Allscripts Is 'back On The Right Track,' Says RBC

Allscripts Healthcare Solutions Inc. was upgraded Wednesday to outperform from sector perform at RBC Capital Markets, which cited a recovery from a difficult financial and operating environment from three years prior. Analyst David Francis said in a note that "we believe the team has put Allscripts firmly back on the right track-just in time to take advantage of the Population Health demand wave that is finally forming on the near-term horizon." The company now has a foundation for modest revenue growth and leveraged earnings performance for years, he said, pointing to recent growth in customers in the U.S. and abroad, and investments allowing Allscripts to participate in the coming demand wave. The stock, which was still inactive in premarket trade, has gained 2.7% over the past three months, while the S&P 500 has lost 7.9%.