Health and Fitness Health and Fitness
Mon, December 22, 2008
Sun, December 21, 2008
Fri, December 19, 2008

Zacks Analyst Interview Highlights: Wellpoint, Humana and Healthsouth


Published on 2008-12-19 03:38:35 - Market Wire
  Print publication without navigation


CHICAGO--([ BUSINESS WIRE ])--Zacks.com releases the latest Analyst Interview. Today's interview is with senior analyst Chris Kallos,who talks about Wellpoint (NYSE: [ WLP ]), Humana (NYSE: [ HUM ]) and Healthsouth (NYSE: [ HLS ]).

A synopsis of today's Analyst Interview is presented below. The full article can be read at [ http://at.zacks.com/?id=2678 ].

Despite our currently neutral stance on managed care providers overall, we continue to rate Wellpoint (NYSE: [ WLP ]) as a Buy given its broad product offering, geographic reach and potential for added synergy gains from relatively recent acquisitions. Furthermore, managed care companies in general remain well-capitalized and unlikely to be affected by the current credit crisis, negative investor sentiment aside.

Humana (NYSE: [ HUM ]) also remains attractive at current levels. The company is one of the largest healthcare plan providers in the United States, with approval from The Centers for Medicare & Medicaid Services (CMS) to offer the Medicare Part D prescription drug plans (PDP) to the more than 42 million Medicare-eligible beneficiaries.

Highly leveraged companies are obviously more likely to be affected by any deterioration of the current credit crisis. For example, Healthsouth (NYSE: [ HLS ]), which, despite efforts to reduce debt exposure, remains vulnerable.

Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today by visiting [ http://at.zacks.com/?id=2679 ].

About Zacks

The performance of the Zacks Rank portfolios shown above for annual and year-to-date periods are the linked monthly total returns (price changes + dividends) of equal weighted hypothetical portfolios, consisting of those stocks with the indicated Zacks Rank, assuming monthly rebalancing and zero transaction costs. These are not the returns of actual portfolios. The hypothetical portfolios were created at the beginning of each month from Jan 1988 forward based on the values of the Zacks Rank available to Zacks' clients before the beginning of each month.

The portfolios created monthly from 1988 through September 2006 exclude ADRS and are comprised of stocks that have the indicated Zacks Rank and were covered by at least two analysts at the time of the stocks inclusion in the portfolio. Starting in October 2006 and going forward, the portfolios are comprised of all stocks with the indicated Zacks Rank and do not exclude ADRs, which is more reflective of the list of stocks that customers will find on the Zacks web sites. 2007 returns are for the period of Jan 1 – Jun 30, 2007. These performance numbers have been audited from 1995 through 2003 by Autschuler Melovan, a division of American Express Financial.

Contributing Sources