Quipt Home Medical (QIPT) announced that it has acquired a business that has operations in Mississippi.

The all-cash deal of nearly $2 million is expected to add about $2.7 million to Quipt’s annual revenues. Its adjusted EBITDA projected to rise by $0.5 million.

Furthermore, as a result of this acquisition, Quipt now has a presence in 62 locations across 15 U.S. States, along with over 150,000 active patients, 19,000 referring physicians. (See Quipt stock charts on TipRanks)

Quipt chairman and CEO Greg Crawford said, “On the heels of our entrance into Mississippi in July, this transaction further strengthens our overall interconnected healthcare network in the region and mirrors our expansion progress in Missouri, both of which will serve as a foundation for other new states, where we can grow organically and through economical bolt-on acquisitions.”

Following the news, Echelon Wealth Partners analyst Stefan Quenneville maintained a Buy rating on the stock, with a price target of $8.42 (35.5% upside potential).

Quenneville said, “Small, accretive acquisitions such as this demonstrate that the company remains in an M&A sweet spot, with ample opportunities to consolidate the fragmented DME market as it builds up its regional scale in key markets.

"With the stock trading at a discount to peers despite strong organic and inorganic growth prospects, we continue to highlight the upside to QIPT stock as a compelling opportunity for investors.”

Consensus among analysts is a Strong Buy, based on four unanimous Buys. The average Quipt price target stands at $9.52, and implies upside potential of 53.3% to current levels.

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The post Quipt Bolsters Footprint in Mississippi; Street Says Buy appeared first on TipRanks Financial Blog.

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By: Radhika Saraogi
Title: Quipt Bolsters Footprint in Mississippi; Street Says Buy
Sourced From: blog.tipranks.com/quipt-bolsters-footprint-in-mississippi-street-says-buy/
Published Date: Wed, 06 Oct 2021 14:03:04 +0000

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