Stock Price & Analysis

Based on the analysis of PINC stock, it is currently trading near its Fibonacci pivot level with mixed technical indicators. The stock shows a neutral RSI of 53.76 and a slightly bearish MACD, suggesting a hold position.

The Fibonacci levels indicate a potential resistance at 19.01 and support at 18.00. Analysts have maintained a Hold rating with a price target of $19, reflecting limited upside potential.

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Considering the current technical setup and analyst consensus, it is recommended to hold the stock until a clearer trend emerges.

Price Prediction for PINC Stock in 2025

PINC stock is expected to reach $19 by the end of 2025, driven by its share repurchase program and stable dividend yield. The stock currently trades at $18.95, with a 4.78% dividend yield, making it attractive for income investors. Recent analyst price targets suggest a modest upside of 5%.

The S1 support level for PINC Stock is $18.49 ,The R1 resistant level for PINC Stock is $19.46.

As of the end of day on 2025-04-02, the price of PINC Stock was $19.58.

The target price for PINC Stock according to analyst rating is 19.10, with the highest price target at 22.50 and the lowest at 16.00. Analysts have a Hold rating on PINC Stock overall.

The market cap of PINC is $1.8B.

Analysis and Insights

To determine if Premier Inc (PINC) is overvalued, we analyze its valuation metrics, technical indicators, and market sentiment.

Valuation Metrics:

PINC's valuation metrics show mixed signals. The stock has an EV/EBITDA ratio of 12.3x, which is higher than the industry average, suggesting potential overvaluation. However, the price-to-sales (PS) ratio is 0.4x, indicating undervaluation relative to its revenue. The price-to-book (PB) ratio is 1.8x, in line with industry standards.

Technical Analysis:

The stock recently entered oversold territory with an RSI of 29.6, signaling a potential buying opportunity. However, the stock price has rebounded slightly to $18.95, reflecting some recovery from its lows.

Market Sentiment and Analyst Ratings:

Analysts have maintained a 'Hold' rating with a price target of $19, indicating limited upside potential. The company's share repurchase program is a positive sign, reflecting confidence in its valuation.

Dividend Yield:

PINC offers a dividend yield of 4.78%, making it attractive for income-focused investors despite the stock's volatility.

Conclusion:

While PINC's high EV/EBITDA ratio raises overvaluation concerns, its PS and PB ratios suggest otherwise. Analysts lean toward a 'Hold' rating, and the stock's technical indicators show recovery from oversold levels. PINC is likely fairly valued, with its dividend yield supporting its appeal.

Premier, Inc. is a healthcare improvement company uniting an alliance of approximately 4,350 United States hospitals and health systems and approximately 300,000 other providers and organizations. It operates through two segments: Supply Chain Services and Performance Services. The Supply Chain Services segment includes the Company’s group purchasing organizations (GPO), supply chain co-management, purchased services, and direct sourcing activities. The Performance Services segment consists of three sub-brands, which include PINC AI, the Company’s technology and services platform; Contigo Health, the Company’s direct-to-employer business; and Remitra, the Company’s digital invoicing and payables business. It delivers technology-enabled platform that offers critical supply chain services, clinical, financial, operational and value-based care software as a service (SaaS) as well as clinical and enterprise analytics licenses, consulting services, and third-party administrator services.

Premier Inc. (PINC) stock is expected to reach $28 - $32 by 2030, driven by its strong position in healthcare technology and services. The company's focus on innovation and expansion in the healthcare sector supports this growth. Current trends and financial performance suggest moderate upside potential over the next five years.

PINC has a total of 2800 employees.