Sector & Sovereign Research
is a sell-side research venture built to provide an essential, yet missing, element of research: the weighting of sub-sectors within broad industrial categories. By simultaneously maintaining both a broad view of our industries, and a fundamentally detailed view of the sub-sectors that make up these industries, we offer guidance on portfolio composition that we believe is both highly impactful, and otherwise unavailable. Learn More…
Healthcare
Hospitals trade at a 30+% discount (’13 PE forward) to cap-weighted Healthcare and the SP500; fundamental concerns appear centered on a combination of weak volume / procedure mix, and the effect of Budget Control Act (BCA) related Medicare rate cuts in 2013. In addition to poor volume / mix, hospital valuations imply weak pricing; in contrast we believe the aggregate price trend across all payors (Medicare, Medicaid, commercial) is at least stable, and in fact may improve…Read more
Tech / Media / Telecom
Enterprise IT is in flux. Weak economic conditions will pressure budgets, particularly in the government market, while CIOs contemplate a major strategic change of direction. The focus is on making the deluge of data useful, fostering collaboration, and empowering a mobile workforce, with an eye toward the inevitable transition to “the cloud”….Read more
Risk / Insurance
In preparation for Q4 earnings and the outlook for 2012, we have attempted to organize the available pricing data into an “expectations” analysis. This is difficult given the quality of the various surveys and company commentary, but we do think this can be useful for thinking about stock performance when combined with harder data…Read more