Hospital stocks are finishing the week on a high note thanks to Medicaid expansion chatter in Virginia and Pennsylvania, says UBS analyst A.J. Rice. The firm says Community Health Systems has more than 11 percent exposure in Pennsylvania and LifePoint Hospitals gets nearly 13 percent of its revenues in Virginia.
Virginia Gov. Terry McAuliffe has made clear that expanding Medicaid is a top priority, but state Republicans are pushing back, MSNBC reports.
The governor insists he won't approve a budget without Medicaid expansion; Republicans insist they won't approve a budget with Medicaid expansion. It's pushed McAuliffe to try to get creative, though the details of his plan remain elusive.
Pennsylvania's shot at expansion seems a bit more likely, with three Republican House members joining with Democrats this week to vote in favor of expanding Medicaid. However, Gov. Tom Corbett does not support expansion, the Pittsburgh Post-Gazette reports, and has submitted a "Healthy PA" plan to the federal government in its stead.
Shares of CHS (Ticker: CYH) are up 8 percent this week to $45.12. Shares of LifePoint (Ticker: LPNT) are up 5 percent this week to $64.16.
Sarah Lacy, whose Pando team is co-organizing next week's Southland conference at Marathon Music Works, says she has accidently exceeded her goal of having 10 judges for the event's startup pitch competition. The 11th investor to commit is Paul Judge, an executive at Barracuda Networks, which means the winning startup team will get the opportunity to negotiate for a $110,000 investment.
Acadia Healthcare COO Ron Fincher exercised a batch of stock options Tuesday, the day the behavioral health company announced a major acquisition in the United Kingdom. Fincher exercised a little more than 14,000 shares for $317,000, then forfeited $471,000 worth of the resulting shares to cover those costs and more. Fincher did that on the day Acadia announced its $660 million acquisition of Partnerships in Care, the United Kingdom's second-largest behavioral health company. Shares of the company jumped 15 percent after that announcement and Fincher cashed in Wednesday, selling the roughly 4,500 remaining shares he had obtained the day before for a profit of nearly $212,000.
Shares of Acadia (Ticker: ACHC) were down 1 percent $46.73 Thursday afternoon.
Matthew Paul Turner at The Daily Beast has written a captivating and pretty damning piece on the lengths financial planning guru Dave Ramsey will go to to snuf out chatter about him and his Cool Springs-based Lampo Group. The narrative includes a secret Facebook group of former Lampo employees, Twitter callouts, meetings at Bosco's accompanied by pastors and rewards for those willing to give up info. Check it all out here.
The public criticism enraged Ramsey, who, according to one current employee, went on a “warpath” to expose the Twitter critics. During an all-staff meeting on May 7 that was described by several current employees, Ramsey offered thousands of dollars in bounties in exchange for the identities of the tweeters. (Employees’ accounts differed on the dollar figure, but ranged from $5,000 to $20,000). Ramsey was especially intent on identifying the tweeter behind @LampoLeadership, a parody account that had begun tweeting about the inner workings of Lampo, suggesting it was run by someone inside the company.