Healthcare
Dr. Evans is a 20 year industry veteran and leads the Healthcare practice at SSR. As a senior executive in the pharmaceuticals industry, Dr. Evans responsibilities ranged from corporate strategy to the pricing and distribution of the company’s products. His variety of assignments provided a comparable variety of vantage points on the industry. As an analyst with Sanford C. Bernstein, he was ranked #1 by both Bloomberg and Institutional Investor for his U.S. pharmaceuticals coverage – across all industries and coverage he was ranked one of the top 20 analysts worldwide. Dr. Evans is the author of “Health and Capital” published in August of 2009. He is a co-founder of Sector & Sovereign Research, LLC.
Coverage Universe
In order to understand dynamics at the sector, subsector and firm level, we monitor relative valuation and share price performance throughout healthcare. By tracking firms relative to their (cap-weighted) subsectors; subsectors relative to the healthcare sector; and the healthcare sector relative to the broader market we are able to highlight high and low outliers, track variability in relative performance and steer our analytic agenda to the most investable opportunities. The full review capturing data at the company level is available here and by e-mailing Hinds@sector-sovereign.com or calling (203) 901-1632.
Recent Blog Posts
May 4, 2012 – April “Employment Situation” Report Mixed on Healthcare Hours. A Flu Effect?
The Bureau of Labor Statistics on Friday published the April 2012 Employment Situation report, which includes payrolls and hours worked at the industry level through March 2012. While aggregate healthcare hours, and medical / surgical hospital hours were slightly up in March as compared to February, and had sequential improvement in y/y growth, physician office hours demonstrated some weakness…
See more at our Healthcare blog
Research Archive
Registered clients can access the full-text of Richard Evans’ published research here.
Recent work includes:
SSR Index of Current-Quarter Healthcare Services Demand Estimates Growth within 50bps, Before Earnings are Reported
Accelerating Growth in Hospitals’, Physicians’ Offices and Other Care Settings’ Labor Hours Signals Improving Healthcare Demand
Large cap Pharma’s Dependence on US List Price Growth is Unsustainable
The Pro-Cyclical US Healthcare Thesis – Impact of ROW Economic Risks
Hospitals’ Stable to Improving Net Pricing Power
US Healthcare Demand Slow for Cyclical (i.e. Temporary) Reasons; Volume-Sensitive Names are Undervalued
PBM Pricing Post-AWP – An Estimate of Sustainable Earnings Power
ACA at the Supreme Court – What You Should Know
Audio Archive
April 10, 2012 – Best Ideas in Healthcare and Implications of the Supreme Court Decision on ACA for Health Care Sub-sectors (conference call audio available here)
February 26, 2012 – Pharma’s dependence on list price growth
February 6, 2012 – Impact of ROW economic risks
January 26, 2012 – Hospitals’ stable to improving net pricing power
January 12, 2012 – US Healthcare demand
Health and Capital
Health 
and Capital is the inaugural publication of Sector & Sovereign, LLC the parent of Sector & Sovereign Research, LLC and is in keeping with the firm’s focus on industries and asset classes that are heavily influenced by government policy.
The American health system is a conflict of ideological extremes: free markets v. central planning and individual v. collective responsibility are prominent examples. These extremes fail in health care for moral and mechanical reasons: patients cannot time or scale their needs to an ability to pay, requisite conditions for market efficiency are missing, and planners cannot match the system’s pace and complexity.
Health and Capital begins as an empiric review of the present health system’s moral and economic costs, the scale and accelerating growth of which are linked to their structural origins. The tendency of both free and planned markets to fail in health settings is shown through examples; as, more constructively, is the existence of a continuum of workable alternatives bounded by these extremes. Recommendations are provided in two forms: loosely, as a list of essential reforms that logically must feature in any health system having moral and economic efficiency, whatever it’s broader structure and finer details; and more completely, as a comprehensive health system design that demonstrates the feasibility of effective reforms.