Market Overview

UPDATE: Oppenheimer Initiates Laboratory Corporation of America Holdings at Perform on Industry Headwinds

Share:
Related LH
A Quick-And-Easy Guide To All The Calls At Ira Sohn 2016
Mid-Morning Market Update: Markets Open Lower; Xerox Profit Misses Views

Oppenheimer initiated coverage on Laboratory Corporation of America Holdings (NYSE: LH) with a Perform rating.

Oppenheimer commented, "As the most efficient testing provider, we believe LH is best positioned to absorb the mandated reimbursement cuts and expected future cuts. We also view the company's esoteric business with the acquired genetic counselors as a key point of differentiation. With that said, the industry headwinds cause us to rate the shares Perform. In particular, we believe the 2% sequestration cut will likely be expanded. On the volume front, our survey work points to hospitals continuing to shift volume to their own outpatient and outreach labs. The company's strong cash provides flexibility to deliver shareholder value but we await the results of round two of the fiscal cliff negotiations."

Laboratory Corporation of America Holdings closed at $88.66 on Monday.

Latest Ratings for LH

DateFirmActionFromTo
Apr 2016BarclaysMaintainsOverweight
Apr 2016UBSMaintainsNeutral
Apr 2016Canaccord GenuityMaintainsBuy

View More Analyst Ratings for LH
View the Latest Analyst Ratings

Posted-In: OppenheimerAnalyst Color Initiation Analyst Ratings

 

Related Articles (LH)

View Comments and Join the Discussion!