The NIB Holdings Limited (ASX: NHF) share price is up 4.52% today to $7.98 amid many brokers tipping further growth in 2024.
As my Fool colleague Mitch points out, private insurance businesses have surged since the pandemic.
New data from APRA shows 11.81 million Australians have hospital coverage compared to 11.23 million in December 2019.
It seems that many Australians have decided health insurance is worth it amid long waiting lists for elective surgeries and specialist appointments and reduced Medicare bulk billing.
In FY23, NIB lifted its revenue by 10.9% to $3.1 billion and increased its net profit by 42.8% to $191 million.
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What are the brokers saying about the NIB share price?
Top broker Goldman Sachs reckons NIB is a buy and has a 12-month price target of $8.40.
The broker explains:
We are Buy-rated on NHF given: 1) it offers defensive exposure to the private health insurance sector which is experiencing favourable operating trends, 2) claims environment remains low with no immediate indications of a bounce back in claims, 3) DCL provisions to cover a bounce back in claims are proving redundant, 4) significant policyholder give back incentives suggest claiming environment remains well below expectations, 5) strong recovery in non-resident volume post Covid-19 through the return of international students, workers and visitor arrivals.
Citi also just upgraded NIB shares to a buy rating with an $8.35 share price target.
The important dates of 2024 for NIB investors
ASX shares tend to move on the days when important news is announced.
Helpfully, NIB today released its financial calender for 2024.
Here are the important dates in 2024 for NIB investors to note:
