Ensign Group Trading Higher Off JMP Model Update

Shares of The Ensign Group, Inc. ENSG were trading up 5 percent after JMP analyst Peter Martin maintained a Market Perform rating on the stock and updating his model.

Martin raised his FY15 EPS estimates from $1.27-$1.28 per share, as well as a FY16 EPS from $1.41-$1.46 per share. He said the raise in bottom-line estimates reflects the firm's speculation that Ensign Group will raise 2016 top-line post-acquisition guidance, while making no change to current EPS range of $1.44-$1.51.

Providing more color on the company, Martin stated, "ENSG deserves a valuation premium of one turn relative to peers given its low leverage and proven turnaround business model; however, post-acute and senior housing headwinds keep us on the sidelines."

Shares of Ensign Group recently traded at $23.33, up 5 percent.