Emergency Medical Services’ (EMS) third quarter earnings per share came in at $0.66, surpassing the Zacks Consensus Estimate of $0.60 but flat with the year-ago period.
The company has performed well in both its segments, AMR and EmCare. We expect the growth momentum to continue with increased volume from new contracts, suitable acquisitions, better penetration in existing markets and operational efficiencies.
We believe the industry dynamics are currently quite favorable for the company since the outsourcing of emergency services is increasingly encouraged by government agencies and healthcare facilities, allowing them to reduce costs without compromising on quality. Given these factors, we upgrade the stock to Outperform.Zacks Investment Research
