SMG’s diagnostics business has continued to reap rewards post its successful turnaround, and has a new expanded 5,500-sqft facility in Novena. Its overseas ventures in Vietnam and Indonesia could also add to its medium-term growth catalyst.
SINGAPORE (Nov 13): DBS is initiating its “buy” call on Singapore Medical Group (SMG) with a target price of 75 cents on the back of continued robust growth post a successful turnaround.
In a Monday report, analyst Andy Sim projects the group’s core earnings growth of 292%/32% in FY17F/18F on the back of further scaling up of its diagnostics business; recent acquisitions; and margin expansion from larger scale of operations.
