I have consistently warned you of the downside risks in Ramsay Health Care over the last two years and today I want to confirm that my fund remains short Ramsay and why I think this stock has further to fall over the year ahead.
Ramsay shares have fallen -34% since mid-2016. This is despite universal bullishness from sector analysts and commentators. Nobody seems to want to believe that the best is behind Ramsay and that is why it still has further to fall.
Stocks do not bottom until we see complete analyst and investor capitulation. That hasn’t happened yet in Ramsay, in fact, most analysts keep reiterating their buy recommendations and lowering price targets.