WellCare of Iowa, Inc., a wholly owned subsidiary of WellCare Health Plans, Inc. WCG has inked a deal with Iowa Department of Human Services to serve the state’s Medicaid Managed Care program – IA Health Link. WellCare will start providing services from Jan 1, 2016 for three years that can be extended for two more years subject to the state's approval.
Per the contract, WellCare will provide service to Iowa Medicaid, the Iowa Health and Wellness Plan, and the Healthy and Well Kids in Iowa (hawk-i) programs. Residents of Iowa participating in seven home- and community-based services waiver programs in Iowa for AIDS/HIV, Brain Injury, Children's Mental Health, Elderly, Health and Disability, Intellectual Disability, and Physical Disability will also be provided service by WellCare.
WellCare strives to provide improved quality of medical services to its members at an affordable cost. The company has successfully transformed “Medicaid beneficiaries” to “managed Medicaid” which focuses on improving the quality of medical service of members who enroll in Medicaid programs. Through this association, WellCare is expected to repeat its success story.
WellCare, which sports a Zacks Rank #1 (Strong Buy), is scheduled to release its third-quarter earnings results on Nov 4. The Zacks Consensus Estimate for the same is currently pegged at 96 cents, translating to year-over-year growth of 63.3%. However, our proven model does not conclusively state that is the company is poised for an earnings beat. This is because the Earnings ESP of -3.13% makes our surprise prediction difficult.
Other Stocks to Consider
Investors interested in health and maintenance organizations can also look at Aetna Inc. AET, Centene Corp. CNC and UnitedHealth Group Inc. UNH. Each of these stocks carries a Zacks Rank #2 (Buy).
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Be the first to comment