Pacs Group price target raised to $40 from $32 at Oppenheimer

Oppenheimer analyst Michael Wiederhorn raised the firm’s price target on Pacs Group to $40 from $32 and keeps an Outperform rating on the shares following quarterly results. The firm continues to see compelling upside from the portfolio, with about 30% of facilities still in the “new” bucket and over 50 facilities expected to be added in Q3. Post-Q2, Pacs raised FY24 adjusted EBITDA guidance to $370M-$380M vs. $351M-$361M, which assumes minimal contribution from the new M&A.