Investors buying up public hospitals

Investors are starting to buy publicly traded hospital chains, expecting patient visits to rebound as the economy improves, as Baby Boomers retire and as the unemployed find jobs, MSN Money reported. Hospital operators such as Community Health and Health Management Associates are taking over community, nonprofit hospitals, investing in new technology and banking on the big bucks. Although many investors are hesitant to buy before the U.S. Supreme Court's ruling on the reform law, some long-term investors aren't deterred by the high-court decision.

"The stocks have been incredibly cheap while the Supreme Court decision is discouraging people from becoming investors," said Jessica Bemer, an analyst with Snow Capital Management, which owns shares of Community Health and HMA. She added, "Community Health and HMA are getting the cream of the crop and getting good prices." Article

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