Exploring Tabula Rasa HealthCare, Inc. (TRHC) Investor Profile: Who’s Buying and Why?

Who Invests in Tabula Rasa HealthCare, Inc. (TRHC) and Why?

Who Invests in Tabula Rasa HealthCare, Inc. (TRHC) and Why?

Investing in Tabula Rasa HealthCare, Inc. (TRHC) attracts a diverse group of investors, notably retail investors, institutions, and hedge funds. Understanding who these investors are and what motivates them can provide valuable insights into the stock's dynamics.

Key Investor Types

• Retail Investors: Represent approximately 30% of TRHC's shareholder base.
• Institutional Investors: Make up about 65% of ownership, with significant presence from mutual funds and pension funds.
• Hedge Funds: Account for roughly 5% of total shares, often engaging in short-term trading strategies.

Investment Motivations

Investors are drawn to TRHC for several key reasons:

• Growth Prospects: Analysts project a revenue growth rate of 20% annually in the next five years.
• Strong Market Position: TRHC holds a competitive advantage in medication management services, currently serving over 1 million patients.
• Strategic Acquisitions: The company has made significant acquisitions that have contributed to a 35% increase in total service lines since 2020.

Investment Strategies

Investors employ various strategies when considering TRHC:

• Long-term Holding: About 40% of institutional investors prefer a buy-and-hold strategy, betting on the company's sustained growth.
• Short-term Trading: Hedge funds lean towards a short-term trading approach, with an average holding period of under 6 months.
• Value Investing: Approximately 25% of institutional investors actively seek undervalued stocks within the healthcare sector, viewing TRHC as a potential turnaround story.

Investor Holdings Overview

The diverse investment landscape surrounding Tabula Rasa HealthCare reflects a mix of motivations, strategies, and investor types, impacting the company's market behavior significantly.

Institutional Ownership and Major Shareholders of Tabula Rasa HealthCare, Inc. (TRHC)

Institutional Ownership and Major Shareholders of TRHC

As of the latest reports, institutional ownership of Tabula Rasa Healthcare, Inc. (TRHC) reveals significant backing from various large institutional investors. The following table highlights the top institutional investors and their respective shareholdings in TRHC:

Recently, changes in ownership have been noted among these institutional investors. According to the latest filings:

• BlackRock, Inc. has increased its stake by 5.2% over the past quarter.
• The Vanguard Group has also raised its holdings by 3.9% recently.
• Wellington Management Co. has reduced its ownership by 2.5% since the last reporting period.
• Clearbridge Investments increased its stake by 4.1%, indicating continued confidence.
• Dimensional Fund Advisors maintained its position with no significant changes.

The role of these institutional investors in TRHC's stock price and strategy is profound. Institutional investors can influence stock prices through their buying and selling activities, often leading to greater volatility as they react to market stimuli. Their presence can also enhance the company’s credibility, as having renowned institutional investors can positively impact investor sentiment and attract further capital.

Moreover, these investors typically engage with management regarding strategic decisions, which can influence the company’s direction and operational strategies. For example, BlackRock's recent increase in ownership aligns with a broader trend of institutional focus on healthcare companies, indicating a positive outlook for TRHC within this sector.

Key Investors and Their Influence on Tabula Rasa HealthCare, Inc. (TRHC)

Key Investors and Their Impact on Stock

Tabula Rasa HealthCare, Inc. (TRHC) has attracted various key investors who play a significant role in shaping the company's direction and affecting its stock price. Here’s a detailed look at some of these notable investors and their influence.

Notable Investors

• BlackRock, Inc.
• Vanguard Group, Inc.
• Wellington Management Company, LLP
• Winton Group, LLC

Investor Influence

Key investors like BlackRock and Vanguard hold substantial stakes in TRHC, often influencing the company's strategic decisions through shareholder voting. For instance, BlackRock owned approximately 10.8% of TRHC in 2023, while Vanguard held around 9.6%. Their investment philosophies often push for enhanced transparency and operational efficiency, affecting stock movements positively when performance metrics improve.

Recent Moves

In recent months, BlackRock increased its position, adding over 100,000 shares in Q3 2023. Conversely, Wellington Management sold 250,000 shares, reducing their stake to about 7.2% as of the end of Q2 2023, signaling a shift in their investment strategy.

The actions taken by these key investors are critical, not just for TRHC's operational strategies but also for overall market sentiment regarding the stock. Investor moves can signal confidence or concern, impacting trading volumes and stock price fluctuations.

Market Impact and Investor Sentiment of Tabula Rasa HealthCare, Inc. (TRHC)

Market Impact and Investor Sentiment

Investor sentiment toward Tabula Rasa HealthCare, Inc. (TRHC) has shown signs of fluctuation, mainly reflecting the recent shifts in ownership and market conditions. Currently, major shareholders have a neutral outlook on the company, influenced by macroeconomic factors and specific company performance metrics.

Recent market reactions indicate a significant response to changes in major investor positions. For instance, in the past year, TRHC's stock price has experienced a decline of approximately 36%, largely connected to the strategic decisions of institutional investors. In December 2022, when a significant hedge fund divested 10% of its stake, TRHC's stock fell by 12% within a week.

Analysts have been assessing the impact of key investors on TRHC's future performance. A noteworthy report from a leading investment firm in August 2023 indicated that TRHC's price target was adjusted to $8.50, down from a previous estimate of $12.00, due to concerns over competition in the healthcare software sector and investor uncertainty. Analysts have expressed worries that without renewed investor confidence, the share price could further decline.

The table illustrates the diverse ownership breakdown and sentiment levels among key investor categories, emphasizing their potential influence on TRHC's market performance. Understanding these dynamics is crucial for forecasting future stock movements and making informed investment decisions.