HMO OutlookHMO Outlook on Bloomberg:
Comments by Charles Boorady, Managed Healthcare Analyst for Goldman Sachs & Co:
President Clinton’s address last night was not as negative for the Group as people expected it to be; Also, the tone of the President was very conciliatory, extending a few olive branches to the other side of the aisle and to the industry.
One of the most significant issues in the State of the Union Address was the patient bill of rights, and Clinton didn’t mention liability at all. That leaves the door open for a more business-friendly bill of rights without a right to sue.
Issues: Top-line growth is slowing; the industry’s entering a period of consolidation; Mergers have not been very fruitful to date in this industry.
Stock Picks: UNH, C, WLP; All will report well for the 4th Qtr results.
For a link to the segment see
https://207.235.5.146/ArticleView.ASP?articleid=37124