Aetna Inc

The medical care ratio of health insurance companies is calculated as the ratio of the total money spent in health care claims to premiums earned.

Sage Therapeutics (SAGE) is focused on the development of the products for the treatment of life-threatening central nervous system (or CNS) disorders.

Based on the company’s performance in 1Q17, Anthem (ANTM) has increased its 2017 revenue guidance by around $1.5 billion.

It’s projected that UnitedHealth Group’s revenue and earnings growth in 2015 will be driven by the strong performance of the Optum segments.

In the US, the private health insurance industry has been expanding its footprint in international markets. International markets are less penetrated and competitive.

UnitedHealth Group (UNH) operates Optum. It provides health services like health technology, health and well-being, and pharmacy services.

UnitedHealth Group is a leading managed healthcare firm in the United States.

During the fourth quarter of 2014, Eminence Capital lowered its stake in Humana (HUM). The company accounted for 1.33% of the fund’s 4Q14 portfolio.

Humana’s total enrollment is mainly enrollments in the MA program, a substitute for the original Medicare program, via private insurance companies.

Given the high-risk profile of individual exchange enrollments, UnitedHealth Group has decided to offer plans only on a few public exchanges in 2017.

The Cigna–Anthem merger deal will be subject to all sorts of headlines that will affect the spread. You can make a decent return trading around the position by keeping your head .

If the Cigna–Anthem merger closes, you end up making about $35 a share. If the deal breaks, then you would have to cover at $52 a share.

UnitedHealth Group (UNH) has announced that its board of directors has authorized a cash dividend of $0.90 per share.

On June 28, UnitedHealth Group (UNH) ended the trading day at $244.90, ~4.6% lower than its 52-week low of $183.86 reached on July 18, 2017.

UnitedHealth Group (UNH) released its Q3 2018 earnings today. UNH reported sales of $56.6 billion, up ~12.4% on a year-over-year basis.

Scenario analysis  In the risk-arbitrage world, a 12.2% expected return means a deal that has a lot of risk. Arbitrageurs sometimes refer to risk as “hair.” This deal is guaranteed a second request, and the regulators may simply be unable to get comfortable with the transaction, no matter what the companies offer in the way […]

UnitedHealth Group (UNH) is one of the largest Fortune 500 companies.

Glenview Capital Management added a 0.49% new position in PHH Corporation.

UnitedHealth Group is, by revenue, the largest healthcare company in the world.

Today, UnitedHealth Group (UNH) reported its earnings results for the second quarter of fiscal 2018. The company reported sales of $56.1 billion, up ~12% on a (year-over-year) basis.

The healthcare bill’s failure had a negative impact on investor sentiment for health insurance carriers.

UnitedHealth Group (UNH) released its 4Q15 and full year 2015 earnings on January 19, 2015. The company registered diluted EPS attributable to common shareholders of $1.26 in 4Q15 and $6 for 2015.

UnitedHealth Group (UNH) stock registered its 52-week high of $270.17 last week on August 30.

Of the 24 analysts covering UNH stock, ten have recommended a “strong buy,” and 13 have recommended a “buy.”

The growth of the ASEAN member nations has been extraordinary, to say the least. The GDP for the region expanded at a whopping 313% between 2001 and 2013.

On March 14, 2018, UnitedHealth Group (UNH) ended trading at $225.38 per share.

As of September 24, ten of the 24 analysts covering UNH stock have given it a “strong buy” recommendation.

Of the 23 analysts covering UNH stock, all of them have “buy” or “strong buy” recommendations for UnitedHealth Group.

Around 70% of the US population lives within three miles of a CVS store, while more than 75% of the population lives within five miles of a Walgreens store.

On April 17, UnitedHealth Group (UNH) reported its 1Q18 earnings results. UNH stock rose ~3.6% from its April 16 closing price.

On March 7, 2018, Cigna (CI) announced that it has entered into a definitive agreement to acquire Express Scripts (ESRX) for $67 billion.

In December 2016, the U.S. Attorney’s office for the District of Massachusetts issued an indictment against six former Insys (INSY) employees.

CVS is paying more than 11 times the trailing 12-month EBITDA for Aetna.

CVS Health (CVS), America’s largest pharmacy chain, announced a $69 billion deal to purchase Aetna (AET), the country’s third-largest insurance company, on December 3, 2017.

With trailing 12-month sales of $181 billion, CVS Health is a pharmacy colossus. However, its focus seems to be on becoming more than just a retail pharmacy chain.

Medtronic’s (MDT) Hospital Solutions segment registered double-digit growth in fiscal 1Q18.

WellCare Health Plans has updated its earnings per share guidance from the previously estimated range of $6.00–$6.25 to the new range of $6.55–$6.80.

In 1Q17, WellCare Health Plans (WCG) reported revenues of ~$3.9 billion, which totals year-over-year growth of around 11.7%.

On April 28, 2017, WellCare Health Plans (WCG) completed the acquisition of Universal American Corp. This deal added 119,000 Medicare Advantage members from several major markets

Centene (CNC) has projected its health benefit ratio (or HBR) for the full year 2017 to fall in the range of 87.0% to 87.5%.

In 1Q17, UnitedHealth Group’s (UNH) UnitedHealthcare business witnessed a 2.5 million year-over-year increase in customers.

In its bid to control healthcare costs, UnitedHealth Group’s (UNH) OptumRx segment has been actively deploying data analytics across its Optum platform.

Optum360, UnitedHealth Group’s (UNH) hospital revenue cycle management solution, is expected to reach $60.0 billion in billings for clients and partner organizations.

Compared to the Russell 3000 Growth Index, SPECX is markedly overweight in the information technology and healthcare sectors.

UnitedHealth Group’s healthcare delivery business, OptumHealth, managed to earn $4 billion revenues in 1Q16, which represents a YoY growth of about 22%.

In its 1Q16 conference call, Anthem updated its 2016 revenue guidance to $81 billion–$82 billion—higher than the previous projection by about $1 billion.

Centene managed to increase its public exchange membership from 75,000 members in 2015 to 146,000 members in 2015.

Aetna’s Humana acquisition is mainly aimed at increasing the combined companies’ exposure to the high-growth Medicare business. The deal is currently being scrutinized by antitrust regulators.

The large-cap stocks of the iShares US Healthcare Providers ETF (IHF) rose marginally with a return of 0.35%. They outperformed IHF and SPY.

To strengthen their presence in international markets, health insurance companies have been involved in mergers and acquisitions with local insurance companies in these markets.

In 3Q15, despite a rise of total revenues by 27% year-over-year, which includes 10% organic growth, UnitedHealth Group reported a decline of about 1% in net profit margins.

PanAgora and Renaissance Technologies are both investment management firms that use a quantitative-based investment approach.

Based on market capitalization, UnitedHealth Group appears to be a stronger partner for Cigna.

Centene projects that Health Net’s acquisition will help Centene realize pre-tax synergies worth $150 million by the end of the second year after the closure of the deal.

The Centene–Health Net deal is expected to be completed by early 2016, pending approval by the shareholders of both companies.

Centene aims to position itself as a leader in the fast-growing Medicaid market. Health Net’s acquisition will add ~1.7 million Medicaid members to the company’s portfolio.

On July 2, Centene announced the acquisition of Health Net for a combination of cash and shares amounting to $6.8 billion. This includes the assumption of Health Net’s $500 million debt.

UnitedHealth Group (UNH) posted its 1Q15 earnings on April 16, 2015. Following the release, UnitedHealth Group’s share price increased by 3.6%.

The Cigna business model is more concentrated toward commercial enrollments but is diversified across various delivery platforms.

Disability accounts for about 49% of the company’s Group Disability and Life Business revenues. It covers over 7.5 million people.

Centene’s business strategy focuses on improving the quality of its services. It provides services to the uninsured and underinsured population in 22 states in the US.

Cigna’s (CI) Global Supplemental Benefits segment accounts for about 9% of the company’s total revenues.

International expansion is a hallmark of Cigna’s business. Cigna has inked deals in Turkey, Belgium, Brazil, Japan, Taiwan, Thailand, et cetera.

Among Cigna’s major strategic mergers and acquisitions was HealthSpring, acquired in 2012 for a consideration of $3.8 billion.

Aetna’s recoverables and payables from the premium stabilization program amounted to $338 and $230 million, respectively.

In the commercial business, self-insured coverage means the employer is responsible for the probable claim obligations of the employees.

Customer segments The players in the private health insurance industry (IYH) aim for a favorable enrollment mix to reduce taxes and other liabilities while at the same time generating sustainable profits. Accordingly, managed care organizations such as Humana (HUM), Aetna (AET), Anthem, Cigna (CI), and WellCare Health Plans (WCG) are increasingly focusing on government-sponsored and international enrollments to balance […]

Most of Cigna’s revenue comes from insurance for employer-sponsored as well as Medicare and Medicaid beneficiaries.

UnitedHealth Group (UNH) is a health insurance provider. It faces a unique combination of business risks, including business mix and competition risks.

UnitedHealth Group’s OptumRx segment provides PBM services to more than 30 million Americans. It manages about $40 billion in pharmaceutical spending annually.

The medical care ratio measures a health insurance company’s financial health. Aetna’s (AET) medical care ratio declined from 83.9% in 4Q13 to 83% in 4Q14.

Aetna (AET) earns about 38% of its revenue by providing health insurance services to government-sponsored enrollees.

UnitedHealth Group’s OptumHealth segment is responsible for implementing measures to improve the quality of service and patient satisfaction.

In the private health insurance industry, the operating expenses mainly involve the costs for providing hospital benefits and emergency services.

Aetna’s membership is mainly concentrated in the western US, followed by the Southeast, the Northeast, the Mid-US, and finally consolidated international enrollments.

The private health insurance industry in the US has been expanding its footprint in international markets. International markets are less penetrated and competitive.

Out of UnitedHealth Group’s (UNH) four business segments, UnitedHealthcare accounted for 71.3% of the company’s revenue.

Aetna projects that its value-based spending as a part of the total spending will rise from 25% in 2014 to 50% in 2018.

Managed care organizations (XLV) enter into a contract with a set of health care providers, or a provider network, to provide care for members at reduced costs.

Aside from the standard healthcare policies, players in the private health insurance industry also offer specialty insurance.

Aetna (AET) derives 58% of its operating revenues from its commercial business, which involves offerings such as fully insured health plans and self-insured health plans.

Out of Aetna’s (AET) three business segments, Health Care accounted for 95% of the company’s revenue.

With a market capitalization of $35.1 billion, Aetna (AET) is one of the largest insurance providers in the US.

Health insurance companies (XLV) use diversification strategies across markets, products, and services to maintain their operating margins.

In 2014, OptumInsight released a population health analytics tool—OptumOne. It enables hospitals to improve the quality of care.

Medicare Part D is a federal government program. It subsidizes prescription drug expenses for Medicare beneficiaries.

The private health insurance industry offers a diverse range of products. The products combine health plans with financial accounts to cater to different consumers’ needs.

Humana’s (HUM) fully insured enrollments remained almost stable at 1.2 million in the fourth quarter of 2013 and the fourth quarter of 2014.

Employer-sponsored coverage, a major form of insurance, increasingly adopted self-insured plans. They’re more cost-effective and flexible than fully-insured plans.

With a market capitalization of $107.1 billion, UnitedHealth Group is the largest insurance provider in the US. It registered revenue worth $130.5 billion in 2014.

Humana’s employed and contracted primary-care physicians rose by 29.2% from 11,300 in 2013 to 14,600 in 2014.

Humana reported its fourth quarter 2014 financial results. The company reported revenue of $12.3 billion—an increase of 21% year-over-year.

There are minimum amounts of capital that a health insurance company should possess in order to protect its customers and investors from financial risk.

Humana is competing based on price and geography to capture a higher market share of the customers buying plans on exchanges.

Investment advisers or mutual funds are the main stakeholders in Humana, accounting for about 81.7% of its total ownership picture.

Humana’s pharmacy business covers about 9 million people, and 6 million of those are Medicare beneficiaries.

Humana’s core strategy is an integrated care delivery model. Its Healthcare Services segment provides the required ancillary services.

Humana’s retail insurance business segment contributes 66.5% of overall company revenues. Employer-sponsored programs follow with 27.6%.

Humana (HUM) is the third-largest health insurance provider in the US, with over 13 million customers. Humana is also 73rd in Fortune 500 rankings.

The operating expenses of the private health insurance industry depend on the design of health plans and on the life history, age, and health of enrollees.