Ashleigh Rogers
Long/short equity, growth at reasonable price, value, banks

WellCare Disappoints, But The Drop Is Overdone

WellCare Health Plans (NYSE:WCG) has been quite the roller coaster ride, ride so far this year, starting the year down around $67, collapsing to roughly $55 in February, before rocketing up above $75 again on optimism over the firm's long term prospects. All was pretty good for shareholders. Then came one of the most stunning earnings reports for a health insurance company in recent memory - in late July, WCG announced a surprise loss after a very strange jump in Medicaid benefits costs. The stock cratered and today sits back near the $60 line again. For WCG investors, Six Flags most extreme rides could hardly make one sicker.

There is no denying that July was an awful month...

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