Hong Leong Investment Bank Bhd has maintained a “Buy” recommendation for KPJ Healthcare Bhd with a TP of RM1 32 with a post-earnings adjustment, our SOP-derived TP is lowered to RM1.32, from RM1.35 previously.
It said that it has maintained a BUY on KPJ, as it expects to see a more meaningful recovery inpatient volume following the relaxation of pandemic restriction.
On the recommendation of the stock, it said with the easing of travel restrictions and reopening of economies, Hong Leong expects patient volume to continue recovering progressively.
“The recovery could also be accelerated by the arrival of medical tourists, upon the reopening of international borders in Malaysia by 1st January. Consistent with the patient footfall recovery, we are also anticipating an uptick in surgeries performed, as patients who have previously postponed treatments are expected to return,” the investment bank said
