Remember all the bull shit crying by Republicans and Healthcare companies about President Obama’s Affordable Healthcare Law also known as Obamacare?
Well, THAT was then….
Seems Obama’s iconic healthcare program has done them just fine with a few adjustments….
Hey, remember back around 2010, when critics warned that the Affordable Care Act would spell the end of private insurance? The reality has been very much the opposite: Health care stocks have been on a tear since the ACA’s passage, my colleague Bob Herman reports.
The big picture: The S&P 500 health care index, which tracks the stocks of 63 major companies, has soared by 192% since the ACA became law. By comparison, the S&P 500 and Dow Jones increased by 141% and 138%, respectively, according to FactSet.
Winners: Health insurers. The stock price of Centene, a major Medicaid and ACA marketplace insurer, has multiplied by 12 times or 1,100%. Shares of UnitedHealth Group have jumped by more than 700%.
- More winners: Hospitals have faced sizable Medicare payment cuts from the ACA, but those reductions were largely offset by the law’s Medicaid expansion and other forms of new coverage.
- Also winners: The ACA did not meaningfully touch the pharmaceutical industry’s business or patent practices, and those companies have reaped record profits.
- So many winners! Medical device companies hate the ACA’s device tax, but Congress has already deferred that fee a few times. The device tax hasn’t hampered earnings and hasn’t led to widespread job losses…..