Below is a note from Hedgeye CEO Keith McCullough on why we're adding HCA Holdings (HCA) to Investing Ideas today:
After covering it on the oversold signal, now we can re-short more HCA on the bounce towards the top-end of its immediate-term risk range.
From a research perspective, here's an excerpt from Tom Tobin's most recent Institutional Research note:
"We continue to see downside for HCA as investors adjust to declining Managed Care volumes, ACA disenrollment in both Medicaid and Exchanges, and rising Medicare mix, while their poor competitive positioning we discussed in our December 2016 presentation positioning is leading to more explicitly negative commentary regarding share losses and the need for greater defensive capital investment."