HCA Healthcare, others see stocks fall on ACA ruling

Nashville, Tenn.-based HCA Healthcare, Cigna, Humana and other hospital and insurer stocks dipped after a federal judge in Texas ruled Dec. 14 that the entire ACA is unconstitutional, according to a CNBC report.

For-profit hospital operator HCA Healthcare saw stocks fall more than 4.5 percent early Dec. 17, while Cigna and Humana shares dipped 4 percent each, the report states. Healthcare service company Centene and managed health company Molina Healthcare reportedly saw shares fall 7.9 percent and more than 8 percent, respectively.

The ruling from U.S. District Judge Reed O'Connor comes after 20 states filed a lawsuit seeking to undo the ACA. The states argue that the ACA is unconstitutional because the tax law signed by President Donald Trump in December 2017 eliminates the ACA's individual mandate penalty.

Matt Borsch, healthcare analyst at BMO Capital, and Ana Gupte, Leerink Partners senior healthcare services analyst, told CNBC they expect the ruling to be overturned and see a buying opportunity for healthcare stocks.

Access CNBC's full report here.


More articles on healthcare finance: 

For-profit hospital stock report: Week of Dec. 10-14
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Insurance premiums increasing faster than hospital prices, analysis finds


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