Late Bounce Trims Health Care Sector Declines

Health care stocks struggled throughout Friday’s session, with the NYSE Health Care Index slumping almost 0.5% while shares of health care companies in the S&P 500 were down nearly 0.8% as a group.

In company news, Allscripts Healthcare Solutions (MDRX) declined Friday after the provider of technology and financial services to health care companies late yesterday disclosed a deal to acquire CarePort, a provider of post-acute outcomes management.

Financial terms of the transaction were not disclosed.

“CarePort’s vision of connecting post-acute and acute providers to guide patient care aligns with Allscripts’ commitment to improving population health,” CarePort CEO Lissu Hu said in prepared remarks.

MDRX shares were down nearly 3% at $12.47 apiece, earlier sinking to a session low of $12.27 a share.

In other sector news,

(+) ALKS, ALKS 5461 depression drug candidate meets primary endpoint during Phase III testing. JPMorgan raises stock to Overweight from Neutral and increases price target by $27 to $78 a share. Morgan Stanley upgrade to Equal Weight from Underweight, price target climbs $17 to $62 a share.

(-) NWBO, Prices $5.32 mln direct offering of 14 mln shares at 38 cents apiece, a nearly 30% discount to Thursday’s closing price for the stock.

Leave a Comment