SHL – Credit Suisse rates the stock as Outperform

By Broker News | More Articles by Broker News

As testing for the coronavirus rapidly rises in key markets Credit Suisse models the revenue and earnings opportunity.

The broker expects testing rates to remain robust until there is a vaccine, unlikely to be available until mid 2021.

The broker expects testing will add 13% to operating earnings in FY21.

However upside in estimates is only included for the US, given low infection rates in other markets or reimbursement restrictions.

Outperform retained. Target rises to $33.50 from $32.50.

Sector: Health Care Equipment & Services.

Target price is $33.50.Current Price is $31.38. Difference: $2.12 – (brackets indicate current price is over target). If SHL meets the Credit Suisse target it will return approximately 6% (excluding dividends, fees and charges – negative figures indicate an expected loss).

Broker News

About Broker News

FNArena's Australian Broker Call, is your daily news report on the latest recommendation, valuation, forecast and opinions recently published by Stockbrokers.

View more articles by Broker News →