Since the Obama administration began, it was clear that its agenda of healthcare reform was not going to die with a whimper and the address to the joint congress only makes it more clear (if that's possible) that Americans are going to wind up with some form of sweeping healthcare law. Regardless of the details of the current healthcare bill, whether we like it or not, change is a comin’.
It’s impossible to know with certainty just what the healthcare law will look like by the time it’s enacted. There are some pretty straightforward “truths” already emerging and some big players are jockeying in the nationalized healthcare arena already.
One thing about a nationalized health-care system is for sure. It will need funding, management and audits. If you don’t know already, there is huge money in helping a government take care of itself. One prominent healthcare player and all-around government helper that I found is becoming more attractive the more I look. CGI Group (NYSE:GIB) is an IT solutions provider, outsourced by the U.S. government for other operations and already manages billing, auditing and more for the Canadian national healthcare system.
Some of CGI Group's more recent strategic moves along the nationalized healthcare front in the U.S. include expanding operations in D.C and Virginia and acquiring key people from government agencies. CGI Group is already well positioned to win some major contracts within the managed healthcare space.
Another important part of the story is that CGI Group is a profitable company with an already great-looking financial picture around an 8% profit margin on average and little debt.
The truth is that managed health-care is about to become a reality in the U.S. CGI Group is ready to manage any part of what is surely a lucrative opportunity for just such a company.
Disclosure: No positions