Bullish Options Activity on Cerner Corporation Surges After Better Fundamentals

 Bullish Options Activity on Cerner Corporation Surges After Better Fundamentals

In today’s session Cerner Corporation (CERN) registered an unusually high (515) contracts volume of call trades. Someone, most probably a professional was a very active buyer of the January, 2017 call, expecting serious CERN increase. With 515 contracts traded and 8164 open interest for the Jan, 17 contract, it seems this is a quite bullish bet. The option with symbol: CERN170120C00055000 closed last at: $0.5 or 11.1% up. About 973,024 shares traded hands. Cerner Corporation (NASDAQ:CERN) has declined 13.80% since April 25, 2016 and is downtrending. It has underperformed by 19.81% the S&P500.

Analysts await Cerner Corporation (NASDAQ:CERN) to report earnings on February, 21. They expect $0.57 earnings per share, down 1.72% or $0.01 from last year’s $0.58 per share. CERN’s profit will be $193.40 million for 22.29 P/E if the $0.57 EPS becomes a reality. After $0.55 actual earnings per share reported by Cerner Corporation for the previous quarter, Wall Street now forecasts 3.64% EPS growth.

Cerner Corporation (NASDAQ:CERN) Ratings Coverage

Out of 17 analysts covering Cerner Corporation (NASDAQ:CERN), 12 rate it a “Buy”, 1 “Sell”, while 4 “Hold”. This means 71% are positive. Cerner Corporation has been the topic of 36 analyst reports since August 5, 2015 according to StockzIntelligence Inc. The stock of Cerner Corporation (NASDAQ:CERN) has “Hold” rating given on Wednesday, August 31 by Stifel Nicolaus. The rating was upgraded by Topeka Capital Markets to “Buy” on Tuesday, September 8. RBC Capital Markets downgraded the stock to “Sector Perform” rating in Wednesday, August 5 report. The firm has “Outperform” rating by RBC Capital Markets given on Wednesday, December 2. Oppenheimer maintained it with “Outperform” rating and $85 target price in Wednesday, August 5 report. The firm has “Buy” rating by Bank of America given on Monday, September 19. Avondale initiated the shares of CERN in a report on Wednesday, October 21 with “Market Outperform” rating. Piper Jaffray maintained it with “Overweight” rating and $87 target price in Monday, August 24 report. The rating was upgraded by RBC Capital Markets to “Top Pick” on Thursday, January 7. Jefferies reinitiated Cerner Corporation (NASDAQ:CERN) on Friday, October 16 with “Buy” rating.

According to Zacks Investment Research, “Cerner Corp. designs, develops, markets, installs and supports information technology and content solutions for healthcare organizations and consumers that are capable of being implemented on an individual, combined or enterprise-wide basis and are accessible over the internet by consumers, physicians and healthcare providers. Cerner’s integrated suite of solutions enable healthcare providers to improve operating effectiveness, reduce costs and improve the quality of care as measured by clinical outcomes.”

Insitutional Activity: The institutional sentiment decreased to 1 in 2016 Q2. Its down 0.19, from 1.19 in 2016Q1. The ratio dived, as 55 funds sold all Cerner Corporation shares owned while 203 reduced positions. 71 funds bought stakes while 236 increased positions. They now own 261.84 million shares or 1.43% less from 265.64 million shares in 2016Q1.
Oregon Pub Employees Retirement Fund owns 38,787 shares or 0.05% of their US portfolio. Guardian Life Insur Of America holds 1,127 shares or 0.01% of its portfolio. Jefferies Group Inc Llc last reported 0% of its portfolio in the stock. Barclays Public Ltd Com, a United Kingdom-based fund reported 198,196 shares. South Texas Money Mngmt, a Texas-based fund reported 573,341 shares. Moreover, Pnc Financial Serv Gru has 0.01% invested in Cerner Corporation (NASDAQ:CERN) for 111,880 shares. Cwm Ltd Liability has invested 0.01% of its portfolio in Cerner Corporation (NASDAQ:CERN). Moreover, Bridgewater Lp has 0.04% invested in Cerner Corporation (NASDAQ:CERN) for 54,000 shares. Strs Ohio last reported 0% of its portfolio in the stock. Rfg Advisory Lc accumulated 5,215 shares or 0.27% of the stock. Fieldpoint Private Advisors Inc holds 2.24% or 56,120 shares in its portfolio. Blackrock Institutional Na holds 0.07% of its portfolio in Cerner Corporation (NASDAQ:CERN) for 7.66 million shares. State Board Of Administration Of Florida Retirement System has invested 0.08% of its portfolio in Cerner Corporation (NASDAQ:CERN). Horizon Kinetics Ltd Liability Corporation last reported 0.01% of its portfolio in the stock. Clifford Swan Investment Counsel Ltd Liability Co accumulated 0.22% or 55,429 shares.

Insider Transactions: Since June 1, 2016, the stock had 0 insider purchases, and 9 sales for $73.45 million net activity. Dillman Linda M had sold 6,000 shares worth $388,080. Shares for $3.16M were sold by WILSON JULIE M on Monday, August 8. NAUGHTON MARC G also sold $5.94 million worth of Cerner Corporation (NASDAQ:CERN) shares. Shares for $28.78 million were sold by PATTERSON NEAL L on Friday, August 5. On Wednesday, August 17 the insider ILLIG CLIFFORD W sold $21.20M. 2,000 shares were sold by Battaglioli Michael R., worth $134,680. The insider Nill Michael sold 50,000 shares worth $3.36M.

Cerner Corporation is a supplier of healthcare information technology . The company has a market cap of $17.24 billion. The Firm offers a range of intelligent solutions and services that support the clinical, financial and operational needs of organizations. It has a 26.9 P/E ratio. The Company’s divisions include Domestic and Global.

CERN Company Profile

Cerner Corporation (Cerner) incorporated on October 6, 1986, is a supplier of healthcare information technology (HCIT). The Firm offers a range of intelligent solutions and services that support the clinical, financial and operational needs of organizations. The Company’s divisions include Domestic and Global. The Domestic segment includes the business activity in the United States. The Global segment includes the business activity in Aruba, Australia, Austria, Belgium, Brazil, Canada, Cayman Islands, Chile, Denmark, Egypt, England, Finland, France, Germany, Guam, India, Ireland, Luxembourg, Malaysia, Mexico, Netherlands, Norway, Portugal, Qatar, Romania, Saudi Arabia, Singapore, Slovakia, Spain, Sweden, Switzerland and the United Arab Emirates. The Firm offers software, hardware, professional and managed services. The Firm has systems in over 20,000 facilities across the world, including hospitals, physician practices, laboratories, ambulatory centers, behavioral health centers, cardiac facilities, radiology clinics, surgery centers, extended care facilities, retail pharmacies and employer sites.

Another recent and important Cerner Corporation (NASDAQ:CERN) news was published by Fool.com which published an article titled: “Cerner Corporation Disappoints in Q3 With Weak System Sales” on November 02, 2016.

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