0335 GMT - Integral Diagnostics' merger with Capitol Health could offer investors even more upside to that already included in Macquarie analysts' bullish view of the stock. The analysts tell clients in a note that they see significant EPS accretion from the imaging providers' merger, which last week was approved by an Australian court. They see revenue growth supported by indexation, mix shift and volume growth, with earnings margins expanding due to cost synergies. Yet the companies haven't estimated any revenue synergies, which the Macquarie analysts reckon could emerge, including from the improved use of specialists across clinics. Macquarie raises its target price 21% to A$3.50 and maintains an outperform rating. Shares are down 1.3% at A$2.94. (stuart.condie@wsj.com)
(END) Dow Jones Newswires
December 16, 2024 22:35 ET (03:35 GMT)
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