Jefferies upgrades Australia's Regis Healthcare to 'buy' post upbeat quarter

Regis Healthcare

24/10/2023 21:32

** Jefferies upgrades Australia's Regis Healthcare Ltd
 REG.AX  to "buy" from "hold"
    ** Brokerage raises price target on REG to A$2.86 from
A$2.60
    ** Residential aged care provider said on Tuesday average
occupancy increased to 93.5% in Q1, adding that development
remains on track for its 112-bed Camberwell home in Victoria
    ** "With the oldest baby boomers now (aged) 77, scarcity of
places will support occupancy"- Jefferies
    ** Jefferies says new beds will provide further support to
earnings
    ** Adds combination of increased occupancy and more
government revenue per occupied bed is positive for REG
    ** Six of 7 analysts rate the stock "buy" or higher, and 1
"hold"; their median PT is A$2.78 – LSEG data
    ** Stock up 31.6% YTD, as of last close

 (Reporting by Aaditya Govind Rao in Bengaluru)
 ((Aaditya.GovindRao@thomsonreuters.com;))