Cover AFAM shorts, because the rest of the group is coming back
I added at 17.35....AFAM is easily pushed around by the shorts due to it's low float. They feel safe and in control. Keep in mind that even if their our cuts for Home Health care, they will not be until 2011 or 12.AFAM is grossly undervalued.home health care providers are part of the answer not part of the problem. For an industry average $150 per day they enable shorter hospital stays, stays that cost THOUSANDS of dollars per day. Obama will come to his senses, and the shorts will be caught. Even worst case below!
Wosrt cas scenario...Jeffries..their analysis of the EPS impact of the worst-case 2011 reimbursement scenario suggests that last week's sell-off in AFAM, AMED, LHCG, is indeed overdone. Firm cuts their AFAM tgt to $32 from $60, AMED tgt to $53 from $78, and LHCG tgt to $28 from $42.
04-Mar-09 07:32 ET AFAM Almost Family beats by $0.06, beats on revs (18.10 ) Reports Q4 (Dec) earnings of $0.62 per share, $0.06 better than the First Call consensus of $0.56; revenues rose 84.4% year/year to $66.2 mln vs the $59.7 mln consensus. "Our success during the quarter was highlighted by 84% total revenue growth and 47% growth in our VN segment. We have been extremely successful during the year rolling out our Senior Advocacy Mission to all of our existing and a branches."