Don't look for the analysts at JPMorgan to give the slumping shares of Vanguard Health Systems a boost: The firm has lowered its price target for the Nashville-based hospital operator to $13 from $15. Vanguard (Ticker: VHS) has slid from more than $17 to about $12 in the past two months.
Avondale Partners analysts have launched coverage of shares of Brentwood-based Tractor Supply with an 'outperform' rating. The firm's price target of $127 is the highest on the Street, topping the recently hiked forecasts by analysts at Oppenheimer and Janney Montgomery Scott. Tractor Supply (Ticker: TSCO) closed Monday trading at $112 and change.
Over at Barclays Capital, analyst Paul Cheng has lifted his target for shares of Delek Logistics to $36 from $33. Cheng still has an 'outperform' rating on Delek Logistics (Ticker: DKL), which have climbed more than 50 percent so far in 2013.
Avondale Partners analyst Kevin Campbell says it's looking more and more like the volume weakness experienced by many hospital chains in the first quarter was more seasonal than structural. April's traffic was better, he says, and shares of locals HCA, CHS, LifePoint and Vanguard should continue to trend higher as investors remain focused on the expected benefits of health reform next year and beyond. Other factors helping: Pricing for the insurance exchanges being set up looks to be solid, and Medicare disproportionate-share payment cuts won't be as bad as expected.
Shares of HCA (Ticker: HCA) are starting the week on a sour note — down 3 percent at 11:30 a.m. — while the stocks of CHS, LifePoint and Vanguard all are up slightly.
Avondale Partners analyst Kevin Campbell has raised his price target on shares of Corrections Corp. of America after the prison manager reported first-quarter results that topped consensus estimates. Campbell, who also lifted his 2013 and 2014 estimates for adjusted funds from operations by about 5 percent, now sees CCA (Ticker: CXW) climbing to $44 from its current level of about $38.
Over at Credit Suisse, Edward Westlake and his team have raised their earnings estimates for Delek US Holdings after company executives detailed investment plans for their Texas and Arkansas refineries that should bring a quick and sizable payoff. Even though they gave up 3 percent on Monday, Delek shares (Ticker: DK) are still up 35 percent this year.
Analyst Steve Chercover at D.A. Davidson has hiked his rating on shares of Louisiana-Pacific to 'neutral' from 'underperform' and lifted his price target to $19 from $18. The move comes after LP reported its Q1 numbers and as its shares (Ticker: LPX) have been recovering from their April swoon. At about 11 a.m. Wednesday, they were up another 3 percent to about $19.50.
Separately, Ed Sustar at Moody's Investors Service has tipped his cap to the balance sheet management of LP CEO Curt Stevens and his team. Sustar has lifted his liquidity rating for LP by a notch, citing the company's strong cash position. The company has in the past year built up its cash holdings to $561 million from $340 million at the end of 2011.
Denise Chai at Bank of America Merrill Lynch has upgraded shares of Dollar General to 'buy' and lifted her price target to $60, about 15 percent above where the discount retail giant (Ticker: DG) is changing hands today. A big catalyst: The company's recent refinancing will boost its bottom line right away.
Over at Avondale Partners, Kevin Campbell has updated his numbers on Acadia Healthcare after the company's beat-and-raise Q1. Campbell's EPS 2013 forecast now stands at $1.01 from 93 cents and his 2014 estimate is $1.25 versus $1.10. As a result, he also has lifted his price target for Acadia (Ticker: ACHC) to $35 from $33.
Cowen & Co. analysts have lowered their rating on shares of Delek US Holdings to 'hold' from 'buy.' The move comes after Delek is rallying back toward its all-time highs around $40. (Cowen's target is $42.) The stock (Ticker: DK) is up 50 percent year to date.
Over at BMO Capital Markets, Richard Anderson is making a similar move regarding Healthcare Realty Trust shares. He now rates the Nashville-based medical REIT (Ticker: HR) at 'market perform' instead of 'outperform.' His $29 price target is unchanged and is now about 4 percent below where Healthcare Realty is changing hands.
Analyst Kevin Campbell at Avondale Partners has run through the details of California Gov. Jerry Brown's new (court-mandated) plan to reduce overcrowding in the state's prisons and sees a mixed bag for Corrections Corp. of America. On the one hand, Campbell says competitor GEO Group looks better positioned to benefit from Brown's plan to use more private prison beds in the state because it has more capacity there. But on the other hand, Brown's plan also calls for a slower return of California inmates now being housed by CCA in other states. Rather than cut the out-of-state tally from more than 8,000 to about 2,700 by mid-2014 as previously envisioned, Brown now plans to trim that number to about 4,100.
At first glance Friday, investors appeared to be OK with Brown's plan, pushing CCA shares (Ticker: CXW) up 1.7 percent to $37.07.
Brian Tanquilut at Jefferies says investors are right to look at Acadia Healthcare as a solid M&A play in the behavioral health sector. But, he added late last week in raising his Acadia price target to $39 from $30, the company also is doing a very nice job raising margins at facilities once it owns them. Acadia (Ticker: ACHC) closed Friday trading at $31.64 and is up 35 percent so far this year.
Oppenheimer analyst Brian Nagel has hiked his rating on shares of Tractor Supply to ‘market outperform’ and lifted his price target to $125 from $100. That puts him at the head of the pack and alongside David Strasser from Janney Montgomery Scott. Tractor Supply shares (Ticker: TSCO) ended last week at almost $111.
David Strasser has joined the Tractor Supply bulls in a big way. The Janney Montgomery Scott analyst on Thursday hiked his rating on the farm and ranch retailer to 'buy' from 'neutral' and taken his price target from $97 all the way to $125. That's the highest number on the Street. Shares of Tractor Supply (Ticker: TSCO) ended Thursday trading a little above $108.
Ann Hynes at Mizuho Securities has reiterated her 'neutral' rating on shares of Community Health Systems following the company's first-quarter profit report. But like a number of her peers, she has also raised her price target on CHS and now sees the stock climbing to $48 instead of $41. CHS (Ticker: CYH) closed at $46.05 on Thursday.
- ALEX B FRUIN INHERITANCE TRUST; CANDACE F STEFANSIC INHERITANCE TRUST; CANDANCE F STEFANSIC INHERITANCE TRUST; FRUIN, ALEX B TRUSTEE; FRUIN ALEX B INHERITANCE TRUST; STEFANSIC, CANDACE F TRUSTEE; STEFANSIC CANDACE F INHERITANCE TRUST; STEFANSIC CANDANCE F INHERITANCE TRUST
- ROSS, BRIDGETT D
- COOKE, ETHEN LANYARD TRUSTEE; COOKE, ETHEN LEWIS ESTATE
- JACOBS, JESSICA ALEXANDRA; JACOBS, ERIKA BESS