Health Management Associates, Inc. (NYSE:HMA)

CAPS Rating: 3 out of 5

Through its subsidiaries, owns & operates general acute care hospitals in non-urban communities. Services are general surgery, internal medicine, obstetrics, emergency room care, radiology, oncology, diagnostic care, coronary care & pediatric services.

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Player Avatar hybridinvestor (26.29) Submitted: 12/21/2006 2:24:40 PM : Outperform Start Price: $10.50 HMA Score: -36.19

I have read a lot about the bad debt issues with hospitals and am ready to put a long-term outperform on HMA, arguably one of the best managed hospital chains out there in spite of them as I think it is priced into the stock already. I've owned HMA before and lost money on it because I bought too early imho but my gut says it is time to buy.

These guys do seem to have a knack for buying poorly run hospitals on the cheap and turning them into fairly profitable units that add to the bottom line long-term. No fear that hospitals are going away there either :).

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