The for-profit hospital industry stabilized last week after a rough start to November.
Two weeks ago, shares of the six major investor-owned hospital companies plunged due to varying reasons, including negative speculation surrounding the health insurance exchanges and poor third-quarter earnings reports. Shares of Dallas-based Tenet Healthcare Corp. alone dropped 10.3 percent.
However, this past week, a sense of calm was somewhat restored, especially for Franklin, Tenn.-based Community Health Systems and Naples, Fla.-based Health Management Associates. Their shares rose 2.7 percent and 5.5 percent, respectively, after Health Management's new board and major New York City-based investor Glenview Capital Management gave their blessing to the potential CHS merger. The deal is expected to close early next year.
Tenet's shares more or less stayed neutral, while Brentwood, Tenn.-based LifePoint Hospitals rose back above $51 per share.
Here are the five-day stock prices and percentage changes for the week of Nov. 11 through Nov. 15.
• Community Health Systems (Franklin, Tenn.): $42.71 per share (up 2.72 percent)
• Health Management Associates (Naples, Fla.): $13.16 per share (up 5.45 percent)
• Hospital Corporation of America (Nashville, Tenn.): $45.07 per share (down 0.13 percent)
• LifePoint Hospitals (Brentwood, Tenn.): $51.61 per share (up 3.32 percent)
• Tenet Healthcare Corp. (Dallas): $42.39 per share (up 0.14 percent)
• Universal Health Services (King of Prussia, Pa.): $79.40 per share (down 0.75 percent)
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