Added to YB: 2026-04-09
Pitch date: 2026-04-07
DR.TO [bullish]
Medical Facilities Corporation
+1.13%
current return
Author Info
No bio for this author
Company Info
Medical Facilities Corporation, through its subsidiaries, owns and operates specialty surgical hospitals in the United States.
Market Cap
CAD 208.3M
Pitch Price
CAD 16.81
Price Target
28.00 (+65%)
Dividend
2.18%
EV/EBITDA
3.99
P/E
20.19
EV/Sales
0.98
Sector
Health Care Providers and Services
Category
special_situation
Buying Hospitals at 60¢ on the Dollar - Medical Facilities Corporation
DR.TO: Canadian holding co owns 51% of 2 US specialty surgical hospitals (ASH, SFSH). Trades 40% below NAV: $228M mkt cap vs $248M midpoint fair value of hospitals + $80M cash. Mgmt sold 3 facilities at 8-10x EBIT, bought back 30% shares. Remaining assets: $54M EBIT worth $221-276M at 8-10x. Target 45-55% IRR over 12-18mo via buyback + asset sales. 7% earnings yield floor, 2% div. Risks: geographic concentration, Medicare exposure (39% rev), mgmt hoarding cash.
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