Select Medical's 15min chart shows MACD Death Cross, Bearish Marubozu.

Select Medical's 15-minute chart has triggered a MACD Death Cross and a Bearish Marubozu at 08/18/2025 14:00, suggesting that the stock price has the potential to continue declining, with sellers dominating the market and a bearish momentum likely to persist.

Select Medical's (NYSE: SEM) 15-minute chart has exhibited significant bearish indicators, suggesting a potential continuation of its downward trajectory. On August 18, 2025, at 14:00, the chart triggered a MACD Death Cross and a Bearish Marubozu, signaling a shift in market sentiment towards sellers. These technical indicators suggest that the stock price may continue to decline, with a bearish momentum likely to persist.

The MACD Death Cross occurs when the MACD line crosses below the signal line, indicating a change in market sentiment from buyers to sellers. Similarly, the Bearish Marubozu candlestick pattern, characterized by a long body without any upper or lower wicks, suggests strong selling pressure with no reversal. These technical indicators, combined with the recent downward movement of the stock price, point to a bearish trend.

In addition to these technical indicators, Mizuho Financial Group has recently lowered its price target on Select Medical from $21.00 to $18.00, while maintaining an Outperform rating [1]. The price target reduction follows what Mizuho described as "disappointing" second-quarter 2025 earnings, with the company’s critical illness recovery hospital (LTCH) segment facing continued pressure from the Medicare high-cost outlier threshold and the 20% transmittal rule [1][2]. Despite these challenges, the company maintains profitability with $81.1 million in net income over the last twelve months [1].

Select Medical's inpatient rehabilitation (IRF) segment has been highlighted as a bright spot in the company’s operations, noted to be a highlight in the overall business [1][2]. The firm maintained its 2025-2027 estimates for Select Medical, expressing confidence that hospital operators should eventually adjust better to the higher Medicare outlier environment [1][2].

The market's current state of paralysis, awaiting the quarterly results of major companies such as ICICI Bank, HDFC Bank, and Reliance Industries, scheduled for release this weekend, may further exacerbate volatility [3]. These recent developments highlight the company’s performance and analyst perspectives. Investors are advised to exercise caution and diligent risk management in the face of these bearish indicators.

References:
[1] https://ng.investing.com/news/analyst-ratings/mizuho-lowers-select-medical-stock-price-target-to-18-on-ltch-segment-pressure-93CH-2054324
[2] https://za.investing.com/news/analyst-ratings/mizuho-lowers-select-medical-holdings-stock-price-target-on-ltch-segment-pressure-93CH-3831403
[3] https://www.ainvest.com/news/select-medical-15min-chart-shows-bearish-kdj-death-cross-marubozu-2508/