In a report published Monday, J.P. Morgan analyst Justin Lake reiterated an Overweight rating on Tenet Healthcare Corp. THC, and raised the price target from $41.00 to $55.00.
In the report, Lake noted, “Healthcare reform should be a meaningful net positive for the hospital industry, especially over the early years of implementation, as coverage expansion drives lower bad debt and an uptick in utilization, which should more than offset a variety of negative impacts including government funding cuts and potential employer dumping into the exchanges. We project double-digit EBITDA growth benefit from reform, for THC, toward the middle of the pack vs. peers. But we view THC's share repurchase program (planned $100M per quarter through 2013) as a positive differentiator vs. the rest of the group, and its Conifer revenue cycle management business is another distinct avenue for growth.”
Tenet Healthcare Corp. closed on Friday at $45.38.
Market News and Data brought to you by Benzinga APIs© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Loading...
date | ticker | name | Price Target | Upside/Downside | Recommendation | Firm |
---|
Benzinga simplifies the market for smarter investing
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
Join Now: Free!
Already a member?Sign in