Chemed price target lowered to $650 from $708 at BofA

BofA lowered the firm’s price target on Chemed (CHE) to $650 from $708 and keeps a Buy rating on the shares. Chemed on Friday said that the Medicare cap will be a $20M, or 4%, headwind in 2025, which is not a surprise given the Q1 disclosures, but admissions in Florida were weaker in April and May, while Roto-Rooter residential was worse than expected, the analyst tells investors in a research note. While the stock will be pressured on the worse 2025, BofA likes the longer-term fundamentals for both Vitas and Roto.