Takeaway: Join us tomorrow, Tuesday April 16th at 10am ET for the 2Q Health Care Themes Call

CALL TOMORROW | 2Q 2019 HEALTH CARE THEMES | PEAK TO TROUGH AND BACK AGAIN - 2019.04.16 Themes Invite

2Q 2019 Health Care Themes

Tuesday April 16th at 10 am ET

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Healthcare Subscribers: CLICK HERE for event details

Health Policy Subscribers: CLICK HERE for event details

All others contact Sales@Hedgeye.com for access

OVERVIEW

The peak to trough and back to peak market moves have been both exciting and frustrating over the last two quarters.  Two Health Care Themes presentations, weekly Position Monitors, new longs and shorts, and +/- 20% move in the S&P 500.  We were tested on our longs, rewarded on our shorts (perhaps too generously), but all things considered, we feel good with our positioning and tactics heading into 2Q19.  The market turned the page from the lows, but was that the right call?  Macro risks remain, and for a US Medical Economy that can zig when everything else zags we're seeing more opportunity than normal.  

US Medical Economy Update | Since the question on everyone's lips is "are we heading into a recession?" we will look at what happens to medical consumption during a recession.  The answer is "it depends" but it may also be that recession fears are driving the recent uptick in key metrics we monitor.

Position Monitor |  Our themes and stocks continue to play out with more successes than failures with new data and techniques continuing to add value. We'll share the most recent work on our highest conviction names.

Drug Rebates | We will have the latest updates on administrative and congressional efforts to limit and possibly eliminate rebates and rein in certain anti-competitive practices of brand name drug manufacturers.  We're short UNH due in part to the change in drug rebate policy.

M&A | Concerns about provider consolidation continue to weave their way through a wide range of policy initiatives including interoperability and data blocking rules, site neutral payment strategies and, of course, drug prices.  

FDA | Scott Gottlieb departed as Commissioner of the FDA last week with a good bit of unfinished business. We will explore the priorities of the agency including generic and biosimilar drug approvals, development of a CBD regulatory and legislative framework and new approaches to clinical trials.

2020 Election | Medicare for All is, for now, unlikely to become law but it nonetheless has a role to play in the national health care debate. Meanwhile the constitutional challenge to the ACA is exerting a similar influence. We will explore the impact these two unrelated events are having on policy changes today.

Look forward to having you on the call on Tuesday.

Thomas Tobin
Managing Director


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Emily Evans
Managing Director – Health Policy



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