Houghton Mifflin Harcourt (NASDAQ:HMHC) Rating Increased to Buy at Zacks Investment Research

Zacks Investment Research upgraded shares of Houghton Mifflin Harcourt (NASDAQ:HMHC) from a hold rating to a buy rating in a research report sent to investors on Wednesday morning, Zacks.com reports. The brokerage currently has $2.50 target price on the business services provider’s stock.

According to Zacks, “Houghton Mifflin Harcourt Company is a global provider of education solutions, delivering content, technology, services and media to students in over 150 countries worldwide. The Company delivers its offerings to both educational institutions and consumers. It provides kindergarten through twelfth grade, or K-12, educational content in the United States. The Company, through its subsidiary, provides print and electronic textbook curriculum, learning content, and assessment tools and services. Houghton Mifflin Harcourt Company is headquartered in Boston, Massachusetts. “

Several other research analysts have also recently issued reports on the company. BidaskClub raised Houghton Mifflin Harcourt from a sell rating to a hold rating in a research note on Saturday, July 18th. Citigroup cut Houghton Mifflin Harcourt from a buy rating to a sell rating and dropped their price objective for the stock from $7.50 to $1.00 in a research note on Friday, April 3rd. Morgan Stanley dropped their price objective on Houghton Mifflin Harcourt from $6.50 to $2.00 and set an equal weight rating on the stock in a research note on Friday, April 17th. Finally, BMO Capital Markets reissued a hold rating and issued a $3.00 price objective on shares of Houghton Mifflin Harcourt in a research note on Sunday, July 5th. One investment analyst has rated the stock with a sell rating, four have issued a hold rating and two have given a buy rating to the company. The company has a consensus rating of Hold and an average price target of $2.13.

HMHC opened at $2.96 on Wednesday. The stock’s 50 day moving average price is $1.99 and its 200-day moving average price is $3.04. Houghton Mifflin Harcourt has a one year low of $1.03 and a one year high of $6.85. The company has a quick ratio of 0.67, a current ratio of 1.10 and a debt-to-equity ratio of 3.45.

Houghton Mifflin Harcourt (NASDAQ:HMHC) last released its earnings results on Thursday, May 7th. The business services provider reported ($0.67) EPS for the quarter, beating analysts’ consensus estimates of ($0.80) by $0.13. The firm had revenue of $189.93 million for the quarter, compared to analysts’ expectations of $180.78 million. Houghton Mifflin Harcourt had a negative return on equity of 26.13% and a negative net margin of 31.92%. Equities analysts forecast that Houghton Mifflin Harcourt will post -1.18 earnings per share for the current year.

A number of institutional investors have recently bought and sold shares of the business. Amalgamated Bank lifted its holdings in Houghton Mifflin Harcourt by 11.3% during the fourth quarter. Amalgamated Bank now owns 16,824 shares of the business services provider’s stock worth $105,000 after buying an additional 1,708 shares during the period. Envestnet Asset Management Inc. lifted its holdings in Houghton Mifflin Harcourt by 26.0% during the fourth quarter. Envestnet Asset Management Inc. now owns 16,327 shares of the business services provider’s stock worth $102,000 after buying an additional 3,368 shares during the period. Credit Suisse AG lifted its holdings in Houghton Mifflin Harcourt by 4.6% during the fourth quarter. Credit Suisse AG now owns 82,123 shares of the business services provider’s stock worth $513,000 after buying an additional 3,597 shares during the period. Victory Capital Management Inc. lifted its holdings in Houghton Mifflin Harcourt by 26.9% during the fourth quarter. Victory Capital Management Inc. now owns 26,943 shares of the business services provider’s stock worth $168,000 after buying an additional 5,713 shares during the period. Finally, Macquarie Group Ltd. lifted its holdings in Houghton Mifflin Harcourt by 4.6% during the fourth quarter. Macquarie Group Ltd. now owns 162,396 shares of the business services provider’s stock worth $1,015,000 after buying an additional 7,127 shares during the period. Institutional investors own 96.36% of the company’s stock.

Houghton Mifflin Harcourt Company Profile

Houghton Mifflin Harcourt Company, a learning company, provides curriculum, supplemental, and intervention solutions; and professional learning services worldwide. The company operates in two segments, Education and Trade Publishing. The Education segment provides educational products, technology platforms, and services, including print and digital content in the form of textbooks, digital courseware, instructional aids, educational assessment, and intervention solutions for students.

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