The Pennant Group, Inc. (PNTG) suffered a 5.6% plummet in its stock price on Friday's pre-market trading session, despite meeting analysts' expectations for the fourth quarter of 2024. The healthcare facilities and services provider reported adjusted earnings of $0.24 per share, in line with the consensus estimate of $0.24.
However, the company's revenue growth of 29.4% year-over-year to $188.89 million fell short of market expectations, which were looking for $185.83 million. This lackluster revenue growth, coupled with the stock's recent underperformance, with a 3.7% decline this quarter, appears to have contributed to the selloff.
Despite the plummet, analysts remain optimistic about Pennant Group, with a consensus "buy" rating and a median 12-month price target of $37.00. However, the market's reaction suggests that investors were not entirely satisfied with the company's performance and growth prospects.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.