The factors in favour of a rise in the Korian share price:
Korian's main strength is of course its specialisation in the sector of specialised retirement homes. The group is very well developed internationally with numerous establishments throughout Europe and a total of 71,000 beds.
However, Korian still manages to position itself as a leader in certain countries and in the retirement home segment only. This is notably the case in the French market, where it has a 3.4% market share, but also in Germany where it has a 2.6% market share. Korian is in second place in other countries such as Italy with 1.4% of market share and Belgium with 4% of market share.
The Korian group has a very clear positioning in the very specific field of services for the elderly. Indeed, in addition to retirement homes, the group manages and operates nursing homes, geriatric clinics and even offers home care and other services for the elderly, making it a complete player in its field.
We also appreciate the defensive nature of the Korian group's business, which is not subject to any cyclical effect. In fact, thanks to the increase in life expectancy and the relatively good economic and financial situation of the elderly in France and Germany in particular, Korian has good visibility on future needs and is assured of minimal profitability in the medium and long term.
The sector in which Korian operates is also ideal in terms of competition. Indeed, new competitors are rare because of the important investments that the entry on this market requires in terms of real estate, but also because of the high costs of salaries and the regulatory constraints more and more numerous.
The quality of the profitability of this company can also be appreciated by its occupancy rate, which remains relatively high with more than 86% of the beds occupied in retirement homes.
If Korian's presence in France is no longer in question, the group is also managing to increase its international development.
Finally, investors and shareholders also appreciate the group's overall financial situation, which remains very healthy for this sector of activity with little debt and consistent results.