HALF-YEAR RESULTS
Mediclinic slips after outlook warning
Private hospital group Mediclinic’s share price fell 4.28% to close at R116.20after a London-based investment bank warned the group may report disappointing half-year results. With a market capitalisation of about R89bn, Mediclinic has hospitals in Namibia, SA, the UK and the United Arab Emirates. Jefferies downgraded the outlook for Mediclinic International saying the private hospital and clinic operator was likely to give a disappointing trading statement in October. "The brokerage keeps its underperform rating on the stock," Jefferies said in a note. However, it cut its long-term earnings per share forecast by up to 10%, while it reduced its price target to 550p, from 650p. Subsequently, the share plummeted 5.14% on the London exchange on Monday. However, local fund managers attributed the drop to various factors including a warning from rival Life Healthcare that it expected negative volumes. Life Healthcare operates in SA, the UK, India and Europe and has a R34bn market capital...
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