LifeStance initiated with an Overweight at KeyBanc

KeyBanc initiated coverage of LifeStance (LFST) with an Overweight rating and $9 price target The firm expects mid-teens organic sales growth over the next couple of years from the company, driven mainly by higher visit volumes on further clinician adds and increasing total revenue per visit on payor reimbursement rate improvement. It also expects margin expansion on the company’s recently optimized real estate footprint, clinician productivity, higher margin specialty offerings, and continued cost efficiencies driven by technology enhancements.