Analysts said the private hospital operator is well-placed to deliver capacity while the post-pandemic dynamics “look to have improved significantly”.
The investment bank, which set the price target at 175p, also noted there are GBP10bn in-play to reduce NHS waiting lists.
“Spire will look to solve supply on all three streams in a fashion that should lead to significantly improved margins – from capacity utilization and mix (within the boundaries of good corporate citizenship),” analysts commented.
“The tail-risk of covenant breaches appears to have been removed, leaving investors to triangulate where earnings could go, and implications for the valuation.”
Shares dipped 1% to 94.57p on Monday morning.