0128 GMT - IHH Healthcare looks set for record-breaking revenue this year, supported by its organic and inorganic growth strategy, Malaysia's visa-free entry for Chinese tourists as well as inelastic demand for healthcare services, RHB IB analyst Oong Chun Sung says in a note. Recent news of potential corporate restructuring to strengthen major shareholders' holding has renewed investor interest, especially as the stock has been trading below its historical valuation average, he says. However, with over 75% of IHH's revenue from Turkey, Singapore and India's operations, the company faces FX risk given the stronger ringgit, with a 5% currency variance potentially impacting net profit by 0.3%-3.7%, he says. RHB raises IHH's target price to MYR8.80 from MYR8.00, while maintaining a buy rating on the stock. Shares are 0.7% lower at MYR7.15.(yingxian.wong@wsj.com)
(END) Dow Jones Newswires
September 29, 2024 21:28 ET (01:28 GMT)
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