Hospital, Insurer Stocks Rally On High Court Decision
Hospitals led a surge among health-care companies, with some of them reaching all-time highs, as the Supreme Court upheld a key piece of the Affordable Care Act, lifting the main threat hanging over the industry’s prospects.
Reuters:
Obamacare Ruling Ends Threat To U.S. Hospitals, Insurers
The U.S. hospital and health insurance industries breathed a collective sigh of relief on Thursday after the U.S. Supreme Court upheld subsidies for individuals under President Barack Obama's signature healthcare law. Shares in hospitals surged, with several hitting all-time highs, on the expectation that patients would be able to continue paying for services. Health insurer stocks also gained. Wall Street analysts called the ruling positive for an industry on the edge of consolidation. (Humer and Berkrot, 6/25)
The Wall Street Journal:
Insurers, Hospitals Relieved As Supreme Court Upholds Subsidies
Health insurers and hospital operators were relieved by Thursday’s Supreme Court ruling, which upholds subsidies for millions of customers in an industry already bracing for belt-tightening and a new round of consolidation. (Wilde Mathews and Weaver, 6/25)
Bloomberg:
Supreme Court's ACA Ruling Boosts Health Care Stocks
The U.S. Supreme Court has ruled 6-3 to uphold tax subsidies that are at the core of President Barack Obama’s Affordable Care Act law. Bloomberg’s Shannon Pettypiece and Julie Hyman examine what the ruling means to hospital and health care companies. (6/25)
Los Angeles Times:
Supreme Court's Obamacare Ruling Boosts Hospitals, Health Insurers
In wake of the decision, employers and other healthcare industry officials urged political leaders to tackle the unfinished business of taming the country's runaway medical spending. ... On Wall Street, hospital and health insurance company stocks rallied on news of the court decision. (Terhune, 6/25)
Bloomberg:
Hospitals Rally As Supreme Court Upholds Subsidies
Hospitals led a rally among health-care companies as the U.S. Supreme Court upheld a key piece of President Barack Obama’s Affordable Care Act, lifting the main threat hanging over the industry’s prospects. HCA Holdings Inc., Tenet Healthcare Corp. and Community Health Systems Inc. all gained more than 8 percent after the ruling. Health insurers also advanced. (Tracer, 6/25)
Marketplace:
With Obamacare Upheld, Health Care Firms Exhale
Thursday's 6-3 Supreme Court vote upholding a major tenet of the Affordable Care Act means health insurers and health care providers are breathing a sigh of relief — this is the outcome they wanted — but that doesn’t mean they can rest. They're still in the process of figuring out how to thrive in this still-new health care environment. (Gorenstein, 6/25)
CNN Money:
Big Winner From Obamacare Ruling: Health Care Stocks
President Obama wasn't the only one cheering Thursday's Supreme Court ruling in favor of Obamacare. Investors were too. Health care stocks surged on the news. Hospitals were the biggest winners. Tenet Healthcare (THC) jumped over 12%, making it the top gaining stock of the day. The company runs 80 hospitals in the U.S. and over 400 outpatient facilities. (Long, 6/25)
The Huffington Post:
Health Care Stocks Soar After Obamacare Victory In Supreme Court
On Thursday morning, stock prices of hospitals and five of the biggest health insurers climbed after the Supreme Court handed a victory to Obamacare.
The 6-3 decision in King v. Burwell upheld a key part of the 2010 Affordable Care Act, which offered tax subsidies to states to establish their own health care exchanges.
Major hospitals led the surge. Dallas-based health service provider Tenet Healthcare soared nearly 12 percent after the ruling. Community Health Services, the biggest non-rural hospital chain, climbed nearly 10 percent. HCA Holdings, the parent company of Hospital Corporation of America, rose close to 9 percent. LifePoint Hospitals, which provides health services in rural areas, swelled about 7 percent. (Kaufman, 6/25)
CBS News:
Hospital Stocks Jump As Obamacare Subsidies Upheld
Stocks of hospital operators and other providers of health care rallied Thursday after the U.S. Supreme Court voted 6-3 in upholding tax subsidies that are central to President Barack Obama's Affordable Care Act. HCA Holdings (HCA) and Tenet Healthcare (THC) both jumped nearly 9 percent in the moments after the high court ruling. By the close of the session, shares of HCA were up about 9 percent and Tenet Healthcare were up 12 percent. (Gibson, 6/25)
