Health Insurance Innovations: An Ingenious Healthcare Play With Considerable Upside; Our Target Price = $24 In 12 Months
- Sells short-term health insurance at significantly lower prices than long-term coverage, but with effectively the same benefits.
- Large institutional ownership and a small float means price should increase with increased demand. Will be added to the Russell 2000 Index next year.
- Consensus earnings expected to increase from 35 cents in 2014 to 90 cents in 2015 - we believe that is conservative.
- Recent acquisition of HealthPocket, the leading search and comparison technology for health insurance, provides tremendous synergy.
- 107 call centers with 15,500 agents, adding agents at 65 per day.