Singapore Stock Market News

Raffles Medical Group - Beyond one hospital?

StockFanatic
Publish date: Mon, 25 Feb 2013, 04:31 PM
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FY12 core EPS is in line at 97% of our forecast, confirming renewed operating efficiency. More importantly, the potential for an overseas venture with China Merchant Bank adds excitement, underscoring the group's longer-term plans for Hong Kong and Shenzhen.

4Q12 core PATMI meets our expectations. Still, we lower our FY13-14 EPS by 2% for future higher taxes and introduce FY15 EPS. Accordingly, our target dips ever so slightly, still based on 22x CY14 P/E (its mid-cycle valuations). Maintain Outperform with the resumption of operating efficiencies providing potential catalysts.
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