Aetna Looks Like A Continuing Winner Among Insurance Majors
Thu, Jul. 7, 12:55 PM
- Humana (NYSE:HUM) has tumbled, now down 7.8% in the past few minutes, on chatter that it and Aetna are to meet with the Justice Dept. to discuss "significant" concerns.
- Other insurers took a dip on the news. Aetna (NYSE:AET), set for a $37B takeover of Humana, has slid from positive ground to a 1.5% loss on the day. UnitedHealth (NYSE:UNH) is off 0.7%. Cigna (NYSE:CI) has fallen into the red, -0.4%.
- Reports had Aetna set to sell several billion dollars worth of assets to ease regulatory concerns over the deal.
Fri, Jul. 1, 3:38 PM
- Aetna (AET -1.6%) is preparing to sell assets worth several billion dollars as it seeks to ease regulatory concerns over its proposed $37B takeover of Humana (HUM -2.3%), Bloomberg reports.
- The process is advanced and assets could be marketed to potential buyers within weeks, although any asset sale would be conditional on the completion of the merger, according to the report.
- The takeover has a higher probability of winning approval than reflected in market trading, says analyst Ira Gorsky, since the combination is easier to fix than the Anthem-Cigna deal because it is primarily about Medicare Advantage, which is based on distinct, local markets.
Tue, Jun. 28, 8:38 AM
- Anthem (NYSE:ANTM) appears ready to walk away from its proposed $48B acquisition of healthcare insurance rival Cigna (NYSE:CI) because of regulatory headaches, NY Post reports.
- ANTM CFO John Gallina told a group of analysts last week that the company was working on “remediation plans” that include buying assets from Aetna (NYSE:AET), according to the report; it is assumed that ANTM would not be considering buying assets if it intended to move forward with plans to buy CI.
- The deal has a $1.85B breakup fee, but the companies reportedly have begun talks about renegotiating the amount.
Nov. 19, 2015, 3:01 PM
- Medical insurers and managed care providers are taking it on the chin today. UnitedHealth Group (UNH -5.5%) brought the rain with its softer earnings guidance as a result of weaker demand for individual insurance purchased through exchanges. It seems that the premium hikes, which the Affordable Care Act was supposed to curtail, are having their predictable effect.
- Previously: UnitedHealth Group down 6% on lowered guidance (Nov. 19)
- Related tickers: (AET -7.3%)(CI -5.7%)(HUM -4.2%)(CNC -9%)(ANTM -6.8%)(WCG -4.6%)(MGLN -4.4%)(HNT -5.2%)
Jul. 7, 2015, 3:56 AM
- Aetna (NYSE:AET) shares tumbled over 6% yesterday, after Humana (NYSE:HUM) (which recently agreed to be acquired by the former for $37B) prompted investor concerns by lowering its forecasts for the year.
- Stating inpatient hospital admissions were not performing in line with what it had expected, the company slashed its anticipated 2015 operating profits by more than 8%.
- "If you take the downgrade of their earnings and roll that through, that makes what Aetna paid pretty expensive," said Tareo Capital's Joel Emery.
- Previously: Humana and Aetna to host conference call this am to discuss merger; Humana lowers 2015 EPS guidance (Jul. 06 2015)
Jul. 6, 2015, 12:21 PM
- Aetna's (AET -5.7%) conference call this morning about its takeover of Humana (HUM +2.7%) apparently failed to excite investors. Shares are down on 4x higher volume.
- The market may perceive some antitrust risk in the deal. Humana is trading at $192 despite Aetna's bid of $230.
- Previously: Confirmed: Aetna to acquire Humana for $37B (July 3)
Jul. 6, 2015, 9:10 AM
Jul. 2, 2015, 8:49 PM
- Aetna (AET -2.7%) is again close to a deal to buy Humana (HUM -2.9%) and it could be sealed as soon as tonight and announced this week, The Wall Street Journal reports.
- The deal -- another huge one in a big year for M&A -- would place Aetna near the top of Medicare business amid continuing industry consolidation.
- Humana shares have declined over the past two weeks, but are still up 5% from the end of May when it discussed selling itself. Aetna shares are up 8.9% over that time period.
Jun. 25, 2015, 10:26 AM| Jun. 25, 2015, 10:26 AM | 87 Comments
May 29, 2015, 2:12 PM
- Humana (HUM +19.6%) surges following a WSJ report that it is exploring a potential sale after receiving indications of takeover interest, and has hired Goldman Sachs to help it explore a potential sale.
- Sources say Aetna (AET +2.2%) and Cigna (CI +5.2%) are among companies that have held preliminary discussions with HUM.
- HUM is one of five health insurers that bankers and analysts have long considered ripe for consolidating the industry, including AET, CI, UnitedHealth (UNH +1%) and Anthem (ANTM +2.6%).
Jul. 25, 2014, 11:05 AM
Apr. 24, 2014, 9:28 AM
Feb. 10, 2014, 2:19 PM
- Arena Pharmaceuticals (ARNA +4.9%) and Japanese partner say their Belviq weight loss drug will be available to more people thanks to an agreement with pharmacy benefits manager CVS Caremark (CVS +0.6%), which means more than half of all Americans with insurance should now have access to the drug.
- Aetna (AET) recently announced it would offer Belviq as a preferred brand to eligible patients as part of its pilot program to self-insured plan sponsors.
- Belviq is approved for use in adults who are obese or who are overweight and have at least one serious medical condition, such as diabetes or high cholesterol.
Oct. 28, 2013, 5:12 AM
- The Affordable Care Act appears to have so far proved beneficial to investors in health insurers.
- Over the past year, the share prices of the five top firms in the sector — Aetna (AET), WellPoint (WLP), UnitedHealth Group (UNH), Humana (HUM) and Cigna (CI) — have increased an average of 32%, well above the S&P 500's rise of 24%.
- Health insurers predict that their earnings will rise after Obamacare is fully in effect, as they expect to gain more customers from people being forced to buy coverage. This is seen offsetting the cost of increased regulations. A fall in healthcare costs has also helped the sector.
Oct. 17, 2013, 1:28 PM
- Investors aren't satisfied with UnitedHealth's (UNH -4.9%) quarter, as the stock is notably lower on heavy volume.
- Although the company matched Street estimates, profit ticked up only slightly Y/Y and the company's FY EPS guidance of $5.40-5.50 is still below consensus estimates.
- Also lower on the day: WLP -1.4%, HUM -3.4%, AET -1.9%
Sep. 13, 2013, 9:03 AM
Aetna, Inc. operates as a health care benefits providing company. It offers traditional, voluntary and consumer-directed health insurance products and related services, including medical, pharmacy, dental, behavioral health, group life and disability plans, medical management capabilities,... More
Industry: Health Care Plans
Country: United States
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