Citi analysts have reduced their price target for Australia’s Ramsay Health Care (ASX:RHC) to A$50.5 per share, down from A$58 per share.

The brokerage indicated that the fiscal 2024 outlook for the country’s largest listed hospital operator was underwhelming.

In addition to this, Citi has reduced FY24 and FY25 earnings per share estimates by 19% and 12%, respectively.

These adjustments were made in response to escalated operating and capital expenditures as well as higher interest expense.

Costs for the FY24 year proposed by the company were also seen as higher than initially projected.

Among 17 analysts, five rated the stock with a ‘buy’ or higher, while ten suggest a ‘hold’.

Only two analysts recommended a ‘sell’.

As per a consensus, the median price target is A$61.

Over this year, the shares of the company have faced a decline of 24.7% leading up to the last close.

Ramsay Health Care (ASX:RHC) is Australia’s largest listed hospital operator.