In a report published on Tuesday, Jefferies analyst Sean Dodge initiated coverage on MedAssets MDAS with a Buy rating and $23 price target on the company.
In the report, Jeffries commented, "Attractively Priced Play on Healthcare Reform. Demand for MedAssets capabilities will grow as healthcare reform progresses and hospitals struggle with: (1) increasing reimbursement pressures; (2) the transition from fee-for-service to fee-for-value-based reimbursement models; (3) growing patient self-pay A/R mixes; (4) the migration to ICD-10; and (5) decentralized and inefficient procurement practices. Notably, the stock has one of the cheapest valuations in its peer group in terms of both adjusted P/E and FCF (yield)."
MedAssets closed on Monday at $19.25.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.