UPDATE: Morgan Keegan Raises Sun Healthcare's PT

According to a research report published earlier today, Morgan Keegan increased Sun Healthcare Group's SUNH PT from $4.25 to $5. Morgan Keegan commented in the report, “Sun Healthcare Group reported EPS (before a nonrecurring receivables writeoff) of $0.07 per share, well ahead of our expectation of a loss of $0.06. All the nursing home operators in our coverage have now reported better-than-expected fourth quarter results. The impact of the 11.1% Medicare rate cut that began on October 1, while significant, has been less than expected, as the companies' mitigation strategies have gotten traction faster than we (or, we expect, the companies) anticipated.” Morgan Keegan maintains its Market Perform rating on Sun Healthcare Group, which is currently trading at $4.59.