In a report released today, Ryan Langston from TD Cowen maintained a Buy rating on Acadia Healthcare (ACHC – Research Report), with a price target of $44.00.
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Ryan Langston has given his Buy rating due to a combination of factors that highlight Acadia Healthcare’s positive financial performance and strategic outlook. The company posted a notable adjusted EBITDA beat, coming in at the higher end of its first-quarter guidance, which indicates a strong start to 2025. Additionally, Acadia Healthcare’s management reiterated their fiscal year 2025 guidance and long-term targets for 2026-2028, demonstrating confidence in their financial trajectory.
Another factor contributing to the Buy rating is the company’s proactive share repurchase program, which reflects a commitment to returning value to shareholders. Despite some challenges from underperforming facilities, the overall patient day growth and revenue have been in line with expectations. Furthermore, the potential approval of the new Tennessee supplemental payment program could positively impact earnings. These elements, combined with a conservative approach to revenue and patient day growth, support the Buy rating and the price target of $44.
In another report released on May 15, Raymond James also reiterated a Buy rating on the stock with a $40.00 price target.