1. What is your opinion about Ramsay Health Care (RHC) and Blackmores (BKL) (hold/sell/or buy)?
I think that Ramsay (RHC) is a first class operator, but the outlook for private hospitals is a little clouded. Around $63, I am fairly neutral on the stock (this is also in accordance with broker valuations, where the target price is $64.20). The share purchase plan at $56 looks like reasonable value and I intend to apply for shares.
Blackmores (BKL) remains out of favour with the market. According to FNArena, it has 4 neutral recommendations and 2 sell recommendations (no buys), and its target price of $67.47 is somewhat lower than its last traded price of $72.55. Interestingly, it has been on “radio silence” over the impacts of Covid-19 – it has said nothing! Pass.