Catalent (NYSE:CTLT) Receives Lower Rating From Raymond James. What’s The Reasoning Behind This Move?

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Catalent (NYSE:CTLT) Receives a Downgrade

The Equity Rating of Catalent (NYSE:CTLT) rating was cut by stock research analysts at Raymond James from the previous “Outperform” rating to a “Mkt Perform” rating in an interesting research report sent to investors and clients on Wednesday, 9 December.

From a total of 8 analysts covering Catalent (NYSE:CTLT) stock, 7 rate it a ”Buy”, 0 a “Sell”, and 3 a ”Hold”. This means that 70% of the ratings are positive. The highest target price is $36 while the lowest target price is $26. The mean of all analyst targets is $31.31 with a 27.40% above today’s ($25.51) stock price. Catalent was the topic of 5 analyst reports since September 3, 2015 according to the firm StockzIntelligence Inc. Deutsche Bank maintained shares on November 4 with “Hold” rating. Bank of America maintained CTLT stock in a recent report from September 3 with “Buy” rating.

Approximately 136,212 shares of stock traded hands. Catalent Inc (NYSE:CTLT) has declined 6.08% since May 6, 2015 and is downtrending. It has underperformed by 5.28% the S&P500.

The overall sentiment of institutions has decreased to 2.02 in Q2 2015. Its down 1.92, from 3.94 in 2015Q2. The ratio is negative, as 23 institutions have sold all the shares of Catalent Inc that they owned while 39 funds have taken shares off the table. 49 funds have purchased shares for the first time while 76 added to their positions. These institutions now hold 133.53 million shares or 44.16% less than the 239.11 million shares they owned in 2015Q2.

The Fund Aisling Capital Llc currently is holding shares equating to 3.06% of its total portfolio in Catalent Inc representing a total of 715,673 shares. Another fund,Blackstone Group L.P., is holding a total of 25.89 million shares equating to 2.02% of their holdings. Additionally, Mesirow Financial Investment Management Us Value Equity has a 180,521 share stake in Catalent Inc which represents 1.23% of their total portfolio. The Fund, Broadview Advisors Llc, based out of Wisconsin, has also built up a stake in the stock, which represents a total of 0.77% of their total portfolio. Finally Vaughan Nelson Investment Management L.P., a fund which is based in the state of Texas reported a total holdings of 1.99 million shares.

Insider activity is a very important aspect to track on any stock. Going back to March 31, 2015, shareholders of Catalent Inc have witnessed 0 insider purchases, and a total of 4 selling transactions equating to a net activity of approximately $4.11 million . Chiminski John R sold 38,505 shares worth approximately $1.30M. Walsh Matthew M sold 27,172 shares worth approximately $847,223. Blackstone Management Associates V L.L.C. sold 1.84M shares worth approximately $51.90M. Houlton Scott sold 16,253 shares worth approximately $497,504. The company insider Leonard Stephen sold 31,005 shares worth $934,181.

Catalent, Inc. is a provider of advanced delivery technologies and development solutions for drugs, biologics and consumer health products. The company has a market cap of $3.18 billion. The Company’s divisions include Oral Technologies, Medication Delivery Solutions, and Development and Clinical Services. It has 13.36 P/E ratio. The Oral Technologies segment provides advanced oral delivery technologies, including formulation, development and manufacturing of oral dose forms for prescription and consumer health products across all phases of a molecule’s lifecycle.

According to Zacks Investment Research, “Catalent, Inc. provides advanced delivery technologies and development solutions for drugs, biologics and consumer health products. It operates through Oral Technologies, Medication Delivery Solutions, and Development & Clinical Services. The Oral Technologies segment address the full diversity of the pharmaceutical industry including small molecules, large molecule biologics and consumer health products. The Medication Delivery Solutions segment offers formulation, development, and manufacturing services for delivery of drugs and biologics administered through injection, inhalation, and ophthalmic routes. The Development and Clinical Services segment provides manufacturing, packaging, storage, and inventory management services for drugs and biologics in clinical trials. Catalent, Inc. is headquartered in Somerset, New Jersey.” Get a free copy of the Zacks research report on Catalent Inc (CTLT).

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