Select Medical price target lowered to $18 from $22 at BofA

BofA analyst Joanna Gajuk lowered the firm’s price target on Select Medical (SEM) to $18 from $22 and keeps a Buy rating on the shares. The firm lowered its price target citing a lower multiple given the continued pressures in the Critical Illness Recovery Hospitals, but believes that Inpatient Rehab Facility strength provides offsets while final Medicare regulation points to the pressure lessening starting in Q4.