Morgan Stanley Sees LifePoint Hospitals as Riding Medicaid Expansion in 2014

In a report published Tuesday, Morgan Stanley analyst Andrew Schenker reiterated an Equal-Weight rating on

. In the report, Morgan Stanley noted, “LPNT expects 2014 Adj. EBITDA of $560M to $590M inclusive of reform which implies growth of 4.3% to 9.9% Y/Y. Guidance compares with MS estimates of $582M and consensus of $585M. Adj. EPS is expected to come in between $2.38 to $2.78 per share, excluding a newly authorized $150M repurchase program set to begin post completion of the current program. We note MS estimate of $2.71 assumes $75M of the new program is completed in 2014.” LifePoint Hospitals closed on Friday at $48.46.