Cross Country Healthcare initiated with a Neutral at UBS

UBS analyst AJ Rice initiated coverage of Cross Country Healthcare with a Neutral rating and $22 price target. While the company has made gains in the marketplace during and post-COVID, the market is looking to see if the gains are sustainable and can be turned into higher margin levels, the analyst tells investors in a research note. Cross Country’s lower EBITDA margins carry higher operating leverage compared to its leading peer and greater downside to EBITDA if demand slows and volumes continue to retreat, the firm says.