December 27, 2009

TRIGGER FOR SHORT SALE ON PHARMACY BENEFIT MANAGERS, $MHS, $ESRX

On Nov5, 2009, we wrote on this blog, “The next question is what to do with $MHS and $ESRX stocks. $MHS and $ESRX are clearing capturing market share by being aggressive on price. There is the age old question, how do higher volumes at lower margins work out. At this time we do not have enough data to construct a model that we can be confident of. However, we can not run away from the simple twin realities. First the Wall Street is uniformly bullish on these stocks and believes there advantage will continue forever. Second if Obama’s health care IT vision comes true, and all medical records are electronic and everyone in the business is interconnected, the next step is for the technology to disintermediate the likes of $MHS and $ESRX.… Please click here or the title below to read more.

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