Analyst Anthony Vendetti of Maxim Group reiterated a Buy rating on SBC Medical Group Holdings, retaining the price target of $9.00.
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Anthony Vendetti has given his Buy rating due to a combination of factors that highlight the growth potential and strategic initiatives of SBC Medical Group Holdings. Despite mixed third-quarter results, the company is actively expanding its clinic network, with a significant increase in franchise locations and a promising entry into the Thai market through a consulting agreement with BLEZ ASIA Co., Ltd. This expansion is seen as a strategic move to broaden SBC’s presence in Southeast Asia, which could drive future growth.
Furthermore, SBC’s strategic initiatives, including the tender offer for a majority stake in Waqoo, Inc., are expected to create synergies and enhance product offerings, particularly in the direct-to-consumer skincare segment. The company’s financial health is also robust, with substantial cash reserves and manageable debt levels, suggesting no immediate need for additional capital. The valuation appears compelling, with shares trading below peer averages, and the price target reflects the company’s established network and growth prospects. These factors collectively underpin the Buy rating, as SBC is positioned to stabilize operations and capitalize on international expansion opportunities.