Morgan Stanley Sees Growth Potential in Auna SA (AUNA)

Auna SA (NYSE:AUNA) is one of the 10 Best New Penny Stocks to Invest In. On December 9, Morgan Stanley lowered its price target on Auna SA (NYSE:AUNA) from $11.50 to $10 while keeping an Overweight rating on the stock.

Morgan Stanley noted that the company has strong growth potential from occupancy of its existing beds, especially in Mexico. The opportunity in Mexico also requires only minimal capital expenditure.

Morgan Stanley Sees Growth Potential in Auna SA (AUNA)

Photo by martha-dominguez-de-gouveia on Unsplash

By the end of the third quarter of 2025, Auna SA’s (NYSE:AUNA) network included 31 healthcare network facilities, including hospitals, outpatient, prevention, and wellness facilities. The company had a total of 2,333 beds and around 1.4 million healthcare plans.

The research firm pointed out that Auna SA (NYSE:AUNA) generates strong operating cash flow, which gives the company the capacity to reduce its debt levels over time. In addition, Morgan Stanley highlighted the company’s strategy of expanding into markets with low-priced healthcare policies. This includes countries where private healthcare access is limited, particularly Peru and Mexico.

According to Morgan Stanley, this strategy continues to support a sustainable growth avenue for Auna SA (NYSE:AUNA) in the healthcare industry.

Auna SA (NYSE:AUNA) is a leading healthcare provider in Latin America with operations in Mexico, Peru, and Colombia. It operates hospitals and clinics and also offers health plans with a focus on prioritizing prevention and high-complexity care.

While we acknowledge the potential of AUNA as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than AUNA and that has a 100x upside potential, check out our report about the cheapest AI stock.

READ NEXT: 13 Best Gold Mining Companies to Invest In Now and 13 Best Fast Food Stocks to Buy.

Disclosure: None. This article is originally published at Insider Monkey.