KKR (KKR) is expected to post earnings per share (or EPS) of $0.49 in 1Q17 as compared to a loss per share of $0.65 in the corresponding quarter last year.
The effects of repealing Obamacare Donald Trump is definitely not in favor of the Affordable Care Act, known as Obamacare. As he wants to repeal the act completely and replace it with another policy, the hospital sector fell on November 9, the day after the election. Trump believes that providing healthcare facilities to illegal immigrants costs […]
In the week ended August 3, 2016, leveraged loan funds saw inflows worth $60.4 million. In the previous week, leveraged loan funds had outflows of $15 million.
According to S&P Capital IQ/LCD, US leveraged loans saw an allocation of $18.4 billion worth of dollar-denominated senior loans in the week ended August 5, 2016.
KKR & Co. (KKR) is expected to post EPS of $0.39 in the June quarter—compared to $0.88 in the same quarter last year and losses in the previous quarter.
According to data from Lipper, leveraged loan funds saw an inflow for the second consecutive week. The quantum of inflows came in at $176 million last week.
Leveraged loan funds saw inflows in the week ending March 9 after 32 consecutive weeks of outflows. However, the amount of inflows was small at $55.0 million last week.
On a same-facility basis, emergency visits at LifePoint fell by 1.8% year-over-year, leading to a fall in same-hospital equivalent admissions during 4Q15.
During 4Q15, salaries and benefits for LifePoint Health (LPNT) amounted to $652.7 million, up 6.6% in comparison with the same quarter of the previous year.
What drives LifePoint’s revenue? Major revenue drivers for LifePoint Health (LPNT) include: Equivalent admissions Medicare case mix index Average length of stay Inpatient and outpatient surgeries Emergency room visits Outpatient factor To learn more about the company’s organic growth strategy, please refer to Organic growth strategy at LifePoint Hospitals. Admissions on a consolidated basis LifePoint’s consolidated […]
In 2015, HCA Holdings’s bad debt expense—represented by the provision for doubtful accounts—totaled $3.9 billion. It rose by ~23.5% YoY (year-over-year).
In 4Q15, HCA Holdings spent about $8.1 billion on salaries, supplies, and other operating expenses combined—an increase of 5.3% from $7.7 billion spent in 4Q14.
In 4Q15, HCA Holdings earned ~$6.1 billion in revenue from inpatient admissions. It also earned about $4.1 billion in revenue from outpatient admissions.
BlackRock is not upbeat about fixed income in 2016. It’s more optimistic about stocks than it is about bonds, specifically European and Japanese equities.
High-yield bond funds have become out of favor with investors. Recently, the ICI released weekly data on estimated fund flows for high-yield bonds funds.
An indirect and wholly owned subsidiary of Clear Channel Outdoor Holdings, Clear Channel International issued $225 million in dollar-denominated junk bonds.
On December 1, the healthcare-services subgroup outperformed all other subgroups in XLV with a return of 3.3%. The biotechnology subgroup returned 0.8%.
XLV closed at $71.56 on November 24, 2015, trading 0.35% below the 100-day moving average price of $71.89 and 0.2% above the 20-day moving average price of $71.40.
In 3Q15, Universal Health Services was actively involved in exploring growth opportunities, both in its acute care as well as behavioral health business.
Investors should note that high-yield bonds are risky securities to begin with. The add-on risk of widening spreads may not suit all types of investors.
Junk bond, or high yield debt, issuers returned to the primary market after looking out for the monetary policy announcement by the Federal Reserve in the previous week.
HCA Holdings stock rose on positive developments that prompted a major healthcare ETF, the Health Care Select Sector SPDR Fund (XLV), to add it to its portfolio.
Same-facility inpatient admissions rose by 5.1% in 1Q15 on a year-over-year basis. Same-facility equivalent admissions, a measure of total inpatient and outpatient admissions, grew by 6.8%.
With 67 hospitals, acquisitions continue to strengthen its position in rural markets, especially where LifePoint Hospitals is the sole healthcare provider.
Although the increase in total admissions for behavioral health has been more than the acute care segment, revenue per admission declined for the former segment.
In case of behavioral health services, CMS uses a per diem type of fee-for-service payment method. Hospitals are reimbursed based on the length of a patient’s stay.
Universal Health Services (UHS) has displayed a trend in payer mix from 2011 to 2013 that differs from other companies in the healthcare industry (XLV).
Universal Health Services entered the UK market by acquiring Cygnet Healthcare, a leading behavioral health provider, in an all-cash deal of $335.0 million.
For-profit hospital operators each focus on one service line in addition to acute care services to reduce their business risk and earn sustainable profits.
Universal Health Services (UHS) earns more than 50% of its total revenues from the Texas, Nevada, Florida, California, and District of Columbia markets.
The ownership structure of the healthcare sector is mainly dominated by institutional investors such as mutual funds, hedge funds and private equity funds.
Universal Health Services (UHS) has consistently provided good returns. Its performance surpassed that of the Health Care Select Sector SPDR ETF (XLV).
The Supreme Court has agreed to hear a case deciding whether a tax subsidy should be provided to low- and moderate-income people buying insurance federally.
The implementation of this tax, called the Cadillac tax, will take effect beginning 2018. Post-2018, the threshold will be indexed to general inflation
The healthcare industry, represented by the Healthcare Select Sector SPDR, is affected by the unemployment rate. Income affects people’s health choices.
Inflation closely relates to the performance of the healthcare industry (XLV), as it affects the rates that hospitals charge and the costs of medical care.
Hospital admissions are classified in two categories, inpatient admissions and outpatient admissions. Patients who are admitted overnight are inpatients.
According to the ACA, Medicaid expansion programs involve states changing the eligibility limits of Medicaid coverage to include population up to 138% of the federal poverty line.
The hospital sector is widely considered a non-cyclical or defensive industry, meaning demand for hospital services doesn’t change with the economic cycle.
With solutions such as flexible staffing and optimal group purchasing provided by Parallon, HCA Holdings has better operating margins as compared to its peers.
Despite having negative equity, HCA Holdings is backed by strong operational performance and debt-to-EBITDA figures, which are among the lowest in the industry.
HCA Holdings uses advanced staffing solutions such as creating a centralized float pool of nurses instead of directly hiring nurses for different facilities.
HCA Holdings earns about 50% of revenues from facilities in Florida and Texas, which have high levels of uninsured populations at 22.1% and 20.1%, respectively.
HCA Holdings is capturing market share in the $15 billion urgent care clinic market field by focusing on acquiring or opening standalone urgent care clinics.
The company acquires hospitals to create regional networks, especially in states where more of the population is uninsured. By positioning itself to be the network provider in under-penetrated markets, the company can earn higher revenues.
With the implementation of Obamacare reforms, the healthcare industry is now developing new methods of providing quality care to patients. The variety of physician practices affiliated with Community Health Systems is giving more patients access to preventive health services.
Community Health Systems acquires two to four hospitals each year as a part of its growth strategy. Reducing duplicate functions at the corporate level reduces overhead salary costs.
The Patient Protection and Affordable Care Act (or ACA) and Health Care and Education Affordability Reconciliation Act are together called “Reform Legislation.”
Sources of revenue For-profit hospitals like HCA Holdings (HCA), Tenet Healthcare (THC), Universal Health Services (UHS), and Community Health Systems (CYH) receive payments from federal Medicare, state Medicaid, or similar programs, managed care, third-party payers, and directly from patients. You can reduce your dependence on payment variations from different payers by investing in the Healthcare Select Sector […]
Capital projects in the hospital sector include purchasing new facilities, purchasing medical equipment, renovating and replacing existing hospitals, and investing in information systems infrastructure.
