Alabama REIT buying Capella for $900M

Senior execs to continue to manage hospital operations
Jul 27, 2015 3:52 PM

Saint Thomas to buy out Capella from JV

As local system acquires four hospitals, Capella drops Tennessee portfolio
Jul 24, 2015 1:52 PM

Saint Thomas CEO, COO promoted

Schatzlein takes Ascension position; Springer to lead local system
Jul 23, 2015 2:41 PM

ER update continues at Centennial Medical Center

TriStar Centennial Medical Center has secured a permit to rehab emergency room space, according to a Metro Codes Department document.

Nashville-based Batten & Shaw is handling the work, with the permit valued at $1.3 million. The permit follows a similar project, valued at more than $4 million, for work on the ER facility at the HCA Holdings flagship facility. Batten & Shaw handled that effort, too.

See the hospital, located at 2400 Patterson St., here courtesy of Google Maps.

Jul 23, 2015 6:45 AM

LifePoint breaks ground on $18M Gallatin cancer center

New facility will replace oncology services at Sumner Regional Medical Center
Jul 14, 2015 11:00 AM

Ardent announces new majority ownership in hospital operations

Nashville company to maintain local leadership, headquarters
Jul 7, 2015 10:55 AM

More on the dueling views of CHS' prospects after Supreme Court ruling

When Raymond James analyst John Ransom on Friday cut his rating for shares of Community Health Systems after they'd run up more than 12 percent Thursday on the heels of the Supreme Court's health insurance subsidies opinion, it suggested a straight valuation call.

That's only part of the story.

Ransom has some issues with the deep-down prospects for CHS' ability to grow profits. The Franklin-based company, he notes, doesn't have as much exposure to insurance exchanges and hasn't been helped by slow Medicaid expansion around the country. On top of that, he says the company has spent more money than expected on IT and M&A activities. That'll put something of a cap on growth — something investors will be watching closely given the strong numbers posted by the hospital sector in the spring of last year.

Paula Torch at Avondale Partners doesn't quite see it that way. She has raised her target for CHS to $77 from $62 (and for LifePoint Health to $94 from $84) and says the upcoming comparisons to last year's second quarter will be something to watch but won't change the fundamental dynamics at play.

“We believe that hospitals should be able to put up positive numbers given core strength with incremental benefits as utilization picks up for the exchanges. CYH is the best positioned to take advantage of a ramp in volumes given it has the easiest compares versus its peers,” she wrote.

SEE ALSO: Our post from Friday with additional analyst moves from anlaysts at Leerink, Oppenheimer and Jefferies

Jun 29, 2015 8:50 AM

Revenue cycle manager picks up some Mercy business

A Hendersonville-based revenue cycle manager has taken over some of the billing services work of a Missouri hospital owned by the Mercy network. Xtend Healthcare's contract comes as Mercy officials reportedly laid off about 40 people at the 886-bed hospital. Read more here.

Jun 29, 2015 7:06 AM

Analyst action: Hospital stocks after Supreme Court ruling

Hospital stocks are seeing a lot of action after the Supreme Court ruled Thursday to uphold subsidies for consumers buying health insurance in states using the federal marketplace.

Avondale Partners analyst Paula Torch reiterated her 'market outperform' rating for HCA Holdings and raised the firm's price target to $103 from $90, saying the Supreme Court ruling "clears the runway for the multiple to expand."

Mizuho analyst Sheryl Skolnick has upgraded the stocks of Community Health Systems from 'neutral' to 'buy' and raised her $52 price target all the way to $83.90. On the flip side, CHS was downgraded by Raymond James John Ransom, who dropped the firm's 'outperform' rating to 'market perform.'

Also happening today:

• Leerink analyst Ana Gupta raised her price target for HCA from $95 to $100. She also raised her target for CHS to $70 from $60 and LifePoint Health from $75 to $85.

• Analysts at Oppenheimer raised their price target on HCA to $82 from $60 and CHS to $102 from $87.

• Jefferies analyst Brian Tanquilut raised his price target for HCA to $108 from $95 and CHS to $79 from $75.

Shares of CHS (Ticker: CYH) are up 14.5 percent this week to $64.39. HCA shares (Ticker: HCA) are up 9 percent this week to $92.12 and LifePoint shares (Ticker: LPNT) are up 8 percent to $84.31.

Jun 26, 2015 11:51 AM

Wells Fargo upgrades HCA, CHS

Veteran hospital analyst Gary Lieberman at Wells Fargo expects that the Supreme Court's ruling Thursday safeguarding health insurance exchange subsidies will be the last major challenge to the Affordable Care Act. As a result, he has upgraded shares of locals HCA Holdings and Community Health Systems as well as Tenet Healthcare — even though they soared Thursday — to 'outperform' from 'market perform.' Notably, he left intact his lower rating on LifePoint Hospitals. Overall, Lieberman says the hospital sector should now have solid long-term profit prospects.

Jun 26, 2015 7:18 AM