Raffles Medical Group to get positive contribution from China operations: analyst

Its target price was at $1.60.

An analyst said catalysts for Raffles Medical Group include its China operations and revival of medical tourism.

According to its brokerage report, CGS-CIMB said the medical group will see positive contributions in its operations in China. The group has been offering its services in China since 2010. It offers healthcare treatment in eight cities, including Hong Kong.

CGS-CIMB designated a target price for Raffles Medical Group of $1.60.

READ: Raffles Medical Group earnings per share estimate cut by 8-12% for FY22/24

Another catalyst for Raffles Medical Group’s operations is its COVID-19-related services in Singapore, where it could play a role in supporting the government’s efforts to combat the COVID-19 pandemic.

In Singapore, there is an increase of infections in the past two months due to the sub-variants.

“Although the number of Covid-19 patients hospitalised and within the intensive care unit (ICU) remains below peak levels, they have nonetheless contributed to an overall increase in demand for healthcare services,” said CGS-CIMB.