REDE D'OR SÃO LUIZ S.A. By Jeffrey T. Lewis
SÃO PAULO--Rede D'Or São Luiz SA shares rose 6.1% after Brazilian investment bank BTG Pactual set a target price for the shares substantially above the current price level.
The shares reached 27.72 reais, the equivalent of $5.41, and are down 34% from a year ago through Monday's close. Brazil's benchmark Ibovespa stocks index was up 1.1% in late-morning trading.
BTG set a year-end 2023 target price of 38 reais for the shares.
BTG called Rede D'Or its favorite large cap in the healthcare space following the company's merger with insurer Sul America SA late last year. The new company should benefit from several synergies that still aren't priced in, and earnings momentum is set to improve gradually, BRG analysts said.
Write to Jeffrey T. Lewis at jeffrey.lewis@wsj.com
(END) Dow Jones Newswires
01-17-23 1001ET
