Addus HomeCare assumed with an Outperform at William Blair

William Blair assumed coverage of Addus HomeCare with an Outperform rating. Ahead of the Q4 earnings cycle, the analyst assumed coverage of four companies in the post-acute care subsector. The firm believes the post-acute care segment of the care continuum provides compelling growth characteristics for long-term investors. It continues to view the sector as presenting a “large and growing market opportunity.” Medicare spends an estimated $76B per year on core post-acute care services via home health, hospice, inpatient rehabilitation facilities and skilled nursing facilities, the analyst tells investors in a research note. Blair also sees “multiple tailwinds” to demand for post-acute care delivery over the coming years, citing several core macro trends impacting the healthcare sector.