Thu, 10/30/2008 - 10:18pm — DCblogger
US health insurers, already feeling unwell at the prospect of a Barack Obama presidency, had their condition further downgraded this past week as the financial crisis hit earnings. While the patient has suffered a bit of a shock, the prognosis is better than the average 61 per cent drop over the past year in the shares of six leading managed-care companies would suggest.
The average prospective earnings multiple of Aetna, Humana, Cigna, UnitedHealth, WellPoint and Coventry Health Care of 5.4 times is pricing in an iron-fisted approach to healthcare reform under a Democratic White House and possibly a filibuster-proof majority in the Senate. But the reality may be closer to a velvet glove – or perhaps a latex one.
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Out of Curiosity
Why would they be feeling "unwell" at the idea of an Obama presidency? I can see why they'd be a little worried at a stronger Democratic Congress, though.
But, we've always been at war with Eastasia...
Obama will pass some regulations
it will be more difficult to carry out the denial of care business model. But truthfully their stocks are down because everyone is figuring out that their business model makes no sense, which is why their management is dumping stock, check the links.
If they go out of busines it won't be too soon
I hope their stock tanks and they go the way of the Dodo bird.
We don't need their profit taking running up prices any more.
"A little knowledge is a dangerous thing. So is a lot." - Albert Einstein