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Fly News Breaks for April 7, 2016
MMS
Apr 7, 2016 | 15:17 EDT
Stifel analyst Thomas Carroll notes the U.K. government has specifically highlighted "Fit for Work," for which Maximus is a contractor, as a struggling program. Investors may be confusing this with Maximus' much larger U.K. contract, known as "HaaS," or they may be considering the latter to also be at risk, said Carroll. In either case, the volatility and confusion offer an opportunity to invest in Maximus, since it is trading below where Carroll would believe to be reasonable, even if adjusted for a hypothetical loss of a large U.K. contract. The analyst keeps a Buy rating and $65 price target on shares.
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