RehabCare Receives “Outperform” Rating (RHB)

RehabCare Group RHB sees growth opportunities in its Hospital Rehabilitation Services division from its ability to attract new contracts. Equity research firm Morgan Keegan has released a report on RehabCare (RHB) stating that the company has 12 openings signed for 2010 to date, up from 6 openings in 2009. The company’s Skilled Nursing Rehabilitation Service division is expected to face less pressure due to concurrent therapy rules changes. RehabCare is also likely to add information technology services to its portfolio. This addition would make the company a more valued partner for its nursing home clients. The company has been given an “Outperform” rating. RehabCare is expected to sustain solid earnings growth by improving its contract base and enhancing its operations.