Medical services industry
Article Abstract:
The healthcare industry is in a transitional stage, making it difficult to identify promising stocks. As a result healthcare stocks score low in timeliness. Investors interested in these stocks should weigh their earnings potential against certain healthcare reform parameters. Among these are geographic diversification, the size and diversity of delivery networks, healthcare providers' adeptness at incorporating new acquisitions, and managed-care expertise.
Publication Name: The Value Line Investment Survey (Part 3 - Ratings & Reports)
Subject: Business, general
ISSN: 0042-2401
Year: 1995
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Medical services industry
Article Abstract:
The medical services industry will be financially challenged in the mid-1990s due to Medicare and Medicaid budget limitations and other forces. A 33% decline in utilization since 1975, technology, and consolidation have lowered hospital earnings and this will continue through 2000. Medical service earnings are expected to reach double-digits in the late 1990s, but investors will wish to diversify their holdings in this industry.
Publication Name: The Value Line Investment Survey (Part 3 - Ratings & Reports)
Subject: Business, general
ISSN: 0042-2401
Year: 1995
User Contributions:
Comment about this article or add new information about this topic:
Medical services industry
Article Abstract:
Medical service industry stocks will perform well in 1995, but there is some risk since the industry is undergoing significant restructuring, which is putting downward pressure on prices. The operative factors here are attempts to reduce Medicare and Medicaid spending, with concomitant cost shifting, and managed care, which is forcing consolidation. These trends favor HMOs and similarly structured healthcare providers.
Publication Name: The Value Line Investment Survey (Part 3 - Ratings & Reports)
Subject: Business, general
ISSN: 0042-2401
Year: 1995
User Contributions:
Comment about this article or add new information about this topic: