Benchmark Co. analyst Bill Sutherland has reiterated their bullish stance on QIPT stock, giving a Buy rating on August 12.
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Bill Sutherland has given his Buy rating due to a combination of factors including Quipt Home Medical’s strategic acquisitions and strong financial performance. The company has returned to organic revenue growth and has announced significant acquisitions, such as a 60% stake in a $60 million DME provider in a joint venture with three healthcare systems. These acquisitions not only demonstrate management’s confidence in the business outlook but also bring a stable patient referral base from regional health systems, reducing risk.
Additionally, Quipt’s history of successful acquisition integrations supports a positive future outlook, with updated models indicating conservative revenue and AEBITDA growth projections. The company’s liquidity and leverage are well-positioned to support these acquisitions, and the valuation reflects a competitive EV/AEBITDA multiple. These factors collectively underpin the Buy rating and a price target of $4.
In another report released on August 12, Stifel Nicolaus also maintained a Buy rating on the stock with a C$6.70 price target.