Here are five hospitals and health systems with strong operational metrics and solid financial positions based on recent reports from Moody's Investors Service, Fitch Ratings and S&P Global Ratings.
Note: This is not an exhaustive list. Health system names were compiled from recent credit rating reports. Systems are listed in alphabetical order.
1. Boston Children's Hospital has an "Aa2" rating and stable outlook with Moody's. The hospital has a leading reputation for pediatric clinical care and positive operating margins, according to Moody's.
2. Deaconess Health System has an "AA-" rating and stable outlook with Fitch. The Evansville, Ind.-based system has a leading market position and robust profitability, according to Fitch.
3. Harris County Hospital District has an "AA" rating and stable outlook with Fitch. The Houston-based system has steady liquidity and a manageable debt burden, according to Fitch.
4. Mayo Clinic has an "Aa2" rating and stable outlook with Moody's. The Rochester, Minn.-based system has demonstrated national and international draw for patients leading to geographic diversity of revenue, according to Moody's.
5. Providence St. Joseph Health has an "AA-" rating and stable outlook with S&P, an "Aa3" rating and stable outlook with Moody's and an "AA-" rating and stable outlook with Fitch. The Renton, Wash.-based system has an expansive service area and a large pro forma revenue base of more than $20 billion, according to Moody's.
More articles on healthcare finance:
Chinese billionaire ups stake in CHS for $31.9M
Fitch: Change in political environment could disrupt healthcare business models
This week's 5 must-reads for hospital CFOs