AMED Forecast


Bullish Case: Amedisys could benefit from stabilized regulations following the divestiture to satisfy antitrust concerns, boosting stock value as the merger with UnitedHealth progresses, thereby increasing growth prospects.


Bearish Case: If divestiture fails or leads to further regulatory scrutiny, uncertainty may drive AMED's stock to drop below acquisition price, significantly impacting market confidence and valuations.


Potential Outcomes:

1. 70%: Successful merger leads to AMED stock rise to $115;

2. 20%: Prolonged uncertainty results in stock stagnation around $90;

3. 10%: Failure of the merger leads to sharp decline to $75.


Trading Oracle: Utilize a bullish call debit spread targeting October 2024, focused on $100-$110 strikes to leverage potential upward movement after expected merger outcomes while capping downside risk. High reward:risk ratio anticipated.


July 25, 2024


Amedisys Forecast

AMED      Amedisys











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