Envision buyout price could approach $50 per share, says Oppenheimer - InvestingChannel

Envision buyout price could approach $50 per share, says Oppenheimer

After Bloomberg reported that private equity firms Carlyle Group (CG) and Onex have shown interest, Oppenheimer analyst Michael Wiederhorn says he believes a buyout offer for Envision Healthcare could approach $50 per share. The stock in afternoon trading is up 8% to $27.96. Such an offer is based on an 11 times 2018 EBITDA estimate, which is multiple similar to the one paid by Blackstone (BX) for Team Health in late 2016, Wiederhorn tells investors in a research note. The analyst believes Envision has a “strong growth business” and he recommends continuing to buy the shares at current levels. Wiederhorn has an Outperform rating on Envision with a $40 price target.