Update: Apple's HealthKit Seeing Early Adoptions

| About: Apple Inc. (AAPL)
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Summary

Large healthcare institutions, such as Duke Medicine and Ochsner Health System have started adopting Apple’s HealthKit.

In our original article we said that apps developed through HealthKit will be able to exchange data with medical devices and share data with other apps.

Duke Medicine’s director of mobile technology strategy Ricky Bloomfield said that HealthKit will help patients choose whether they want to share data, as well as which information and with whom.

Bloomfield’s comment affirms our view on Apple’s HealthKit, and confirms our investment thesis on Apple.

Apple's (NASDAQ:AAPL) HealthKit is seeing early adoptions with Duke Medicine and Ochsner Health System having integrated their EHR (electronic health records) systems with HealthKit. This is huge success for Apple in mHealth. Duke Medicine's director of mobile technology strategy Ricky Bloomfield, MD, said that it has integrated its Epic MyChart EHR with HealthKit to better track patients outside of office encounters. The New Orleans-based Ochsner Health System suggests patients to record health-related information, such as blood pressure data, diet, and exercise and weight loss. Its chief clinical transformation officer Richard Milani, MD, said, "The integration of Apple's HealthKit with our EHR affords patients new opportunities to better integrate their lifestyles with healthcare providers."

In our original article we said that the release of HealthKit will place Apple miles ahead of competitors like Google (NASDAQ:GOOG) (NASDAQ:GOOGL) or Microsoft (NASDAQ:MSFT) in the mobile healthcare market. We also said that apps developed through HealthKit will be able to exchange data with medical devices and share data with other apps for more in-depth health management. According to Bloomfield, HealthKit will help patients choose whether they want to share data, as well as which information and with whom, as we said. The scope of mHealth is increasing every day with doctors prescribing apps to patients, in addition to medicines. HealthKit will enable doctors to make informed treatment decisions in cooperation with patients. "When you think about it, patients spend far more time at home than they do in the clinic or hospital, yet those are the times we collect the vast majority of vital information from them," Bloomfield said. "So it's important that we know how they're doing at home as well as during their routine checkups."

In an earlier update we said that with HealthKit, Apple is counting on it to grab a major share in the $9 billion-plus mHealth market. The early adoption of HealthKit, as mentioned above, is an indication that Apple is heading in the right direction. This is a positive development from shareholders' point of view. We said in another article on Apple that the stock will reach $160 in the medium-term. The stock rose almost 20% to $119.75 subsequently before a mild pullback, and currently it is trading around $115. We believe it will consolidate below $120 for some time before rising again. We'd recommend investors buying the stock during this consolidation phase.

Business relationship disclosure: The update has been written by a BB Research stock analyst. BB Research is not receiving compensation for it (other than from Seeking Alpha). BB Research has no business relationship with any company whose stock is mentioned in this article.

Disclosure: The author has no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

The author wrote this article themselves, and it expresses their own opinions. The author is not receiving compensation for it (other than from Seeking Alpha). The author has no business relationship with any company whose stock is mentioned in this article.