Evercore ISI analyst Ross Muken views the new partnership between Walgreens Boots Alliance (WBA) and UnitedHealth's (UNH) OptumRx as negative for Express Scripts (ESRX). The deal allows OptumRx members to fill 90-day prescriptions at retail at the same price as mail starting on January 1, 2017, Ross tells investors in a research note. The partnership is "not ideal" for Express Scripts at time when questions surround its business model amid its dispute with Anthem (ANTM), the analyst contends. He believes the standalone Pharmacy Benefits Manager business model could be unraveling and that shares of Express Scripts could have "material downside risk" without a material partnership or combination.
Notable gainers among liquid option names this morning include Genuine Parts (GPC) $159.09 +15.03, Globe Life (GL) $66.97 +3.74, Anthem (ELV) $532.10 +23.13, United Continental (UAL) $50.59 +1.84, and UnitedHealth (UNH) $494.80 +15.81.
Unusual total active option classes on open include: Wrap Technologies (WRAP), AstraZeneca (AZN), JetBlue (JBLU), United Continental (UAL), Taiwan Semi (TSM), Nokia (NOK), EBay (EBAY), Maplebear Inc (CART), Airbnb (ABNB), and UnitedHealth (UNH).
RBC Capital analyst Ben Hendrix lowered the firm's price target on UnitedHealth to $555 from $596 but keeps an Outperform rating on the shares. The company reported a "better than feared" Q1, but the debate over utilization trends is expected to persist through the first half as excess reserves skew the medical care ratio picture, the analyst tells investors in a research note. RBC also notes that its added caution reflects UnitedHealth's "reduced claims visibility".
Get caught up quickly on the top news and calls moving stocks with these five Top Five lists. 1... To see the rest of the story go to thefly.com. See Story Here
Get caught up quickly on the top news and calls moving stocks with these five Top Five lists. 1... To see the rest of the story go to thefly.com. See Story Here
Notable gainers among liquid option names this morning include UnitedHealth (UNH) $475.73 +30.10, Super Micro (SMCI) $914.90 +32.15, Humana (HUM) $324.54 +9.90, Morgan Stanley (MS) $89.42 +2.43, and Cencora Inc (COR) $238.39 +4.18.
Check out this morning's top movers from around Wall Street, compiled by The Fly. HIGHER - Macatawa... To see the rest of the story go to thefly.com. See Story Here