In a report released today, Ryan Langston from TD Cowen maintained a Buy rating on Surgery Partners (SGRY – Research Report), with a price target of $28.00.
Ryan Langston’s rating is based on a combination of factors that highlight Surgery Partners’ strong financial performance and strategic positioning. The company’s consolidated revenue for the fourth quarter of 2024 showed a significant year-over-year increase, surpassing both consensus and internal estimates. This robust revenue growth, along with a solid increase in system-wide same-store case growth, underscores the company’s operational strength.
Furthermore, Surgery Partners has set a promising outlook for 2025, with expectations of substantial same-store revenue growth and a return to significant M&A activity. The company’s ability to navigate potential policy changes and its strategic initiatives, despite the headwinds from divested facilities, also contribute to the positive outlook. These factors, combined with the belief that the current offer from Bain may need to be increased, support the Buy rating given by Ryan Langston.
In another report released today, Benchmark Co. also maintained a Buy rating on the stock with a $35.00 price target.