Addus HomeCare initiated with an Overweight at KeyBanc

KeyBanc analyst Matthew Gillmor initiated coverage of Addus HomeCare with an Overweight rating and $150 price target as part of a broader research note launching coverage of Healthcare Services. The U.S. healthcare system requires significant efficiency gains and Healthcare Services will be at the epicenter of innovation, disruption, and opportunity, with near term proprietary hospital card data indicating that utilization remains strong in Q3 which represents a positive read for Hospitals and Post-Acute care, the analyst tells investors in a research note. For the company, the firm notes that 2025 estimates seem on the conservative side and believes that Addus should benefit from the Illinois rate update, favorable labor dynamics, and the pending GTIV acquisition.