New User:

-or-
Username:
Password:
Forgot your password?

Stock Market & Financial Investment News

News Breaks
August 7, 2014
12:29 EDTAET, CI, UNH, WLPHealth insurers fall after two downgrades from Goldman
Shares of a number of health insurers are falling after Goldman Sachs downgraded its rating on one stock in the sector and removed another from its Conviction List. WHAT'S NEW: Goldman analyst Matthew Borsch downgraded his rating on Aetna (AET) to Neutral from Buy and removed UnitedHealth (UNH) from the firm's Conviction List, as he believes that other stocks in the healthcare sector are more attractive. Utilization of healthcare services by individuals who don't have the Affordable Care Act is likely to show signs of increasing by 2015, posing a "manageable" challenge to health insurers, Borsch wrote. However, the increase in the utilization of these services is likely to be "relatively gradual" compared with similar trends in the past, the analyst contended. Borsch based his forecast on healthcare spending trends during previous economic recoveries. He reduced his 2015 earnings estimate for Aetna to $7 from $7.10 and for United Health to $5.95 from $6. He reduced his 2015 EPS estimates for other companies in the sector, as his earnings outlook for WellPoint (WLP) declined to $9.20 from $9.35, while his estimate for Cigna (CI) for next year dropped to $7.90 from $8. The analyst kept Neutral ratings on both WellPoint and Cigna. Meanwhile, Borsch cut his price target on Aetna to $88 from $91 and on UnitedHealth to $91 from $96. PRICE ACTION: In early afternoon trading, Aetna fell 3% to $76, UnitedHealth slumped 2.5% to $79.50, WellPoint declined 2.5% to $108, and Cigna retreated 2.5% to $89.
News For AET;UNH;CI;WLP From The Last 14 Days
Sign up for a free trial to see the rest of the stories you've been missing.
March 5, 2015
11:58 EDTAETHealthCare USA wins MO HealthNet managed care contract
HealthCare USA of Missouri, an Aetna health plan that administers managed Medicaid services for MO HealthNet, has been selected by the Missouri Office of Administration, Division of Purchasing and Materials Management, to continue to provide access to health care for eligible Missourians. The new three-year contract is scheduled to take effect July 1.
07:56 EDTAET, CILeerink more bullish on Managed Care after SCOTUS arguments
Subscribe for More Information
March 4, 2015
09:54 EDTAETAetna not reimbursing Exact Sciences for more than what law requires, says Maxim
Maxim said it views Exact Sciences' (EXAS) pact with Aetna (AET) for coverage for the Cologuard test for Medicare Advantage members as an incremental positive and the firm expects other insurers to follow Aetna's lead. However, the firm thinks the announcement indicates Exact Sciences has had talks with Aetna about reimbursement, but the insurer still isn't reimbursing for anything more than what the law requires of them. Maxim recommends shares be sold on the strength and reiterates its Sell rating on Exact Sciences.
08:31 EDTUNHInsperity forms broker alliance with UnitedHealth
Subscribe for More Information
08:17 EDTUNHUnitedHealth management to meet with Deutsche Bank
Meeting to be held in Kansas City, MO on March 4 hosted by Deutsche Bank.
07:57 EDTAETExact Sciences says Aetna Medicare Advantage to cover Cologuard
Exact Sciences (EXAS) announced that Aetna (AET) will cover Cologuard under its Medicare Advantage plan, reaching 967,000 members across the country. The three year agreement will go into effect on April 1. Cologuard is the first and only FDA approved noninvasive stool-based DNA screening test for colon cancer. The test will be available to Aetna’s Medicare Advantage members through their physician without a co-payment or co-insurance.
06:39 EDTAET, UNH, CINo preparations under way for elimination of some subsidies, NY Times says
Subscribe for More Information
March 3, 2015
08:02 EDTUNHUnitedHealth management to meet with Deutsche Bank
Subscribe for More Information
February 27, 2015
16:38 EDTCICigna to reaffirm FY15 consolidated adjusted income from operations forecast
Subscribe for More Information
09:53 EDTCICigna management to meet with JPMorgan
Subscribe for More Information
February 24, 2015
13:23 EDTAETAetna, Virtua Medical Group expand relationship
Subscribe for More Information
07:04 EDTCIUroplasty announces positive coverage decision for tibal nerve stimulation
Subscribe for More Information
February 23, 2015
19:40 EDTUNH, CI, AETLeerink healthcare services analyst holds an analyst/industry conference call
Subscribe for More Information
16:27 EDTUNHOn The Fly: Closing Wrap
Stocks on Wall Street began the session in negative territory and remained there for most of the session, with the Nasdaq the lone index to post a small gain. The Dow was weighed down by shares of Boeing (BA), which slid after the stock received a downgrade. There was little in the way of positive economic news, as the most notable report showed existing homes were lower than expected due to a shortage of inventory. The averages drifted for most of the session, as investors may be waiting on the sidelines ahead of tomorrow’s banking panel testimony by Fed Chair Janet Yellen. ECONOMIC EVENTS: In the U.S., the Chicago Fed national activity index rebounded to 0.13 in January, which was nearly in-line with expectations. Existing home sales dropped 4.9% to a 4.82M rate in January, which was much worse than the expected 1.8% drop to a 4.95M unit rate. In Europe, the Ifo Institute’s measure of German business confidence rose to 106.8 in February, which was up a tenth of a percentage point from the previous month but below the 107.7 consensus forecast. Also, the Bank of Israel became the latest central bank to cut rates this year, lowering its main interest rate to 0.1% from 0.25%. COMPANY NEWS: The shares of a number of health insurers rose after the Centers for Medicare and Medicaid Services, or CMS, issued preliminary 2016 Medicare Advantage rates. According to Credit Suisse, the rates were favorable for the insurers. Following the CMS announcement made late Friday, Humana (HUM) climbed $8.40, or 5.38%, to $164.52, UnitedHealth (UNH) rose $3.78, or 3.36%, to $116.40, and WellCare (WCG) gained $4.68, or 5.53%, to $89.30. MAJOR MOVERS: Among the notable gainers was PTC Therapeutics (PTCT), which jumped $9.77, or 17.7%, to $64.96 after Reuters said the company is working with financial advisers to explore a potential sale after receiving takeover interest from several companies including Shire (SHPG) and BioMarin (BMRN). Also higher was Valeant (VRX), which rose $25.49, or 14.71%, to $198.75 after the company agreed to buy Salix (SLXP) for $158 per share and also reported better-than-forecast earnings. Salix shares, however, fell $2.09, or 1.32%, to $155.76, as a report Friday from CNBC's David Faber telegraphed the deal and suggested Valeant could value Salix around $160 per share. Among the noteworthy losers was Spectrum Pharmaceuticals (SPPI), which dropped $1.18, or 15.82%, to $6.28 after a judge ruled that a drug which could compete with the company's Fusilev treatment does not infringe on the company's intellectual property. Also lower were shares of Boeing, which fell $3.57, or 2.26%, to $154.74 after the stock was downgraded to Sell from Neutral at Goldman Sachs. INDEXES: The Dow fell 23.60, or 0.13%, to 18,116.84, the Nasdaq gained 5.01, or 0.1%, to 4,960.97, and the S&P 500 slipped 0.64, or 0.03%, to 2,109.66.
12:21 EDTCI, AET, UNHOn The Fly: Midday Wrap
Subscribe for More Information
11:10 EDTCI, AET, UNHHealth insurers rise after CMS releases preliminary Medicare Advantage rates
The shares of a number of health insurers are rising after the Centers for Medicare and Medicaid Services, or CMS, issued preliminary 2016 Medicare Advantage rates. According to Credit Suisse, the rates were favorable for health insurers. WHAT'S NEW: On Friday after the market closed, CMS issued a proposal for 2016 Medicare Advantage rates. The rates are preliminary and could change when CMS announces the final 2016 rates on April 6 of this year, the agency noted. In a note to investors earlier today, Credit Suisse analyst Ralph Giacobbe estimated that, under CMS' initial proposal, insurers would see rate changes of between -1% and +1%, depending on the risk that each insurer faces. The preliminary rates were "favorable" for insurers, since the rates were "in-line if not slightly better" than investors had expected, the firm stated. Moreover, CMS decided not to restrict at-home health risk assessments, as had been feared, and agreed to reduce the weighting of certain risk factors that had hurt previously certain plans with a higher proportion of low-income beneficiaries, acceding to a request by insurers. Insurers with the highest exposure to Medicare Advantage include Humana (HUM), UnitedHealth (UNH), and WellCare (WCG), the analyst stated. WHAT'S NOTABLE: After analyzing CMS' proposal, health insurer Aetna (AET) estimated that the proposal would cause government funding for its Medicare Advantage business to decline by about 1% in 2016. Aetna added that it is continuing to evaluate the changes outlined in the Advance Notice and their impact on the company and its Medicare Advantage members. OTHERS TO WATCH: Other publicly traded health insurance companies include Anthem (ANTM), AMERIGROUP (AGP), Centene (CNC), Cigna (CI), Health Net (HNT), Healthspring (HS), and Molina Healthcare (MOH). PRICE ACTION: In mid-morning trading, Humana climbed 5.3% to $164.43, UnitedHealth rose 2.6% to $115.56, WellCare gained 6.3% to $90, Aetna advanced 2% to $99.91, and Centene added 3.4% to $61.93.
09:03 EDTAETAetna sees preliminary CMS rates to lower funding for MA business 1% in 2016
Subscribe for More Information
08:05 EDTUNH, CI, AETCMS releases preliminary Medicare Advantage rates for 2016
Subscribe for More Information
February 20, 2015
08:41 EDTUNH, CI, AETInsurers should be bought on weakness related to MA rates, says BMO Capital
Subscribe for More Information

Sign up for a free trial to see the rest of the stories you've been missing.

I agree to the theflyonthewall.com disclaimer & terms of use