Medibank Private's (ASX:MPL) focus on wellbeing and primary care as part of its newly disclosed five-year plan will increase its influence on patients' health journey, which should serve to increase member engagement and moderate claims growth, said Jefferies in a Wednesday note.
The company on Wednesday said it aims to grow its health segment's earnings to over AU$200 million by 2030 from AU$76.7 million in 2025, lift policyholder market share to 26.8% from 26.5%, and double health engagement to 10 million Australians.
The investment firm expects the Australian government will be "very interested" in working with Medibank to deliver hospital-level acute care in the home, as well as transitional care as hospital patients transition to long-term care.
Jefferies kept a hold rating and price target of AU$5.40 on Medibank.
The company's shares rose 2% in recent Thursday trade.