Community Health Systems Sells Laboratory Assets to Labcorp for $194 Million
Written by Emily J. Thompson, Senior Investment Analyst
Source: Newsfilter
- Transaction Completion: Community Health Systems' subsidiary CHS has successfully sold select ambulatory outreach laboratory service assets in 13 states to Labcorp for approximately $194 million in cash, enhancing patient and provider access to high-quality laboratory services.
- Service Focus: This transaction allows Community Health Systems to concentrate on core services, improving the overall patient experience and reinforcing its commitment to providing high-quality healthcare.
- Technological Support: Labcorp's scale and investment in technology will enable efficient delivery of outreach laboratory services, thereby improving patient care and driving efficiencies for customers, aligning with both companies' shared commitment to enhancing community health.
- Strategic Relationships: This transaction is part of Labcorp's strategy to establish relationships with various health systems, aimed at increasing access to laboratory services, improving patient care, and driving efficiencies for customers.
Get Free Real-Time Notifications for Any Stock
Monitor tickers like CYH with instant alerts to capture every critical market movement.
Sign up for free to build your custom watchlist and receive professional-grade stock notifications.
Analyst Views on CYH
Wall Street analysts forecast CYH stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CYH is 3.68 USD with a low forecast of 2.00 USD and a high forecast of 5.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
8 Analyst Rating
2 Buy
4 Hold
2 Sell
Hold
Current: 3.090
Low
2.00
Averages
3.68
High
5.00
Current: 3.090
Low
2.00
Averages
3.68
High
5.00
About CYH
Community Health Systems, Inc. is a healthcare company. The Company’s affiliates are providers of healthcare services, developing and operating healthcare delivery systems in approximately 36 distinct markets across 14 states. The Company's subsidiaries own or lease 69 affiliated hospitals with more than 10,000 beds and operate more than 1,000 sites of care, including physician practices, urgent care centers, freestanding emergency departments, occupational medicine clinics, imaging centers, cancer centers and ambulatory surgery centers. Its hospitals and other sites of care offer a variety of inpatient and outpatient medical and surgical services. These include general acute care, emergency room, general and specialty surgery, critical care, internal medicine, obstetrics, diagnostic services, psychiatric and rehabilitation services. In addition, some of its hospitals provide skilled nursing and home care services based on individual community needs.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Community Health Systems (CYH) Sells Crestwood Medical Center Assets for $450 Million
- Asset Sale Agreement: Community Health Systems' subsidiary has signed a definitive agreement to sell the 180-bed Crestwood Medical Center and its associated outpatient centers to Huntsville Hospital Health System for $450 million, with the transaction expected to close in Q2 2026, marking a significant step in the company's strategic restructuring.
- Healthcare Asset Consolidation: This transaction aims to enhance healthcare service capabilities in the Huntsville area by consolidating resources, while providing Community Health Systems with funding to optimize its operational and investment strategies.
- Financial Impact: The sale will generate $450 million in cash flow for Community Health Systems, which is expected to improve its financial condition and potentially be used to pay down debt, thereby enhancing the company's financial flexibility.
- Market Reaction Expectations: The completion of this transaction is anticipated to have a positive impact on Community Health Systems' stock price, as investors may adopt an optimistic outlook regarding the company's future strategic direction and financial health.
Continue Reading
COMMUNITY HEALTH SYSTEMS INC TO SELL TO HUNTSVILLE HOSPITAL FOR $450 MILLION
Community Health Systems Acquisition: Community Health Systems has announced the acquisition of Huntsville Hospital for $450 million.
Impact on Local Healthcare: This acquisition is expected to enhance healthcare services in the Huntsville area, potentially improving access and quality of care for residents.
Continue Reading