GREY:CVHIF - Post by User
Post by
Luminouson May 16, 2018 12:08pm
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Post# 28039775
PHM
PHMsounds like institutional money is starting to sound the horn on health care, they are back into raising price targets instead of lowering them:
BEACON - May 16
The healthcare service sector universe is being driven by an aging population, which is driving demand for their products/services.
On average, they trade at 12x EV/EBITDA and as high as 16x, with many now trading at 52-week highs.
At 3.3x, PHM trades at a 70% discount, yet now shows similar financial metrics as the other players. We believe this valuation gap will narrow in the coming quarters.
Maintain Buy and raise target to $0.40 (was $0.35) based on 12x our FY19 EBITDA forecast.