Leerink Partners Downgrades Cerner (CERN) to Market Perform
Get daily under-the-radar research with StreetInsider.com's Stealth Growth Insider Get your 2-Wk Free Trial here.
Leerink Partners downgraded Cerner (NASDAQ: CERN) from Outperform to Market Perform with a price target of $50.00 (from $65.00) on slow demand, Trump pause and inconsistent results.
Analyst David Larsen commented, "We are lowering our 2017 and 2018 estimates for CERN, cutting our PT and downgrading to Market Perform as we believe there are several macro-headwinds putting pressure on CERN’s business model that we do not expect to alleviate any time soon. These headwinds include: a sharp slow-down in growth due to the end of Meaningful Use, incremental cost pressure and uncertainty on providers and physicians due to the possible repeal of the ACA from the new Trump administration, and potentially a slower movement towards value-based care under new Health and Human Services Secretary Tom Price. We also believe management has a history of over-guiding and under-delivering and that CERN's revenue cycle products still need work to be competitive with other vendors. We downgrade shares from Outperform to Market Perform and reduce our price target from $65 to $50."
Shares of Cerner closed at $49.78 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Alibaba (BABA) PT Raised to $148 at Deutsche Bank
- UPDATE: JMP Securities Downgrades First Solar (FSLR) to Market Underperform
- Halliburton (HAL) PT Lowered to $60 at Credit Suisse; Reiterates Outperform
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst PT Change, Downgrades
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!