Select Medical jumps on $16.50-per-share take-private agreement

Select Medical Holdings Corporation (SEM) is up 8.2% today. Here is some analysis on what might have caused this price movement.

Analysis: The stock rose after Select Medical announced a definitive agreement to be acquired in a take-private transaction at a fixed cash price, which typically pulls the trading price toward the deal value. The move likely reflects merger-arbitrage positioning around the $16.50 per share consideration and the market’s view of closing risk and timing.

Details:

Select Medical entered into a merger agreement where a consortium led by Executive Chairman and co-founder Robert A. Ortenzio, Senior Executive Vice President Martin F. Jackson, and WCAS will buy the shares they do not already own for $16.50 in cash.

The company described the transaction as implying an enterprise value of about $3.9 billion and said it was approved by the disinterested members of the board following a review by a special committee of independent directors.

Select Medical indicated the deal is expected to close in mid-2026, subject to customary conditions including approvals from unaffiliated shareholders and required regulatory clearances.

The company noted certain insiders plan to roll over equity instead of taking cash, and it said the merger is not subject to a financing condition.

Sources:

Select Medical Holdings Corporation, U.S. Securities and Exchange Commission, GuruFocus

Disclaimer: This price movement analysis was generated with the help of AI. Please double-check the information provided for mistakes.

$SEM Hedge Fund Activity

We have seen 131 institutional investors add shares of $SEM stock to their portfolio, and 171 decrease their positions in their most recent quarter.

Here are some of the largest recent moves:

PRINCIPAL FINANCIAL GROUP INC removed 1,907,815 shares (-78.4%) from their portfolio in Q4 2025, for an estimated $28,331,052
T. ROWE PRICE INVESTMENT MANAGEMENT, INC. removed 1,783,236 shares (-62.4%) from their portfolio in Q4 2025, for an estimated $26,481,054
8 KNOTS MANAGEMENT, LLC removed 1,750,188 shares (-100.0%) from their portfolio in Q3 2025, for an estimated $22,472,413
MILLENNIUM MANAGEMENT LLC removed 1,042,186 shares (-65.5%) from their portfolio in Q4 2025, for an estimated $15,476,462
WESTERN STANDARD LLC added 1,008,664 shares (+95.6%) to their portfolio in Q4 2025, for an estimated $14,978,660
EVERSEPT PARTNERS, LP added 906,100 shares (+inf%) to their portfolio in Q4 2025, for an estimated $13,455,585
ALGERT GLOBAL LLC added 842,847 shares (+996.9%) to their portfolio in Q4 2025, for an estimated $12,516,277

To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.

$SEM Government Contracts

We have seen $149,129 of award payments to $SEM over the last year.

Here are some of the awards which we have have seen pay out the most over the last year:

PROSTHETIC LIMB: $53,422
AVIATION SECURITY OFFICERS (ASOS) FIT-FOR-DUTY MEDICAL EXAMS, DRUG SCREENING AND TB SKIN TESTING FOR OKLAHO...: $20,500
PROSTHETIC LIMB: $19,427
EXPRESS REPORT: LEFT AK SOCKET REPLACEMENT: $12,697
EXPRESS REPORT: FIRST LEG RIGHT BK: $12,493

To track government contracts to publicy traded companies, check out Quiver Quantitative's government contracts dashboard.

$SEM Analyst Ratings

Wall Street analysts have issued reports on $SEM in the last several months. We have seen 2 firms issue buy ratings on the stock, and 0 firms issue sell ratings.

Here are some recent analyst ratings:

RBC Capital issued a "Outperform" rating on 10/08/2025
B of A Securities issued a "Buy" rating on 09/10/2025

To track analyst ratings and price targets for $SEM, check out Quiver Quantitative's $SEM forecast page.

$SEM Price Targets

Multiple analysts have issued price targets for $SEM recently. We have seen 2 analysts offer price targets for $SEM in the last 6 months, with a median target of $15.75.

Here are some recent targets:

Ben Hendrix from RBC Capital set a target price of $16.5 on 03/03/2026
Joanna Gajuk from B of A Securities set a target price of $15.0 on 09/10/2025

This article is not financial advice. See Quiver Quantitative's disclaimers for more information. Note that there may be inaccuracies due to mistakes in ticker-mapping, and other anomalies.