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Should You Buy the Dip in MultiPlan Corp.?

Published 10/27/2021, 12:23 PM
Updated 10/27/2021, 01:00 PM
© Reuters.  Should You Buy the Dip in MultiPlan Corp.?

Shares of software company MultiPlan (MPLN) have declined in price significantly year-to-date. So, is it wise to buy the stock now based on its strength and expansion strategies? Read on to find out. MultiPlan Corporation (MPLN), which is headquartered in New York City, is a leading value-added provider of data analytics and technology-enabled end-to-end cost management solutions to the U.S. healthcare industry. It recently announced a $250 million share repurchase program, reflecting its business and cash flow strength. Furthermore, it has completed the expansion of its Payment and Revenue Integrity services.

However, the stock has declined 19.9% in price over the past month and 39.5% over the past three months to close yesterday’s trading session at $4.74.

In addition, it is currently trading 51.7% below its 52-week high of $9.82, which it hit on December 18, 2020. Moreover, it is currently trading below its 50-day and 200-day moving averages of $5.51 and $7.02, respectively, indicating a downtrend.

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