Jefferies Reiterates Buy on HealthSouth

Jefferies is out with its report today on HealthSouth HLS, reiterating Buy. In its report, Jefferies writes, "HLS's strong Q2 results continue to illustrate the company's favorable underlying fundamentals, with strong volume growth, solid pricing growth and effective cost mgmt allowing for another quarter of upside. Plans for accelerated debt repayment should further enhance the company's robust cash flow profile. In our view, the recent selloff in HLS shares is unwarranted and provides a compelling entry point. Reiterate Buy/$33 PT." Shares of HLS closed Wednesday at $23.37.