UPDATE: Stifel Nicolaus Upgrades Healthcare Services Group to Buy with $21 PT as Selloff Creates Opportunity

Stifel Nicolaus raises its rating on Healthcare Services

from Hold to Buy and establishes a price target of $21. Stifel Nicolaus notes, "We are raising our investment rating for Healthcare Services Group (HCSG) from Hold to Buy. The shares were down 8.4% yesterday (vs. the S&P 500 index up 0.1% and the Morgan Stanley Healthcare Providers Index (RXH) up 1.1%) on an unfavorable research report. We view the company's growth story as intact, and believe the selloff affords investors an attractive entry point for a company positioned to benefit from the continuing turmoil in healthcare regulation and reimbursement." HCSG closed at $18.58 on Monday.