Health Care Stocks Down After Federal Judge Rules Affordable Care Act Is Unconstitutional
Hospital and health care stocks are being sold in the wake of a federal judge’s Friday ruling that the Affordable Care Act is unconstitutional.
Traders began ditching their hospital and health care stocks as soon as the markets opened Monday morning, Business Insider reports, causing Obamacare-related shares to dip. The selloff is occurring although the judge’s decision will be appealed and won’t affect Americans who signed up for 2019 health coverage.
According to Bloomberg, shares for managed health company Molina Healthcare dropped up to 13.5%, its lowest dip since February 2017. CNBC reported that Centene shares went down 7.5%; HCA Healthcare, which is the largest for-profit operator of health care facilities in the U.S., dipped 5%, and insurance companies Cigna and Humana saw their shares decrease by 4%.
Even though Centene took a hit, the company issued a release Monday morning announcing it expects 2019 peak enrollment through the ACA to exceed its 2018 peak enrollment by 150,000 to 200,000 members.