Why the Healius share price soared 9% today

The Healius (ASX: HLS) share price closed higher on no news.

| More on:
a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The Healius (ASX: HLS) share price closed 9.4% higher today at $2.44 despite the business formerly known as Primary Health Care (until December 3 2018) releasing no specific news to the market.

Despite the name change the company's operating segments remain the same with Healius posting an adjusted net profit of $92.3 million on adjusted revenue of $1,740 million for FY 2018. The adjusted profit and revenue were down around 6% and up 4.9% compared to FY 2017.

The group also paid a final dividend of 5.5 cents per share to take total dividends for FY 2018 to 10.6 cents per share which represents a payout ratio of 60% of underlying profit and a trailing yield of 4.3%.

Healius operates pathology clinics (its largest business), medical imaging, and general medical centres across Australia and can grow organically or by opening new medical centres in different fields.

Healius is forecasting underlying net profit at or above $100 million in FY 2019 based on a stronger second half to the year. This would be growth on an adjusted profit basis of around 10% if achieved.

Motley Fool contributor Tom Richardson has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Share Market News

A couple lying down and laughing, symbolising passive income.
Opinions

How to invest in ASX shares for big capital gains AND passive income

Certain types of ASX shares are capable of producing good returns, including dividends.

Read more »

Man sits smiling at a computer showing graphs
Share Market News

Broker tips this fast-growing ASX 200 tech stock to outperform

Goldman Sachs is very bullish on the outlook of this growing tech company.

Read more »

A financial expert or broker looks worried as he checks out a graph showing market volatility.
Broker Notes

Top brokers name 3 ASX shares to buy today

Here's what brokers are recommending as buys this week.

Read more »

A young man wearing a black and white striped t-shirt looks surprised.
Broker Notes

Up 45% in 2024! Can ResMed shares keep rising?

Is this high-flying stock destined to keep soaring? Let's see what one broker is saying.

Read more »

Two male ASX 200 analysts stand in an office looking at various computer screens showing share prices
Share Market News

5 things to watch on the ASX 200 on Wednesday

Another big day awaits Aussie investors today. Here's what to look out for.

Read more »

Unsure man analysing data on laptop.
Share Gainers

Here are the top 10 ASX 200 shares today

ASX investors endured a rough day of trading this Tuesday.

Read more »

A woman sits in a cafe wearing a polka dotted shirt and holding a latte in one hand while reading something on a laptop that is sitting on the table in front of her
Share Market News

ASX 200 takes the latest RBA interest rate verdict in stride

The ASX 200 looks to have shaken off today’s RBA interest rate call.

Read more »

A mature-aged couple high-five each other as they celebrate a financial win and early retirement
Share Gainers

Why this ASX 300 stock is soaring 12% after a disastrous year

This company has had a dramatic reversal of fortunes this Tuesday...

Read more »