Democrat debate affirms single-payer risk is easing, analyst says

Fresh attacks on Medicare-for-All during last night’s Democratic presidential debate seemed to draw “a relatively weak defense” from Sen. Warren, which should reinforce consensus that the risk is fading and bode well for managed care and hospital stocks over the next 12 months, says BMO analyst Matt Borsch.

Even a public option “unless very narrowly defined” would be unlikely to pass even if Democrats win control of both the White House and Senate, Borsch believes.

The analyst reiterates his favorite stocks in the group: Cigna (NYSE:CI), Anthem (NYSE:ANTM), Centene (NYSE:CNC) and Molina Healthcare (NYSE:MOH) and Anthem (ANTM) among payers, and HCA Healthcare (NYSE:HCA) and Encompass Health (NYSE:EHC) among facilities.

But given the focus on Medicare, Borsch sees Humana (NYSE:HUM) and UnitedHealth (NYSE:UNH) as having the most at stake in the 2020 election.

https://seekingalpha.com/news/3521279-democrat-debate-affirms-single-payer-risk-easing-analyst-says