SGRY - Surgery Partners: Ignore The Leverage - This Business Model Tends To Work

• Surgery Partners runs surgical hospitals and ambulatory surgery centres in partnership with physicians, handling the non-specialist side of the business.
• The company's share price hit a low of $4.3 in March on pandemic headwinds, but has surged back to trade at $28.
• The company is speculating to accumulate, and its debt of $2.7bn is burdensome, but it is majority owned by Bain Capital which ought to ease investor concerns.
• The future looks bright for Surgery's business model in my view as more and more procedures are permitted to be performed outside of the hospital.
• I think Surgery's share price could exceed $50 over time if the pandemic eases, and it shows signs of achieving its stated revenue growth rate of ~10% per annum.

For further details see: