyny boasts a price-to-earnings ratio of 38.92 and a price-to-earnings-growth ratio of 1.55. The stock has fluctuated between a 52-week low of $17.98 and a high of $28.75.
Financial Results and Future Guidance
Progyny’s financial performance has shown positive trends. The company released its earnings results on November 6, 2023, reporting earnings per share (EPS) of $0.45 for the quarter, surpassing the consensus estimate of $0.39 by $0.06. The firm achieved a net margin of 4.46% and a return on equity of 10.71%. Revenue for the quarter reached $313.35 million, exceeding analyst expectations of $299.23 million. This represents a year-over-year revenue increase of 9.3%, with the previous year recording an EPS of $0.11.
For the fiscal year 2025, Progyny has set a guidance range of $1.790 to $1.820 EPS, with a quarterly target of $0.370 to $0.400 EPS for Q4 2025. Analysts predict an EPS of $0.60 for the current year.
Progyny, based in New York, specializes in fertility benefits management, partnering with employers and health plans to deliver comprehensive family-building programs. The company’s digital health platform combines clinical expertise, patient support tools, and data analytics to assist members throughout their fertility treatment journeys, including in vitro fertilization (IVF), egg freezing, surrogacy, and adoption. By emphasizing outcomes-based care, Progyny aims to enhance success rates while managing costs for its clients. Central to its offerings is the proprietary Smart Cycle® benefit, which integrates clinical, emotional, and logistical support into one package.
