The reopening of the federal government resulted in cheers on Wall Street, and hospital stocks were among last week's many winners.
Last Thursday, President Obama signed legislation to end the government shutdown and raise the debt ceiling, temporarily, without making any changes to the Patient Protection and Affordable Care Act. The law is seen as a boon for for-profit hospitals, as expanded insurance coverage is likely to lead to higher volumes.
Nashville, Tenn.-based Hospital Corporation of America, the largest for-profit hospital operator in the country, saw its shares rise 4.25 percent, the highest of any operator. HCA released a preview of its third-quarter earnings late last week, saying revenue, profit and admissions are all trending upward. Every other major publicly traded hospital company gained at least 1.38 percent last week.
King of Prussia, Pa.-based Universal Health Services, which operates roughly a half dozen acute-care hospitals and dozens of behavioral health facilities, broke another milestone this year, as its shares topped $80 for the first time. UHS shares broke the $70 threshold in late May.
Here are the five-day stock prices and percentage changes for the week of Oct. 14 through Oct. 18.
• Community Health Systems (Franklin, Tenn.): $44.12 per share (up 1.38 percent)
• Health Management Associates (Naples, Fla.): $12.99 per share (down 0.38 percent)
• Hospital Corporation of America (Nashville, Tenn.): $48.54 per share (up 4.25 percent)
• LifePoint Hospitals (Brentwood, Tenn.): $48.97 per share (up 2.94 percent)
• Tenet Healthcare Corp. (Dallas): $47.79 per share (up 3.42 percent)
• Universal Health Services (King of Prussia, Pa.): $80.36 per share (up 3.44 percent)
More Articles on For-Profit Hospitals:
HCA: Q3 Profits, Admissions Looking Positive
CHS: Federal Regulators Extending Review Process of HMA Acquisition
For-Profit Hospital Stock Report: Week of Oct. 7-11, 2013