Citi Maintains Buy on Lincare Holdings (LNCR)

Citi is out with its report on Lincare Holdings LNCR, maintaining Buy. In a note to clients, Citi writes, "We rate LNCR Buy/Medium Risk (1M) due to a recurring history of government reimbursement reductions. That said, we believe LNCR may be unmolested by government cuts for at least 2011-2012, perhaps longer. We believe the stock can garner a mid-teens multiple for its 20-30% organic EPS growth. We continue to believe that LNCR is a near and long-term winner from the consolidation of the industry that is underway, and we still believe the shares are under-valued." Citi has a $41 PT on LNCR. Shares of LNCR closed Tuesday at $29.91, up 1.12% from Monday's close.