Express Scripts: Betting on Healthcare Reform

Andy Kern submits:

Express Scripts (ESRX) seems to bucking the trend today, a day in which the market is off 2%. Perhaps this is due to Obama’s announcement that the public plan need not be a part of his health care overhaul. If this happens, then Express Scripts might be among those companies relied upon should cost controls be mandated but also left to insurers to sort out for themselves.

Nevertheless, until the health care reform issue is completely resolved – that is, until we know for certain what exactly will occur – Express Scripts seems like a very overvalued stock that will have trouble meeting its Required Business Performance unless something drastic and unforeseen occurs soon.

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