Takeout report adds ‘intrigue’ to Oak Street story, says Piper Sandler

Piper Sandler analyst Jessica Tassan says Bloomberg’s report that CVS Health (CVS) is considering an acquisition of Oak Street Health (OSH) adds "intrigue to a story" that she already considers to be "fundamentally sound." Tassan’s Overweight thesis is based on what Oak Street is doing, not on what could happen in a takeout event. She calls Oak Street a top 2023 pick, saying the company is delivering health equity through repeatable, scalable centers that generate continually improving unit economics over time. Tassan remains a buyer of the stock with an Overweight rating and $43 price target.