Stock Alert: Computer Programs And Systems Rises 14%

(RTTNews) - Shares of healthcare IT solutions provider Computer Programs and Systems, Inc. (CPSI) climbed $3.94 or 14.13% after reporting better-than-estimated fourth-quarter results.

The Company also announced a quarterly cash dividend of $0.10 per share, payable on March 6, to stockholders of record on February 21.

Yesterday, the stock touched a new high of $35.78, before closing at $31.82. CPSI gained more than 50% gain in the last four months.

Net income for the fourth quarter increased to $11.2 million, or $0.78 per share, from $7.6 million, or $0.54 per share, in the same quarter a year ago. Analysts polled by Thomson Reuters expected the company to report earnings of $0.70 per share.

Revenue for the quarter, however, decreased to $70.6 million from $72.3 million in the prior-year quarter. Analysts were expecting $70.33 million.

For the full-year, CPSI expects revenue to be in the range of $280 to $290 million. The Street expectation stands at $281.64 million.

Matt Chambless, chief financial officer of CPSI, stated, "The fourth quarter ended with solid metrics across the board, including a record $18.1 million of operating cash flows for the period, bringing full-year operating cash flows to nearly double the amount from 2018. With a strong pipeline of new business opportunities, a growing recurring revenue base, and a comfortable leverage profile with ample capacity to deploy capital, we are well-positioned for future growth and increasing shareholder value."