Jefferies Remains Bullish on Surgery Partners (SGRY) Post Q1

Surgery Partners, Inc. (NASDAQ:SGRY) is one of the best small cap stocks to buy for 10x potential. Jefferies lifted the price target on Surgery Partners, Inc. (NASDAQ:SGRY) to $17 from $15 on May 7, maintaining a Buy rating on the shares and stating that the company delivered good fiscal Q1 results, especially given the weather-related headwinds that affected most health-care services providers. It added that payor mix issues that emerged last quarter moderated in Q1, and should gradually improve over the course of the year.

The rating update came after Surgery Partners, Inc. (NASDAQ:SGRY) reported its fiscal Q1 2026 financial results on May 5, reporting that revenue grew 4.5% year-over-year, with same-facility revenue growing 4.4% and same-facility cases rising 0.6%. Net loss attributable to the company was $35.9 million for fiscal Q1 2026, while adjusted EBITDA was $102.3 million. Surgery Partners, Inc. (NASDAQ:SGRY) also provided 2026 guidance, reaffirming full-year 2026 revenue guidance to be in the range of $3.35 billion to $3.45 billion, and adjusted EBITDA of at least $530 million.

Surgery Partners, Inc. (NASDAQ:SGRY) is a healthcare services holding company that provides solutions for surgical and related ancillary care in support of physicians and patients. The company’s operations are divided into the following business segments: Surgical Facility Services, Ancillary Services, and Optical Services.

While we acknowledge the risk and potential of SGRY as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than SGRY and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 15 Stocks That Will Make You Rich in 10 Years AND 12 Best Stocks That Will Always Grow.

Disclosure: None. Follow Insider Monkey on Google News.

1281292 - 1759070 - 1