UPDATE: Goldman Sachs Upgrades Laboratory Corp. of America Holdings to Neutral on ACA Tailwinds
In a report published Thursday, Goldman Sachs analyst Isaac Ro upgraded the rating on Laboratory Corp. of America Holdings (NYSE: LH) from Sell to Neutral, and raised the price target from $83.00 to $96.00.
In the report, Ro noted, “We now believe LH stands to benefit from a volume tailwind from ACA and pricing pressure should be manageable – driving our more positive outlook on LH shares. However we prefer DGX over LH, as wee see less margin upside and our current estimates already reflect considerably more aggressive share repurchase than DGX limiting upside outer year EPS estimates. Since adding LH to the Sell List on 11/18/12, the shares are +13% vs. the S&P 500 +17% given limited volume growth and pricing pressure. Over the past 12 months, LH is +5% vs. the S&P 500 +17%.”
Laboratory Corp. of America Holdings closed on Wednesday at $93.40.
Latest Ratings for LH
|Jan 2017||Deutsche Bank||Initiates Coverage On||Buy|
|Sep 2016||Citigroup||Initiates Coverage on||Neutral|
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