Bank of America Maintains Buy, $35 Target on HMS Holdings

Bank of America reiterates its Buy rating and $35 target price on HMS Holdings

as Louisiana RFO scores show intact competitive advantage. BofA says, “We tracked down Louisiana Medicaid third party liability RFP scores through a FOIA request to assess HMSY's current competitive position in the market. Recall HMSY recently retained this contract, which it has held since 1985, through June 30, 2014. Sure enough, it won every quality metric in the RFP evaluation criteria against Ingenix and Sagebrush (see Table 1). We keep HMSY on our US1 List and remain bullish on its growth prospects hunting fraud, waste and abuse in a health care system more complex by the day.” HMSY closed at $30.82 per share on Tuesday.