Shares of Neogen Corporation (NASDAQ:NEOG) have garnered an average recommendation of “Hold” from six brokerage firms currently covering the company, according to a report by Marketbeat.com. The assessment reflects a mix of opinions, with one analyst issuing a sell recommendation, three recommending a hold, and two suggesting a buy.
The consensus target price for Neogen’s stock over the next year stands at approximately $8.83. Recent evaluations from various research analysts shed light on the differing views regarding the company’s future performance. On October 16, 2023, Piper Sandler set a price target of $6.50 for Neogen, assigning it a “neutral” rating. Conversely, Wall Street Zen upgraded the stock from “hold” to “buy” in a report dated December 13, 2023. In August, Zacks Research elevated Neogen from a “strong sell” to a “hold” rating, indicating a shift in sentiment.
Additionally, CJS Securities recently raised Neogen’s rating from “market perform” to “outperform,” setting a price target of $10.00 on December 10, 2023. In contrast, Weiss Ratings reiterated a “sell (d-)” rating on the shares in a report released on Monday.
Institutional Investors Increase Holdings
Recent activity among institutional investors reveals a growing interest in Neogen. Notably, LPL Financial LLC increased its position in Neogen by 7.6% during the first quarter, now holding 192,759 shares valued at approximately $1.57 million. Similarly, Vanguard Group Inc. raised its stake by 8.8%, acquiring an additional 1,912,877 shares, bringing its total to 23,550,128 shares worth around $204.18 million.
Furthermore, Charles Schwab Investment Management Inc. boosted its holdings by 8.4%, owning 2,235,459 shares valued at $19.38 million after adding 173,532 shares. The Maryland State Retirement & Pension System also made a new investment in Neogen valued at $500,000 during the same period. Meanwhile, Invesco Ltd. expanded its stake by a significant 35.9%, now owning 870,824 shares worth around $7.55 million.
Overall, institutional investors and hedge funds control approximately 96.73% of Neogen’s stock, indicating a strong confidence in the company’s future.
Company Overview and Market Position
Neogen Corporation, along with its subsidiaries, specializes in developing, manufacturing, and marketing products and services aimed at ensuring food and animal safety across the globe. The company operates through two main segments: Food Safety and Animal Safety.
The Food Safety segment provides diagnostic test kits that detect harmful substances in food and animal feed, addressing issues such as foodborne pathogens, spoilage organisms, and pesticide residues. Among its offerings is the AccuPoint Advanced rapid sanitation test, designed to detect adenosine triphosphate (ATP), a marker for living cells. Neogen also supplies genomics-based diagnostic technology and software systems, enabling users to analyze and store testing results efficiently.
As Neogen continues to navigate the market, analysts and investors alike are keeping a close eye on its performance and strategic developments.
