Surgery Partners' (SGRY) sale of its Idaho Falls facilities marks the company's most significant strategic move this year and leaves it more focused on its core short-stay care model, RBC Capital Markets said Tuesday in a report.

RBC cut its 2027 EBITDA guidance to $443 million from $580.9 million to reflect the divestiture.

The sale also provided around 30 basis points of balance-sheet improvement and stronger earnings-to-cash conversion, the report said.

RBC reiterated its outperform rating on Surgery Partners stock and its $19 price target.

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