While RHB has downgraded its rating on the counter from “buy” to “neutral” as a result, Maybank reiterates its “buy” call for the long-term potential it sees in the group’s business expansion into China, which it estimates to turn profitable by its second full year of operation in 2020.
SINGAPORE (April 25): RHB and Maybank Kim Eng Research have lowered their price targets on Raffles Medical Group (RMG) to $1.49 from $1.72, and to $1.67 from $1.70 respectively after the group posted a marginal 1.7% decline in 1Q17 revenue yesterday on softer-than-expected demand from foreign patients, hence missing the expectations of both research houses.
(See also: Raffles Medical 1Q earnings stay flat at $15.5 mil)
