Should Investors Be Buying Cepheid (NASDAQ:CPHD) Shares? Needham Upgrades The Stock

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Cepheid (NASDAQ:CPHD) Stock Upgrade

In an analyst research report disseminated earlier today, Needham hiked Cepheid (NASDAQ:CPHD) shares to a solid “Buy” rating from their previous “Hold” rating and they currently have a $44.0 target on shares. Needham’s target would indicate a possible upside of 31.78% over the current price of the stock.

From a total of 16 analysts covering Cepheid (NASDAQ:CPHD) stock, 11 rate it a ”Buy”, 0 a “Sell”, and 10 a ”Hold”. This means that 52% of the ratings are positive. The highest target price is $62 while the lowest target price is $32.5. The mean of all analyst targets is $42.41 with a 24.44% above today’s ($33.39) stock price. Cepheid was the topic of 25 analyst reports since July 24, 2015 according to the firm StockzIntelligence Inc. Wells Fargo downgraded shares on December 2 to “Market Perform” rating. Needham maintained shares with “Buy” rating and $47 target share price in a report from an October 14. Needham downgraded CPHD stock in a recent report from October 21 to “Hold” rating. Finally, Mizuho maintained the stock with “Buy” rating in a report issued on an October 21.

The stock increased 4.87% or $1.55 during the last trading session, striking $33.39. Approximately shares of stock traded hands. Cepheid (NASDAQ:CPHD) has declined 42.53% since May 14, 2015 and is downtrending. It has underperformed by 40.27% the S&P500.

The overall sentiment of institutions has decreased to 1.02 in Q2 2015. Its down 0.43, from 1.45 in 2015Q2. The ratio dived, as 40 institutions have sold all the shares of Cepheid that they owned while 75 funds have taken shares off the table. 31 funds have purchased shares for the first time while 86 added to their positions. These institutions now hold 84.30 million shares or 20.58% more than the 69.91 million shares they owned in 2015Q2.

The Fund Blue Jay Capital Management Llc currently is holding shares equating to 5.48% of its total portfolio in Cepheid representing a total of 308,909 shares. Another fund,Riverbridge Partners Llc, is holding a total of 3.89 million shares equating to 3.62% of their holdings. Additionally, Opus Point Partners Management Llc has a 90,000 share stake in Cepheid which represents 2.25% of their total portfolio. The Fund, Decade Capital Management Llc, based out of New York, has also built up a stake in the stock, which represents a total of 2.01% of their total portfolio. Finally Tamro Capital Partners Llc, a fund which is based in the state of Virginia reported a total holdings of 387,827 shares.

Insider activity is a very important aspect to track on any stock. Going back to March 23, 2015, shareholders of Cepheid have witnessed 0 buys, and a total of 7 selling transactions equating to a net activity of approximately $4.17 million . Kocmond Warren C Jr sold 175 shares worth approximately $5,250. Farrell Peter V. sold 393 shares worth approximately $19,933. Flom Kerry sold 67,540 shares worth approximately $3.46 million. Gutshall Thomas L sold 1,800 shares worth approximately $101,912. The company insider Bishop John L sold 100,000 shares worth $5.52M.

Cepheid is a molecular diagnostics company. The company has a market cap of $2.30 billion. The Firm develops, makes and markets fully-integrated systems for testing in the clinical market and non-clinical markets. It currently has negative earnings. The Company’s systems enable molecular testing for organisms and genetic diseases.

According to Zacks Investment Research, “Cepheid, Inc. develops, manufactures and markets microfluidic systems that integrate, automate and accelerate biological testing. Their systems are miniaturized instruments that analyze complex biological samples in a disposable cartridge by combining molecular biology with microfluidic technology that processes small quantities of liquid, typically using components fabricated with computer chip technology. These systems rapidly perform all of the steps required to analyze complex biological samples.”

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