UnitedHealth drops copays for COVID-19 tests

Consistent with other major U.S. health insurers, UnitedHealth Group (UNH -6.7%) has waived out-of-pocket costs for members for diagnostic testing for COVID-19. Other actions:

Optum’s Emotional Support Help Line open 24/7.

OptumCare clinicians trained on CDC safety and clinical care protocols.

Members encouraged to use the company’s Virtual Visit via the UnitedHealthcare app.

UNH is using advanced analytics to enhance situational awareness and enabling real-time evolution of support services as the situation changes.

https://seekingalpha.com/news/3549758-unitedhealth-drops-copays-for-covidminus-19-tests

With stocks halted limit down, 30-year bonds go parabolic

30-year Treasury futures go on an unprecedented tear, now +6.4% since Friday! Recently, 30-year bonds yielded 0.7%. No, that’s not a typo.

The 10-year Treasury yield dropped as low as 0.36%, down more than 40bps from Friday’s close.

Meanwhile, in Germany 10-year yields tumbled to -0.85%.

It’s possible that traders are using bonds to offset stock positions, given their inability to do with equity futures due to CME trading halts.

Stock futures will remain halted until the open down 5%, or until they trade higher. Euro Stoxx futures, unencumbered by trading limits, are down 9.9%.

See overnight limit-down rules here.

https://seekingalpha.com/news/3549602-stocks-halted-limit-down-30-year-bonds-go-parabolic

Varian cuts outlook due to COVID-19

Citing delays in hardware and software installations and acceptance as well as deliveries of interventional oncology procedures due to COVID-19, Varian (NYSE:VAR) has trimmed its fiscal Q3 revenue forecast to $800M-825M versus consensus of $873.2M.

Revenue growth for fiscal 2020 is now expected to be 7-9% compared to 9-12%.

Management will provide additional updates during its FQ2 earnings call. It will also host a conference call today at 8:00 am ET to discuss the impact from COVID-19.

https://seekingalpha.com/news/3549632-varian-cuts-outlook-due-to-covidminus-19

PerkinElmer cuts views due to coronavirus outbreak

Citing “significant” deterioration in demand in China last month from COVID-19-related commercial disruptions, PerkinElmer (NYSE:PKI) expects Q1 and 2020 revenue to be below guidance of $700M and $3.05B-3.09B, respectively.

It will provide additional updates during its Q1 earnings call on Tuesday, May 5, after the close.

https://seekingalpha.com/news/3549634-perkinelmer-cuts-views-due-to-coronavirus-outbreak

Amtrak pulls back on East Coast schedule

Amtrak says it’s canceling its Acela nonstop service between New York and Washington until May 26 due to lower demand amid the coronavirus outbreak.

The company is also waiving change fees on all existing or new reservations made before April 30.

The airline industry has also seen business and personal travel demand in the U.S. fall off sharply over the last weeks.

https://seekingalpha.com/news/3549642-amtrak-pulls-back-on-east-coast-schedule

Analyst action, March 9

Revolution Medicines (NASDAQ:RVMD) initiated with Buy rating and $50 (56% upside) price target at Guggenheim. Initiated with Neutral rating and $32 price target at JPMorgan. Initiated with Outperform rating at Cowen. Initiated with Outperform rating and $40 price target at SVB Leerink.

Amedisys (NASDAQ:AMED) upgraded to Buy with a $205 (18% upside) price target at Benchmark.

Healthcare Realty Trust (NYSE:HR) upgraded to Outperform with a $43 (13% upside) price target at BMO.

Physicians Realty Trust (NYSE:DOC) upgraded to Outperform with a $23 (13% upside) price target at BMO.

BioNTech SE  (NASDAQ:BNTX) downgraded to Neutral with a $30 (21% downside risk) price target at H.C. Wainwright. Shares down 2% premarket.

Gilead Sciences (NASDAQ:GILD) downgraded to Outperform (from Top Pick) with an $86 (7% upside) price target at RBC. Shares down 2% premarket.

Welltower (NYSE:WELL) downgraded to Market Perform with an $80 (8% upside) price target at BMO.

https://seekingalpha.com/news/3549645-rbc-trims-view-on-gilead-in-premarket-analyst-action

Bristol-Myers Squibb’s Empliciti flunks first-line myeloma study

Bristol-Myers Squibb (NYSE:BMY) reports unsuccessful results from a Phase 3 clinical trial, ELOQUENT-1, evaluating Empliciti (elotuzumab) in newly diagnosed multiple myeloma (MM) patients who were transplant ineligible.

Specifically, the addition of Empliciti to Revlimid (lenalidomide) and dexamethasone failed to demonstrate a statistically significant improvement in progression-free survival (PFS) compared to Revlimid + dexamethasone alone.

No new safety signals were observed.

Complete data will be submitted for presentation at a future medical conference.

The company is co-developing Empliciti with AbbVie (NYSE:ABBV).

The FDA approved the SLAMF7-directed immunostimulatory antibody in November 2015 for MM patients who have received one-to-three prior lines of therapy and in November 2018 for certain other MM patients (both indications are combo therapies).

BMY and ABBV are both down 4% premarket on light volume.

https://seekingalpha.com/news/3549658-bristol-myers-squibbs-empliciti-flunks-first-line-mm-study