Morningstar positive on long-term prospects of Australia's Healius despite forecast cut

Healius

25/06/2024 21:28

** Analysts at Morningstar remain positive on long-term
prospects of Healius  HLS.AX  despite co downgrading FY24
guidance
    ** Morningstar cuts FY24 underlying EBIT forecast by 15% to
A$63 mln ($41.86 mln) but keeps long-term estimates broadly
unchanged
    ** Morningstar says Healius is well placed to service known
underdiagnosis for routine healthcare services
    ** Longer term, we anticipate increased operating leverage
from higher volumes in the base businesses - Morningstar
    ** Brokerage says it sees margin expansion from network
optimization, digital initiatives, others
    ** Brokerage keeps fair value estimate A$3.00 unchanged;
says shares materially undervalued against fair value estimate
    ** Four of 12 analysts rate the stock "hold" and eight
"sell" or lower; their median PT is A$1.26 - LSEG data
    ** Stock down 8.3% YTD, as of last close 
   


($1 = 1.5051 Australian dollars)

 (Reporting by John Biju in Bengaluru)
 ((John.Biju@thomsonreuters.com;))