Wedbush Downgrades Health Net (HNT) to Neutral; Rebate Position Less of a Competitive Advantage
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Price: $67.19 --0%
Rating Summary:
4 Buy, 11 Hold, 2 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 2 | Down: 8 | New: 5
Rating Summary:
4 Buy, 11 Hold, 2 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 2 | Down: 8 | New: 5
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Wedbush downgraded Health Net (NYSE: HNT) from Outperform to Neutral, price target lowered from $37 to $31.
Wedbush analyst says, "Lowering 2012E to $3.22 from $3.33, reflecting view of 2012 commercial industry pricing cycle declining 100bps and negative flow-through to MLR despite continued low utilization assumptions. We are downgrading Health Net because: 1) we no longer see MLR reform as a significant source of margin compression for its peers and 2) its high commercial market exposure could pressure margins if the pricing cycle turns."
For an analyst ratings summary and ratings history on Health Net click here. For more ratings news on Health Net click here.
Shares of Health Net closed at $28.88 yesterday.
Wedbush analyst says, "Lowering 2012E to $3.22 from $3.33, reflecting view of 2012 commercial industry pricing cycle declining 100bps and negative flow-through to MLR despite continued low utilization assumptions. We are downgrading Health Net because: 1) we no longer see MLR reform as a significant source of margin compression for its peers and 2) its high commercial market exposure could pressure margins if the pricing cycle turns."
For an analyst ratings summary and ratings history on Health Net click here. For more ratings news on Health Net click here.
Shares of Health Net closed at $28.88 yesterday.
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