Riyadh-Mubasher: Saudi healthcare sector has witnessed remarkable growth over the last years, thanks to the government’s support, Alistithmar Capital said in a recent report.
The research firm added that spending on the sector rose at a compound annual growth rate (CAGR) of 12% from 2010 and until 2015.
The sector is still suffering lack of Saudi cadres, and hospital expansions grow at a slower pace compared with the strong growth of healthcare services, Alistithmar noted.
The think tank forecasted Mouwasat’s net income to rise by 3.9% by 2020, recommending ‘Neutral’ on the stock and setting its price target at SAR 113.
Dallah’s net income is also likely to rise 15.2% by 2020, the research firm said, placing a ‘Buy’ recommendation on the stock, with a price target of SAR 90.
Alistithmar recommended ‘Accumulate’ on Al-Hammadi, setting the price target at SAR 57.5. Al-Hammadi would record a 26.8% increase in net profits by 2020, the report issuer said.
