17 hours ago
Two retirees with identical $1.65M portfolios face different tax outcomes based solely on withdrawal order and account placement, not holdings.
Drawing down or converting a traditional IRA to Roth before age 73 shrinks future RMDs and keeps income below IRMAA Medicare surcharge thresholds.
VTEB's tax-exempt municipal interest still counts fully toward IRMAA calculations, making it a hidden Medicare cost trap for retirees.
Read More: Learn 7 ways to generate income with a $1,000,000+ portfolio (sponsor)
Two retirees, same age, same $1.65 million balance, same seven holdings in identical weights. One will pay a Medicare premium surcharge stacked on top of a rising required withdrawal starting at 73. The other will not. Only the order they draw from, and the accounts those draws come from, separates the outcomes.
#medicare #irmaa #holdings
Drawing down or converting a traditional IRA to Roth before age 73 shrinks future RMDs and keeps income below IRMAA Medicare surcharge thresholds.
VTEB's tax-exempt municipal interest still counts fully toward IRMAA calculations, making it a hidden Medicare cost trap for retirees.
Read More: Learn 7 ways to generate income with a $1,000,000+ portfolio (sponsor)
Two retirees, same age, same $1.65 million balance, same seven holdings in identical weights. One will pay a Medicare premium surcharge stacked on top of a rising required withdrawal starting at 73. The other will not. Only the order they draw from, and the accounts those draws come from, separates the outcomes.
#medicare #irmaa #holdings
18 hours ago
Updated Sept 11, 2026, 1:55 pm EDT / Original Sept 11, 2026, 7:30 am EDT
The grocery giant now expects same-store sales excluding fuel to rise between 0.2% and 0.8% for the fiscal year, down from a prior range of 1% to 2% growth. The new guidance includes a hit of roughly 140 basis points tied to the Inflation Reduction Act, which lowered prescription drug prices for Medicare beneficiaries and impacted pharmacy revenue. Management separately reaffirmed its earnings guidance of $5.10 to $5.30 a share for the fiscal year.
Copyright ©2026 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8
#inflation #medicare
The grocery giant now expects same-store sales excluding fuel to rise between 0.2% and 0.8% for the fiscal year, down from a prior range of 1% to 2% growth. The new guidance includes a hit of roughly 140 basis points tied to the Inflation Reduction Act, which lowered prescription drug prices for Medicare beneficiaries and impacted pharmacy revenue. Management separately reaffirmed its earnings guidance of $5.10 to $5.30 a share for the fiscal year.
Copyright ©2026 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8
#inflation #medicare
2 days ago
Saint Louis, Missouri-based Centene Corporation (CNC) operates as a healthcare enterprise that provides programs and services to underinsured and uninsured families and commercial organizations in the United States. The company has a market capitalization of $31.6 billion and operates through Medicaid, Medicare, Commercial, and Other segments.
Companies with a market cap of $10 billion or more are typically called "large-cap stocks." CNC fits squarely into that category, with a market cap above this threshold that reflects its substantial size and influence in the healthcare plans industry.
'Not Tens Of Billions, But Tens Of Trillions': Nvidia CEO Jensen Huang Says AI Is Like the New Electricity and the Scale Is Unlike Any Tech in History
What It Means for MSFT Stock Investors as Microsoft Switches to 2 Business Segments
RKLB Stock Jumps as Rocket Lab Debuts New Solar Cell for ****** e
#saint
Companies with a market cap of $10 billion or more are typically called "large-cap stocks." CNC fits squarely into that category, with a market cap above this threshold that reflects its substantial size and influence in the healthcare plans industry.
'Not Tens Of Billions, But Tens Of Trillions': Nvidia CEO Jensen Huang Says AI Is Like the New Electricity and the Scale Is Unlike Any Tech in History
What It Means for MSFT Stock Investors as Microsoft Switches to 2 Business Segments
RKLB Stock Jumps as Rocket Lab Debuts New Solar Cell for ****** e
#saint
2 days ago
Unlike Medicare Advantage, Medigap offers no recurring annual shopping window, so health conditions can permanently lock policyholders into higher premiums.
The one-time federal Medigap Open Enrollment Period lasts just six months starting at age 65; after that, most states allow medical underwriting.
Never cancel an existing Medigap policy before a replacement is confirmed in writing, since a declined application leaves the original coverage intact.
Are you ahead, or behind on retirement? SmartAsset's free tool can match you with a financial advisor in minutes to help you answer that today. Each advisor has been carefully vetted, and must act in your best interests. Don't waste another minute; learn more here.
A 72-year-old in Ohio opens a December rate notice and finds that her Medigap Plan G premium is rising again in January, the fourth increase in four years. Her broker finds a competitor charging $40 less each month.
#finds #period
The one-time federal Medigap Open Enrollment Period lasts just six months starting at age 65; after that, most states allow medical underwriting.
Never cancel an existing Medigap policy before a replacement is confirmed in writing, since a declined application leaves the original coverage intact.
Are you ahead, or behind on retirement? SmartAsset's free tool can match you with a financial advisor in minutes to help you answer that today. Each advisor has been carefully vetted, and must act in your best interests. Don't waste another minute; learn more here.
A 72-year-old in Ohio opens a December rate notice and finds that her Medigap Plan G premium is rising again in January, the fourth increase in four years. Her broker finds a competitor charging $40 less each month.
#finds #period
2 days ago
On August 11, Humana Inc. (NYSE:HUM) announced that its Medicaid plan, Humana Healthy Horizons in Indiana, is collaborating with HealthStream, Inc. (NASDAQ:HSTM). The partnership expands access to workforce training for caregivers, aiming to recruit and retain talent in rural and underserved communities. While one provides healthcare coverage and the other builds the software to train healthcare workers, both companies are capitalizing on the industry's critical focus: solving caregiving shortages and optimizing healthcare delivery.
HealthStream emerges as the operationally cleaner, higher-growth performer, while Humana continues to navigate a more complex transition marked by regulatory and profitability pressures. Humana Inc. (NYSE:HUM) reported Q2 2026 GAAP EPS of $5.73 and adjusted EPS of $7.61, with an Insurance segment GAAP benefit ratio of 91.2%. The company reaffirmed its full-year adjusted EPS guidance of at least $9.00 but lowered its FY 2026 GAAP EPS forecast to at least $6.52 from $8.36, reflecting non-cash adjustments and value creation charges. Although individual Medicare Advantage membership is expected to grow approximately 25% in 2026, lower Star Ratings remain a significant drag on profitability.
HealthStream, Inc. (NASDAQ:HSTM), meanwhile, delivered record Q2 2026 results, with revenue rising 12.5% year over year to $83.7 million. Operating income increased 41.4% to $8.3 million, while net income climbed 23.8% to $6.7 million, or $0.23 per diluted share. Adjusted EBITDA also increased 16.9% to $20.6 million. The company's debt-free balance sheet, supported by $66.7 million in cash and cash equivalents, further strengthens its financial flexibility. While Humana operates at substantially greater scale, HealthStream is demonstrating stronger operational leverage, margin expansion, and balance sheet flexibility.
Humana's bull case is supported by strong Medicare Advantage membership growth, with the company targeting a 25% increase in 2026, alongside strategic expansion of its CenterWell primary care business and state Medicaid footprint, including its recent Illinois win. These initiatives could strengthen its long-term recovery and expand its addressable market. However, the bear case centers on elevated medical benefit ratios, which reached 91.2% in Q2, as well as regulatory pressures in Medicaid and continued Medicare Star Ratings headwinds. These factors could further squeeze margins and weigh on net earnings.
#healthcare #year
HealthStream emerges as the operationally cleaner, higher-growth performer, while Humana continues to navigate a more complex transition marked by regulatory and profitability pressures. Humana Inc. (NYSE:HUM) reported Q2 2026 GAAP EPS of $5.73 and adjusted EPS of $7.61, with an Insurance segment GAAP benefit ratio of 91.2%. The company reaffirmed its full-year adjusted EPS guidance of at least $9.00 but lowered its FY 2026 GAAP EPS forecast to at least $6.52 from $8.36, reflecting non-cash adjustments and value creation charges. Although individual Medicare Advantage membership is expected to grow approximately 25% in 2026, lower Star Ratings remain a significant drag on profitability.
HealthStream, Inc. (NASDAQ:HSTM), meanwhile, delivered record Q2 2026 results, with revenue rising 12.5% year over year to $83.7 million. Operating income increased 41.4% to $8.3 million, while net income climbed 23.8% to $6.7 million, or $0.23 per diluted share. Adjusted EBITDA also increased 16.9% to $20.6 million. The company's debt-free balance sheet, supported by $66.7 million in cash and cash equivalents, further strengthens its financial flexibility. While Humana operates at substantially greater scale, HealthStream is demonstrating stronger operational leverage, margin expansion, and balance sheet flexibility.
Humana's bull case is supported by strong Medicare Advantage membership growth, with the company targeting a 25% increase in 2026, alongside strategic expansion of its CenterWell primary care business and state Medicaid footprint, including its recent Illinois win. These initiatives could strengthen its long-term recovery and expand its addressable market. However, the bear case centers on elevated medical benefit ratios, which reached 91.2% in Q2, as well as regulatory pressures in Medicaid and continued Medicare Star Ratings headwinds. These factors could further squeeze margins and weigh on net earnings.
#healthcare #year
5 days ago
Medicare calculates Part B and Part D surcharges using income from two years prior, so a profitable ***** et sale can trigger higher premiums long after the money is spent.
IRMAA resets annually, so a one-time income spike typically raises premiums for only one or two years before fading as normal income returns.
Voluntary ***** et sales don't qualify for SSA-44 relief, making pre-sale income planning the only real tool to minimize Medicare surcharges.
Many financial professionals are salespeople paid on what they push, not whether you end up wealthier. A fiduciary is the opposite. The SEC legally requires them to put your interests first. Advisor.com's free matching tool pairs you with vetted fiduciaries from major national firms, all in under three minutes. See who you match with today.
Picture a longtime fan who bought a personal seat license two decades ago, giving him the right to buy the same season tickets year after year. He has climbed the same stadium stairs every fall, watched his knees start to complain and finally decided the ticket rights were worth more to him as cash than as seats he uses a handful of times each season.
#income #medicare #premiums #tool
IRMAA resets annually, so a one-time income spike typically raises premiums for only one or two years before fading as normal income returns.
Voluntary ***** et sales don't qualify for SSA-44 relief, making pre-sale income planning the only real tool to minimize Medicare surcharges.
Many financial professionals are salespeople paid on what they push, not whether you end up wealthier. A fiduciary is the opposite. The SEC legally requires them to put your interests first. Advisor.com's free matching tool pairs you with vetted fiduciaries from major national firms, all in under three minutes. See who you match with today.
Picture a longtime fan who bought a personal seat license two decades ago, giving him the right to buy the same season tickets year after year. He has climbed the same stadium stairs every fall, watched his knees start to complain and finally decided the ticket rights were worth more to him as cash than as seats he uses a handful of times each season.
#income #medicare #premiums #tool
5 days ago
Selling a home for $890,000 leaves roughly $328,000 taxable after the $500,000 joint exclusion, adding $9,240 in Medicare surcharges two years later.
Section 121's $500,000 joint exclusion ceiling hasn't risen with inflation since 1997, leaving longtime homeowners exposed to large taxable gains on ordinary homes.
Rebuilding cost basis with documented improvements, deferring optional IRA withdrawals, and budgeting for the Medicare surcharge from proceeds reduces the sale's financial impact.
Many financial professionals are salespeople paid on what they push, not whether you end up wealthier. A fiduciary is the opposite. The SEC legally requires them to put your interests first. Advisor.com's free matching tool pairs you with vetted fiduciaries from major national firms, all in under three minutes. See who you match with today.
For more than 40 years, the house did exactly what its owners hoped it would do. A couple who paid $62,000 for their home in 1984 closes on the sale this year at $890,000. The IRS lets them exclude up to $500,000 of gain under Internal Revenue Code Section 121. Any taxable gain left after the exclusion, basis adjustments and selling expenses flows into adjusted gross income (AGI). That figure helps determine the modified adjusted gross income (MAGI) Social Security uses to calculate Medicare's income-related monthly adjustment amount (IRMAA) two years later. The sale closes in 2026. The Medicare bill arrives in 2028.
#medicare #years #selling #later
Section 121's $500,000 joint exclusion ceiling hasn't risen with inflation since 1997, leaving longtime homeowners exposed to large taxable gains on ordinary homes.
Rebuilding cost basis with documented improvements, deferring optional IRA withdrawals, and budgeting for the Medicare surcharge from proceeds reduces the sale's financial impact.
Many financial professionals are salespeople paid on what they push, not whether you end up wealthier. A fiduciary is the opposite. The SEC legally requires them to put your interests first. Advisor.com's free matching tool pairs you with vetted fiduciaries from major national firms, all in under three minutes. See who you match with today.
For more than 40 years, the house did exactly what its owners hoped it would do. A couple who paid $62,000 for their home in 1984 closes on the sale this year at $890,000. The IRS lets them exclude up to $500,000 of gain under Internal Revenue Code Section 121. Any taxable gain left after the exclusion, basis adjustments and selling expenses flows into adjusted gross income (AGI). That figure helps determine the modified adjusted gross income (MAGI) Social Security uses to calculate Medicare's income-related monthly adjustment amount (IRMAA) two years later. The sale closes in 2026. The Medicare bill arrives in 2028.
#medicare #years #selling #later
6 days ago
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For millions of Americans, turning 65 brings a major change in how they pay for health care: Medicare eligibility.
But financial expert Suze Orman says there's a potentially costly misconception about what happens next.
Jeff Bezos backs a platform that lets anyone invest in rental homes for as little as $100 — 6 ways to build wealth like a landlord without actually being one
JPMorgan sees gold hitting $5,000/oz by Q4 — and savvy investors are protecting their wealth with a tax-advantaged Gold IRA. Get your free guide from Priority Gold
#Gold #moneywise
For millions of Americans, turning 65 brings a major change in how they pay for health care: Medicare eligibility.
But financial expert Suze Orman says there's a potentially costly misconception about what happens next.
Jeff Bezos backs a platform that lets anyone invest in rental homes for as little as $100 — 6 ways to build wealth like a landlord without actually being one
JPMorgan sees gold hitting $5,000/oz by Q4 — and savvy investors are protecting their wealth with a tax-advantaged Gold IRA. Get your free guide from Priority Gold
#Gold #moneywise
7 days ago
No withdrawal order eliminates RMDs from a traditional IRA. Only Roth conversions, qualified charitable distributions, or never owning one in the first place can genuinely shrink them.
IRMAA surcharges hit Medicare premiums two years after the income that triggers them, jumping joint filers from $203 to $284 monthly by crossing $218,000 MAGI.
Letting an IRA compound untouched through your 60s forces larger RMDs at 73, often pushing retirees into higher brackets and through IRMAA cliffs simultaneously.
Read More: Avoid these 13 retirement mistakes before they derail your future (sponsor)
A $2.1 million nest egg split evenly between a taxable brokerage account and a traditional IRA can throw off a six-figure income. What most retirees miss is that where each holding sits and when each dollar comes out determine whether Medicare surcharges and a swollen required minimum distribution eat that income a decade later.
#medicare #surcharges #retirees #magi
IRMAA surcharges hit Medicare premiums two years after the income that triggers them, jumping joint filers from $203 to $284 monthly by crossing $218,000 MAGI.
Letting an IRA compound untouched through your 60s forces larger RMDs at 73, often pushing retirees into higher brackets and through IRMAA cliffs simultaneously.
Read More: Avoid these 13 retirement mistakes before they derail your future (sponsor)
A $2.1 million nest egg split evenly between a taxable brokerage account and a traditional IRA can throw off a six-figure income. What most retirees miss is that where each holding sits and when each dollar comes out determine whether Medicare surcharges and a swollen required minimum distribution eat that income a decade later.
#medicare #surcharges #retirees #magi
7 days ago
Inherited gold coins get a stepped-up basis, but gains from the date of death to the sale are taxable collectibles income at up to 28%.
A $50,000 coin gain on top of $95,000 in retirement income can push a single filer's Part B premium from $203 to $406 per month for a full year.
Splitting coin sales across two tax years, documenting date-of-death value, and modeling MAGI before selling can prevent crossing costly Medicare surcharge thresholds.
Read More: Learn 7 ways to generate income with a $1,000,000+ portfolio (sponsor)
A retiree sells his late father's gold coin collection this summer for roughly $4,700 per ounce of gold content. His accountant confirms that the inheritance itself was not federal taxable income. Under Internal Revenue Code Section 1014, inherited property generally receives a new basis based on its value at the date of death.
#income
A $50,000 coin gain on top of $95,000 in retirement income can push a single filer's Part B premium from $203 to $406 per month for a full year.
Splitting coin sales across two tax years, documenting date-of-death value, and modeling MAGI before selling can prevent crossing costly Medicare surcharge thresholds.
Read More: Learn 7 ways to generate income with a $1,000,000+ portfolio (sponsor)
A retiree sells his late father's gold coin collection this summer for roughly $4,700 per ounce of gold content. His accountant confirms that the inheritance itself was not federal taxable income. Under Internal Revenue Code Section 1014, inherited property generally receives a new basis based on its value at the date of death.
#income
8 days ago
Humana (HUM) confirmed 600,000 affected members and UNH projects 1.1 million fewer enrollees as carriers cut lower-rated 2027 Medicare Advantage plans.
A plan termination triggers a rare guaranteed-issue Medigap window, but only for members who are returning to Original Medicare. Those switching to another Advantage plan do not qualify.
Nonrenewal notices arrive October 2, leaving only 66 days before Open Enrollment closes December 7. Members should save the letter and price both coverage paths immediately.
Read More: Learn 7 ways to generate income with a $1,000,000+ portfolio (sponsor)
Somewhere inside the Centers for Medicare & Medicaid Services (CMS) sits the list of Medicare Advantage plans that will stop existing on December 31, 2026. Insurers submitted their 2027 bids in June. Wall Street **** ysts have dissected the implications on earnings calls all summer. The people enrolled in those plans will find out by mail.
#plans #plan #only #medigap
A plan termination triggers a rare guaranteed-issue Medigap window, but only for members who are returning to Original Medicare. Those switching to another Advantage plan do not qualify.
Nonrenewal notices arrive October 2, leaving only 66 days before Open Enrollment closes December 7. Members should save the letter and price both coverage paths immediately.
Read More: Learn 7 ways to generate income with a $1,000,000+ portfolio (sponsor)
Somewhere inside the Centers for Medicare & Medicaid Services (CMS) sits the list of Medicare Advantage plans that will stop existing on December 31, 2026. Insurers submitted their 2027 bids in June. Wall Street **** ysts have dissected the implications on earnings calls all summer. The people enrolled in those plans will find out by mail.
#plans #plan #only #medigap
8 days ago
A large land-sale gain can push Medicare Part B premiums from $203 to $690 monthly, with the IRMAA impact arriving two years after closing.
Federal installment-sale rules let sellers spread gain recognition across multiple years, softening Medicare surcharges and Social Security tax exposure.
Taking the full lump sum eliminates buyer default risk, but installment sales may only reduce years spent at peak IRMAA tiers, not avoid them entirely.
Just released. Our ***** ysts combed the entire stock market and named the ten best stocks to buy right now. The report is free. Enter your email and see if any of your stocks made the cut.
A retired man in his late sixties owns rural land that suddenly sits in the path of a data center developer. The offer runs into seven figures. He is ready to sell, but instead of taking every dollar at closing, he negotiates payments over several years.
#irmaa #gain
Federal installment-sale rules let sellers spread gain recognition across multiple years, softening Medicare surcharges and Social Security tax exposure.
Taking the full lump sum eliminates buyer default risk, but installment sales may only reduce years spent at peak IRMAA tiers, not avoid them entirely.
Just released. Our ***** ysts combed the entire stock market and named the ten best stocks to buy right now. The report is free. Enter your email and see if any of your stocks made the cut.
A retired man in his late sixties owns rural land that suddenly sits in the path of a data center developer. The offer runs into seven figures. He is ready to sell, but instead of taking every dollar at closing, he negotiates payments over several years.
#irmaa #gain
8 days ago
A $500,000 balance yields just $20,000 annually at the 4% withdrawal rate, yet still surpasses the median 65+ retirement account balance of $103,202.
Traditional 401(k) withdrawals count as ordinary income and can trigger taxation on up to 85% of Social Security benefits, raising the real cost of each dollar withdrawn.
A paid-off home, a cash reserve of one to two years, and delaying Social Security to capture the roughly 8% annual benefit increase each do more for lifetime income than portfolio size alone.
Read More: Learn 7 secret wealth tips high net worth investors use that most investors miss (sponsor)
Half a million dollars in retirement savings may sound modest when headlines are full of seven-figure nest eggs. But measured against what real retirees have actually accumulated, it is a substantial sum. Vanguard's 2026 How America Saves report shows that for participants aged 65 and older, the median account balance was $103,202 in 2025, with an average of $330,186. Transamerica's most recent survey put median Baby Boomer household retirement savings at $270,000. So a reader sitting on $500,000 is ahead of the typical retiree. The real planning question is what that balance can actually deliver in monthly income once you factor in withdrawal math, taxes, and Medicare.
#Retirement
Traditional 401(k) withdrawals count as ordinary income and can trigger taxation on up to 85% of Social Security benefits, raising the real cost of each dollar withdrawn.
A paid-off home, a cash reserve of one to two years, and delaying Social Security to capture the roughly 8% annual benefit increase each do more for lifetime income than portfolio size alone.
Read More: Learn 7 secret wealth tips high net worth investors use that most investors miss (sponsor)
Half a million dollars in retirement savings may sound modest when headlines are full of seven-figure nest eggs. But measured against what real retirees have actually accumulated, it is a substantial sum. Vanguard's 2026 How America Saves report shows that for participants aged 65 and older, the median account balance was $103,202 in 2025, with an average of $330,186. Transamerica's most recent survey put median Baby Boomer household retirement savings at $270,000. So a reader sitting on $500,000 is ahead of the typical retiree. The real planning question is what that balance can actually deliver in monthly income once you factor in withdrawal math, taxes, and Medicare.
#Retirement
8 days ago
Delaying the first RMD to April 1 stacks two distributions on one tax return, potentially bundling over $150,000 in income for a $2 million IRA.
Medicare sets 2028 premiums using 2026 income, so a bunched RMD year can trigger IRMAA surcharges costing a married couple nearly $5,770 extra annually.
Taking the first RMD by December 31 instead of April 1 keeps both distributions on separate returns and eliminates the income-stacking problem entirely.
Read More: Learn 7 ways to generate income with a $1,000,000+ portfolio (sponsor)
A retiree turned 73 in 2025 and used the option Congress left him. Instead of taking his first required minimum distribution (RMD) by December 31, he delayed it until April 1, 2026. The second RMD was still due December 31, 2026. Two withdrawals landed on one tax return, and Medicare does not care that the first one "belonged" to 2025. Both dollars became 2026 income. The April deadline bought three months. It did not buy another tax year.
#taking #instead
Medicare sets 2028 premiums using 2026 income, so a bunched RMD year can trigger IRMAA surcharges costing a married couple nearly $5,770 extra annually.
Taking the first RMD by December 31 instead of April 1 keeps both distributions on separate returns and eliminates the income-stacking problem entirely.
Read More: Learn 7 ways to generate income with a $1,000,000+ portfolio (sponsor)
A retiree turned 73 in 2025 and used the option Congress left him. Instead of taking his first required minimum distribution (RMD) by December 31, he delayed it until April 1, 2026. The second RMD was still due December 31, 2026. Two withdrawals landed on one tax return, and Medicare does not care that the first one "belonged" to 2025. Both dollars became 2026 income. The April deadline bought three months. It did not buy another tax year.
#taking #instead
8 days ago
Running two homes doubles property taxes, insurance, utilities, and maintenance costs against a Case-Shiller index sitting near a record high of 337.
New York's tax burden of $10,828 per capita versus Florida's $5,110 makes domicile choice the highest-impact financial decision over a 30-year retirement.
Medicare Advantage plans are region-locked, so snowbirds often land without in-network coverage in their second state beyond emergency care.
Read More: Learn 7 secret wealth tips high net worth investors use that most investors miss (sponsor)
Over a winter dinner, just about everyone north of the Mason-Dixon line has floated this idea at some point. Summers back home, winters somewhere warm, two front porches, and a life that never really has to deal with a deep freeze. It is one of the most common retirement fantasies people talk about, and one of the least often stress-tested. The brochure math is simple enough, but the operating math is where things tend to fall apart. Here is what running two households actually demands from a portfolio, and where the money quietly disappears.
#Retirement #investors
New York's tax burden of $10,828 per capita versus Florida's $5,110 makes domicile choice the highest-impact financial decision over a 30-year retirement.
Medicare Advantage plans are region-locked, so snowbirds often land without in-network coverage in their second state beyond emergency care.
Read More: Learn 7 secret wealth tips high net worth investors use that most investors miss (sponsor)
Over a winter dinner, just about everyone north of the Mason-Dixon line has floated this idea at some point. Summers back home, winters somewhere warm, two front porches, and a life that never really has to deal with a deep freeze. It is one of the most common retirement fantasies people talk about, and one of the least often stress-tested. The brochure math is simple enough, but the operating math is where things tend to fall apart. Here is what running two households actually demands from a portfolio, and where the money quietly disappears.
#Retirement #investors
9 days ago
On the September 2 episode of Mad Money, Jim Cramer called Cardinal Health, Inc. (NYSE:CAH) one of his "absolute favorites" and mentioned its growing exposure to specialty pharmaceuticals and higher-margin healthcare services.
Cardinal's been running circles around McKesson and Cencora. They consistently put up the best numbers because this company has gradually become less of a commoditized service provider and more of a specialized player.
Cardinal Health, Inc.'s (NYSE:CAH) fiscal fourth-quarter revenue rose 6% to $63.7 billion but missed estimates, while adjusted earnings per share came in at $2.91. Excluding a $0.31 per share tariff refund benefit, adjusted EPS was $2.60. Management forecast fiscal 2027 non-GAAP EPS of $12.40 to $12.60, a 13% to 15% growth, while adjusted free cash flow is expected at $3.5 billion to $4 billion.
The revenue miss is less significant if the company continues converting pharmaceutical volume into earnings. Lower branded-drug prices, including those affected by Medicare negotiations, can reduce reported sales without a proportional decline in distributor fees. The shift toward generics can have a similar effect because lower-priced drugs generate less revenue but can support attractive margins and high volumes. As Cramer said:
Remember, volume is where Cardinal really makes the money, volume, okay? That's why I keep shrugging off the revenue misses.
#cardinal #less #billion #NYSE
Cardinal's been running circles around McKesson and Cencora. They consistently put up the best numbers because this company has gradually become less of a commoditized service provider and more of a specialized player.
Cardinal Health, Inc.'s (NYSE:CAH) fiscal fourth-quarter revenue rose 6% to $63.7 billion but missed estimates, while adjusted earnings per share came in at $2.91. Excluding a $0.31 per share tariff refund benefit, adjusted EPS was $2.60. Management forecast fiscal 2027 non-GAAP EPS of $12.40 to $12.60, a 13% to 15% growth, while adjusted free cash flow is expected at $3.5 billion to $4 billion.
The revenue miss is less significant if the company continues converting pharmaceutical volume into earnings. Lower branded-drug prices, including those affected by Medicare negotiations, can reduce reported sales without a proportional decline in distributor fees. The shift toward generics can have a similar effect because lower-priced drugs generate less revenue but can support attractive margins and high volumes. As Cramer said:
Remember, volume is where Cardinal really makes the money, volume, okay? That's why I keep shrugging off the revenue misses.
#cardinal #less #billion #NYSE
9 days ago
WestEnd Capital Management, an investment advisor, released its Q2 2026 investor letter. The letter can be downloaded here. WestEnd Capital Management's Core Strategy achieved a 16.3% net return in the quarter, surpassing the S&P 500's 15.0%. This performance stemmed from strong earnings generators and upward earnings revisions, showcasing U.S. companies' efficiency in converting sales into profits. S&P 500 net profit margins reached a decade-high of 14.8% in Q1 and are expected to remain above 14% in Q2 despite challenges like higher interest rates and geopolitical uncertainty. Technology remains a key focus in WestEnd's portfolio, along with investments in infrastructure, demographic shifts, financial innovation, and selective consumer opportunities. Also, check the fund's top five holdings to see its best picks in 2026.
In its second-quarter 2026 investor letter, WestEnd Capital Management highlighted Janus Living, Inc. (NYSE:JAN). Janus Living, Inc. (NYSE:JAN) is the only U.S. publicly traded REIT focused exclusively on the senior housing sector and the only U.S. publicly traded REIT. On September 2, 2026, Janus Living, Inc. (NYSE:JAN) closed at $30.70 per share. Over the past month, Janus Living, Inc. (NYSE:JAN) returned 5.51%, and its shares are up 27.08% over the three months. Janus Living, Inc. (NYSE:JAN) has a market capitalization of $9.45 billion.
WestEnd Capital Management stated the following regarding Janus Living, Inc. (NYSE:JAN) in its Q2 2026 investor letter:
"Janus Living, Inc. (NYSE:JAN) is one of the nation's largest pure-play owners and operators of senior housing communities. Unlike traditional triple-net REITs that collect fixed lease payments, Janus generates operating income directly from resident rents and service fees. That means the company captures the full operational upside as occupancy and rental rates increase, while also ******* uming the operational risks of running its communities. Because residents pay privately rather than through Medicare or Medicaid reimbursement programs, the business is largely insulated from changes in government reimbursement policy.
The industry's long-term fundamentals remain compelling:
#westend
In its second-quarter 2026 investor letter, WestEnd Capital Management highlighted Janus Living, Inc. (NYSE:JAN). Janus Living, Inc. (NYSE:JAN) is the only U.S. publicly traded REIT focused exclusively on the senior housing sector and the only U.S. publicly traded REIT. On September 2, 2026, Janus Living, Inc. (NYSE:JAN) closed at $30.70 per share. Over the past month, Janus Living, Inc. (NYSE:JAN) returned 5.51%, and its shares are up 27.08% over the three months. Janus Living, Inc. (NYSE:JAN) has a market capitalization of $9.45 billion.
WestEnd Capital Management stated the following regarding Janus Living, Inc. (NYSE:JAN) in its Q2 2026 investor letter:
"Janus Living, Inc. (NYSE:JAN) is one of the nation's largest pure-play owners and operators of senior housing communities. Unlike traditional triple-net REITs that collect fixed lease payments, Janus generates operating income directly from resident rents and service fees. That means the company captures the full operational upside as occupancy and rental rates increase, while also ******* uming the operational risks of running its communities. Because residents pay privately rather than through Medicare or Medicaid reimbursement programs, the business is largely insulated from changes in government reimbursement policy.
The industry's long-term fundamentals remain compelling:
#westend
9 days ago
Diamond Hill Capital, a First Eagle Investment Management company, issued its Q2 2026 investor letter for its "Small Cap Strategy". The letter can be downloaded here. The strategy returned 24.01% in the second quarter, outperforming the Russell 2000 Index's 21.49% return. Performance was positively affected by stock selection in health care and industrials, while the Fund's underweight position in information technology was the largest relative detractor as AI-related companies drove market gains. Small-cap equities benefited from strong earnings, resilient economic conditions, and easing geopolitical concerns, with technology leading sector performance while energy declined alongside lower oil prices. Despite the market's focus on AI, the Fund's strongest contributors came from businesses outside the theme, particularly in health care, defense-oriented companies, and tangible-asset industries. Looking ahead, the Fund remains focused on resilient, underfollowed companies tied to infrastructure, defense modernization, and essential industries where disciplined capital allocation and long-term demand can support value creation. Also, check the fund's top five holdings to see its best picks in 2026.
In its second-quarter 2026 investor letter, Diamond Hill Capital Small Cap Strategy highlighted Astrana Health, Inc. (NASDAQ:ASTH). Astrana Health, Inc. (NASDAQ:ASTH), a US-based healthcare management company that provides medical care services, contributed positively to the Strategy's performance this quarter. On September 2, 2026, Astrana Health, Inc. (NASDAQ:ASTH) closed at $38.57 per share. Astrana Health, Inc. (NASDAQ:ASTH) was up 11.75% over the past month, and its shares gained 23.75% over the past 52 weeks. Astrana Health, Inc. (NASDAQ:ASTH) has a market capitalization of $1.91 billion.
Diamond Hill Capital Small Cap Strategy stated the following regarding Astrana Health, Inc. (NASDAQ:ASTH) in its Q2 2026 investor letter:
"Astrana Health, Inc. (NASDAQ:ASTH), a leader in value-based health care, outperformed as the company results have continued to demonstrate that it was not taking advantage of loopholes within Medicare coding, the balance sheet is back in good shape after the recent Prospect Health acquisition, which is performing well, and recent Medicare Advantage rates came in better than expected."
Astrana Health, Inc. (NASDAQ:ASTH) is not on our list of the 40 Most Popular Stocks Among Hedge Funds. As per our database, 18 hedge fund portfolios held Astrana Health, Inc. (NASDAQ:ASTH) at the end of the second quarter which was 15 in the previous quarter. While we acknowledge the potential of Astrana Health, Inc. (NASDAQ:ASTH) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
#astrana
In its second-quarter 2026 investor letter, Diamond Hill Capital Small Cap Strategy highlighted Astrana Health, Inc. (NASDAQ:ASTH). Astrana Health, Inc. (NASDAQ:ASTH), a US-based healthcare management company that provides medical care services, contributed positively to the Strategy's performance this quarter. On September 2, 2026, Astrana Health, Inc. (NASDAQ:ASTH) closed at $38.57 per share. Astrana Health, Inc. (NASDAQ:ASTH) was up 11.75% over the past month, and its shares gained 23.75% over the past 52 weeks. Astrana Health, Inc. (NASDAQ:ASTH) has a market capitalization of $1.91 billion.
Diamond Hill Capital Small Cap Strategy stated the following regarding Astrana Health, Inc. (NASDAQ:ASTH) in its Q2 2026 investor letter:
"Astrana Health, Inc. (NASDAQ:ASTH), a leader in value-based health care, outperformed as the company results have continued to demonstrate that it was not taking advantage of loopholes within Medicare coding, the balance sheet is back in good shape after the recent Prospect Health acquisition, which is performing well, and recent Medicare Advantage rates came in better than expected."
Astrana Health, Inc. (NASDAQ:ASTH) is not on our list of the 40 Most Popular Stocks Among Hedge Funds. As per our database, 18 hedge fund portfolios held Astrana Health, Inc. (NASDAQ:ASTH) at the end of the second quarter which was 15 in the previous quarter. While we acknowledge the potential of Astrana Health, Inc. (NASDAQ:ASTH) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
#astrana
9 days ago
Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment ******* umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted UnitedHealth Group Incorporated (NYSE:UNH). UnitedHealth Group Incorporated (NYSE:UNH), a diversified healthcare company, contributed 2.5% to the Fund's performance during the quarter. On September 02, 2026, UnitedHealth Group Incorporated (NYSE:UNH) closed at $399.66 per share. Over the past month UnitedHealth Group Incorporated (NYSE:UNH) was down 1.07%, and its shares gained 28.76% over the past 52 weeks. UnitedHealth Group Incorporated (NYSE:UNH) has a market capitalization of $358.73 billion and its stock has traded within a 52-week range of $255.97 - $461.62.
Eagle Capital Management stated the following regarding UnitedHealth Group Incorporated (NYSE:UNH) in its Q2 2026 investor letter:
"Managed care (13% of capital): UnitedHealth Group Incorporated (NYSE:UNH), Humana, Elevance: These managed care companies have significant scale advantages in a consolidated industry that outgrows the overall economy. The industry moves with its own cycle and, over the last several years, has faced cost/price pressures in Medicare Advantage and Medicaid. Even the largest firms are earning poor margins, and some weaker firms are unprofitable. We believe conditions have bottomed out and that we are transitioning to a multi-year improvement in margins and earnings. Al-driven technology projects can both reduce costs and improve service quality. Since returning as CEO at UnitedHealth last year, Stephen Hemsley and the management team have been correcting some of the company's missteps. Recent results provide growing evidence that the turnaround is well on track. We expect EPS growth of 15-20% over the next several years, driven by moderate revenue growth and significantly e
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted UnitedHealth Group Incorporated (NYSE:UNH). UnitedHealth Group Incorporated (NYSE:UNH), a diversified healthcare company, contributed 2.5% to the Fund's performance during the quarter. On September 02, 2026, UnitedHealth Group Incorporated (NYSE:UNH) closed at $399.66 per share. Over the past month UnitedHealth Group Incorporated (NYSE:UNH) was down 1.07%, and its shares gained 28.76% over the past 52 weeks. UnitedHealth Group Incorporated (NYSE:UNH) has a market capitalization of $358.73 billion and its stock has traded within a 52-week range of $255.97 - $461.62.
Eagle Capital Management stated the following regarding UnitedHealth Group Incorporated (NYSE:UNH) in its Q2 2026 investor letter:
"Managed care (13% of capital): UnitedHealth Group Incorporated (NYSE:UNH), Humana, Elevance: These managed care companies have significant scale advantages in a consolidated industry that outgrows the overall economy. The industry moves with its own cycle and, over the last several years, has faced cost/price pressures in Medicare Advantage and Medicaid. Even the largest firms are earning poor margins, and some weaker firms are unprofitable. We believe conditions have bottomed out and that we are transitioning to a multi-year improvement in margins and earnings. Al-driven technology projects can both reduce costs and improve service quality. Since returning as CEO at UnitedHealth last year, Stephen Hemsley and the management team have been correcting some of the company's missteps. Recent results provide growing evidence that the turnaround is well on track. We expect EPS growth of 15-20% over the next several years, driven by moderate revenue growth and significantly e
9 days ago
Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment ***** umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high-quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections in 2026.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted Humana Inc. (NYSE:HUM). Humana Inc. (NYSE:HUM) is an American insurance company that provides medical and specialty insurance products. On September 02, 2026, Humana Inc. (NYSE:HUM) closed at $400.97 per share. Over the past month, Humana Inc. (NYSE:HUM) returned 9.18%, and its shares gained 28.52% over the past 52 weeks. Humana Inc. (NYSE:HUM) has a market capitalization of $48.15 billion with a 52-week trading range between $163.11 and $428.88.
Eagle Capital Management stated the following regarding Humana Inc. (NYSE:HUM) in its Q2 2026 investor letter:
"Managed care (13% of capital): UnitedHealth Group, Humana Inc. (NYSE:HUM), Elevance: These managed care companies have significant scale advantages in a consolidated industry that outgrows the overall economy. The industry moves with its own cycle and, over the last several years, has faced cost/price pressures in Medicare Advantage and Medicaid. Even the largest firms are earning poor margins, and some weaker firms are unprofitable. We believe conditions have bottomed out and that we are transitioning to a multi-year improvement in margins and earnings. Al-driven technology projects can both reduce costs and improve service quality. Humana is also making good strides, and we expect significantly improved Star ratings for the company later this year. We expect EPS growth of 15-20% over the next several years, driven by moderate revenue growth and significantly expanding margins."
#eagle
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted Humana Inc. (NYSE:HUM). Humana Inc. (NYSE:HUM) is an American insurance company that provides medical and specialty insurance products. On September 02, 2026, Humana Inc. (NYSE:HUM) closed at $400.97 per share. Over the past month, Humana Inc. (NYSE:HUM) returned 9.18%, and its shares gained 28.52% over the past 52 weeks. Humana Inc. (NYSE:HUM) has a market capitalization of $48.15 billion with a 52-week trading range between $163.11 and $428.88.
Eagle Capital Management stated the following regarding Humana Inc. (NYSE:HUM) in its Q2 2026 investor letter:
"Managed care (13% of capital): UnitedHealth Group, Humana Inc. (NYSE:HUM), Elevance: These managed care companies have significant scale advantages in a consolidated industry that outgrows the overall economy. The industry moves with its own cycle and, over the last several years, has faced cost/price pressures in Medicare Advantage and Medicaid. Even the largest firms are earning poor margins, and some weaker firms are unprofitable. We believe conditions have bottomed out and that we are transitioning to a multi-year improvement in margins and earnings. Al-driven technology projects can both reduce costs and improve service quality. Humana is also making good strides, and we expect significantly improved Star ratings for the company later this year. We expect EPS growth of 15-20% over the next several years, driven by moderate revenue growth and significantly expanding margins."
#eagle
9 days ago
On August 3, Ocular Therapeutix (NASDAQ:OCUL) reported second-quarter 2026 financial results that read as much like a regulatory update as an earnings report. Management confirmed that AXPAXLI, its lead retinal disease candidate, remains on track for a new drug application submission for wet age-related macular degeneration in the fourth quarter of 2026, a plan the FDA effectively signed off on during a Type C meeting held in May. That timeline, paired with new data suggesting patients could need far fewer injections, is the headline. The rest of the report shows what it costs to get there.
AXPAXLI's case rests on the SOL-1 trial, which Ocular describes as the first successful superiority study of a new agent against an approved anti-VEGF therapy since that drug class arrived two decades ago. The FDA's May 2026 meeting minutes confirmed that SOL-1's efficacy and safety data, along with an interim safety look at the SOL-R trial and supporting evidence on axitinib, will be enough to support the NDA filing, and Ocular plans to file under the 505(b)(2) pathway, which could shave up to 60 days off a standard review.
A post hoc ***** ysis of SOL-1 adds a practical argument for the drug: applying SOL-R's stricter rescue criteria, Ocular estimates patients could need up to 72% fewer injections through 60 weeks, or 56% once the two loading doses are counted, than a patient on a typical every-eight-week aflibercept regimen, a gap that matters given that up to 40% of wet AMD patients quit treatment within their first year.
Early market research backs that pitch: about 80% of surveyed retina specialists said they would likely prescribe a drug with AXPAXLI's profile, and more than 90% expect to adopt it within a year of approval. The company says every Tier 1 payer it has engaged, across Medicare Advantage and commercial plans, has floated premium pricing for a more durable option. Underpinning all of it is a cash balance of $598.6 million as of June 30, which management expects to last into 2028.
Getting AXPAXLI to market is expensive, and the quarter showed it. Research and development spending rose to $54.1 million from $51.1 million a year earlier, selling and marketing costs climbed to $17.3 million from $13.7 million, and general and administrative expenses jumped to $22.2 million from $14.3 million, all tied to trial costs and a growing commercial team ahead of a launch that still is not approved. Net loss widened to $78.8 million from $67.8 million in the same quarter of 2025.
#quarter #costs
AXPAXLI's case rests on the SOL-1 trial, which Ocular describes as the first successful superiority study of a new agent against an approved anti-VEGF therapy since that drug class arrived two decades ago. The FDA's May 2026 meeting minutes confirmed that SOL-1's efficacy and safety data, along with an interim safety look at the SOL-R trial and supporting evidence on axitinib, will be enough to support the NDA filing, and Ocular plans to file under the 505(b)(2) pathway, which could shave up to 60 days off a standard review.
A post hoc ***** ysis of SOL-1 adds a practical argument for the drug: applying SOL-R's stricter rescue criteria, Ocular estimates patients could need up to 72% fewer injections through 60 weeks, or 56% once the two loading doses are counted, than a patient on a typical every-eight-week aflibercept regimen, a gap that matters given that up to 40% of wet AMD patients quit treatment within their first year.
Early market research backs that pitch: about 80% of surveyed retina specialists said they would likely prescribe a drug with AXPAXLI's profile, and more than 90% expect to adopt it within a year of approval. The company says every Tier 1 payer it has engaged, across Medicare Advantage and commercial plans, has floated premium pricing for a more durable option. Underpinning all of it is a cash balance of $598.6 million as of June 30, which management expects to last into 2028.
Getting AXPAXLI to market is expensive, and the quarter showed it. Research and development spending rose to $54.1 million from $51.1 million a year earlier, selling and marketing costs climbed to $17.3 million from $13.7 million, and general and administrative expenses jumped to $22.2 million from $14.3 million, all tied to trial costs and a growing commercial team ahead of a launch that still is not approved. Net loss widened to $78.8 million from $67.8 million in the same quarter of 2025.
#quarter #costs
9 days ago
On August 5, Clover Health Investments Corp. (NASDAQ:CLOV) reported second-quarter 2026 results that turned a year-ago loss into real profit. GAAP net income came in at $28 million, a $39 million swing from the $10.6 million loss posted in the same quarter last year. Medicare Advantage membership climbed to 157,309, up 48% year over year, and the company raised its full-year guidance across every major line item. For a stock that has spent years chasing profitability, this quarter reads like a turning point.
The headline number is the $28 million in GAAP net income for the quarter, but the six-month picture tells the same story with more weight behind it: $55.3 million in net income through the first half of 2026, compared to an $11.9 million loss over the same stretch last year. Revenue reached $743.2 million in the quarter, up 55.6% year over year, and consolidated gross profit rose 53.6% to $153.0 million. Adjusted EBITDA more than doubled, jumping 139.2% to $40.9 million from $17.1 million a year earlier, which means profitability is scaling faster than revenue itself.
Clover backed those numbers by raising its 2026 outlook on every front. Full-year adjusted EBITDA guidance moved up to $70 million to $85 million from a prior range of $50 million to $70 million, and GAAP net income guidance rose to $20 million to $35 million from $0 million to $20 million. The company also closed the quarter with $443.0 million in cash and investments, up 13.8% year over year, giving it room to keep funding growth. CEO Andrew Toy pointed to the Clover ***** istant platform reaching more physicians and members as the engine behind "better health outcomes" alongside the growth, while Interim CFO Clay Thornton tied the improving cohort economics to the company retaining more of that value under its full-risk model heading into 2027.
The same filing shows that scaling a Medicare Advantage insurer is not cheap. Insurance net medical claims incurred rose 56.1% year over year to $615.4 million, tracking almost in step with revenue growth. The insurance benefits expense ratio, which measures how much of premium revenue goes toward paying medical claims, sat at 87.6% for the quarter, only 80 basis points better than a year ago, and the six-month figure improved by just 20 basis points. That means the cost of caring for members has barely budged as a share of revenue, even as the top line surged.
Spending on overhead grew too. Salaries, benefits, and general and administrative expenses rose 13.3% year over year to $124.4 million, while the adjusted version of that same cost line jumped 35.9% to $112.1 million. And even after the guidance raise, projected full-year GAAP net income of $20 million to $35 million is modest against total revenue guidance of $2.92 billion to $3.00 billion, a thin margin for a business still proving it can convert scale into durable profit.
#quarter #income
The headline number is the $28 million in GAAP net income for the quarter, but the six-month picture tells the same story with more weight behind it: $55.3 million in net income through the first half of 2026, compared to an $11.9 million loss over the same stretch last year. Revenue reached $743.2 million in the quarter, up 55.6% year over year, and consolidated gross profit rose 53.6% to $153.0 million. Adjusted EBITDA more than doubled, jumping 139.2% to $40.9 million from $17.1 million a year earlier, which means profitability is scaling faster than revenue itself.
Clover backed those numbers by raising its 2026 outlook on every front. Full-year adjusted EBITDA guidance moved up to $70 million to $85 million from a prior range of $50 million to $70 million, and GAAP net income guidance rose to $20 million to $35 million from $0 million to $20 million. The company also closed the quarter with $443.0 million in cash and investments, up 13.8% year over year, giving it room to keep funding growth. CEO Andrew Toy pointed to the Clover ***** istant platform reaching more physicians and members as the engine behind "better health outcomes" alongside the growth, while Interim CFO Clay Thornton tied the improving cohort economics to the company retaining more of that value under its full-risk model heading into 2027.
The same filing shows that scaling a Medicare Advantage insurer is not cheap. Insurance net medical claims incurred rose 56.1% year over year to $615.4 million, tracking almost in step with revenue growth. The insurance benefits expense ratio, which measures how much of premium revenue goes toward paying medical claims, sat at 87.6% for the quarter, only 80 basis points better than a year ago, and the six-month figure improved by just 20 basis points. That means the cost of caring for members has barely budged as a share of revenue, even as the top line surged.
Spending on overhead grew too. Salaries, benefits, and general and administrative expenses rose 13.3% year over year to $124.4 million, while the adjusted version of that same cost line jumped 35.9% to $112.1 million. And even after the guidance raise, projected full-year GAAP net income of $20 million to $35 million is modest against total revenue guidance of $2.92 billion to $3.00 billion, a thin margin for a business still proving it can convert scale into durable profit.
#quarter #income
9 days ago
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Figuring out when you can afford to retire often comes down to determining whether your ***** ets will produce enough annual income to support your lifestyle and spending needs.
With $500,000 in a Roth IRA and $2,000 in combined monthly Social Security and pension payments, you may be able to afford to retire at age 62. However, that will mean living on approximately $44,000 per year. Some retirees may be satisfied with this level of income, but it may not support you adequately if you plan to do a lot of traveling or live in a high-cost area.
Before making the decision to stop working at 62, you'll also need to develop a plan for paying for health insurance since you won't be eligible for Medicare until age 65.
If you need help deciding when to retire, connect with a financial advisor and have them build you an income plan based on your unique financial situation.
#retire #plan #need #smartasset
Figuring out when you can afford to retire often comes down to determining whether your ***** ets will produce enough annual income to support your lifestyle and spending needs.
With $500,000 in a Roth IRA and $2,000 in combined monthly Social Security and pension payments, you may be able to afford to retire at age 62. However, that will mean living on approximately $44,000 per year. Some retirees may be satisfied with this level of income, but it may not support you adequately if you plan to do a lot of traveling or live in a high-cost area.
Before making the decision to stop working at 62, you'll also need to develop a plan for paying for health insurance since you won't be eligible for Medicare until age 65.
If you need help deciding when to retire, connect with a financial advisor and have them build you an income plan based on your unique financial situation.
#retire #plan #need #smartasset
10 days ago
Selling an inherited rental home triggers a large taxable gain since depreciation reduces basis and the Section 121 home-sale exclusion doesn't apply.
IRMAA uses income from two years prior, so a large 2026 gain can push both spouses into Medicare's $649 monthly Part B tier by 2028.
A voluntary property sale disqualifies sellers from SSA-44 relief, but IRMAA resets annually, so higher premiums should last only one affected year.
Read More: Learn 7 ways to generate income with a $1,000,000+ portfolio (sponsor)
A 68-year-old retiree in Ohio inherited his parents' three-bedroom colonial when his mother died in 2006. He never moved in. Instead, he rented it for 20 years before selling it this spring for a price that felt like a lottery win. He and his wife are both on Medicare. What they may not realize is that the sale can come back two years later in the form of substantially higher premiums.
#selling #inherited #home #large
IRMAA uses income from two years prior, so a large 2026 gain can push both spouses into Medicare's $649 monthly Part B tier by 2028.
A voluntary property sale disqualifies sellers from SSA-44 relief, but IRMAA resets annually, so higher premiums should last only one affected year.
Read More: Learn 7 ways to generate income with a $1,000,000+ portfolio (sponsor)
A 68-year-old retiree in Ohio inherited his parents' three-bedroom colonial when his mother died in 2006. He never moved in. Instead, he rented it for 20 years before selling it this spring for a price that felt like a lottery win. He and his wife are both on Medicare. What they may not realize is that the sale can come back two years later in the form of substantially higher premiums.
#selling #inherited #home #large
11 days ago
Hospitals thought losing hundreds of billions in Medicaid funding through GOP-led cuts last year was bad. But coming regulations from the Trump administration could slash their funding even deeper than Congress did.
Two recently proposed rules from the Centers for Medicare and Medicaid Services would cost hospitals hundreds of billions of dollars more, hospital executives told POLITICO. The rules, which target taxes states use to get more federal Medicaid dollars — and which yield higher payments to hospitals — have prompted hospitals to launch another major lobbying blitz after record spending last year.
"Our core message to CMS is to stick to the statute. Congress cut enough," said Robert Nelb, director of policy at America's Essential Hospitals, which represents hospitals serving large Medicaid populations.
"There's no need to cut any more out of the Medicaid system at a time when the safety net is really struggling," Nelb added.
If the rules are finalized and they lose hundreds of billions on top of Congress' funding cuts, hospitals say they'll be forced to reduce services, lay off workers, consolidate operations or shutter entirely. Some systems are already doing so, telling POLITICO they've cut staff, ended contracts and slashed hospital beds in response to predicted losses.
#congress
Two recently proposed rules from the Centers for Medicare and Medicaid Services would cost hospitals hundreds of billions of dollars more, hospital executives told POLITICO. The rules, which target taxes states use to get more federal Medicaid dollars — and which yield higher payments to hospitals — have prompted hospitals to launch another major lobbying blitz after record spending last year.
"Our core message to CMS is to stick to the statute. Congress cut enough," said Robert Nelb, director of policy at America's Essential Hospitals, which represents hospitals serving large Medicaid populations.
"There's no need to cut any more out of the Medicaid system at a time when the safety net is really struggling," Nelb added.
If the rules are finalized and they lose hundreds of billions on top of Congress' funding cuts, hospitals say they'll be forced to reduce services, lay off workers, consolidate operations or shutter entirely. Some systems are already doing so, telling POLITICO they've cut staff, ended contracts and slashed hospital beds in response to predicted losses.
#congress
11 days ago
Hotchkis & Wiley, an investment management company, released its second-quarter 2026 investor letter for the "Large Cap Fundamental Value Fund." A copy can be downloaded here. Equity markets posted strong returns, with the Russell 1000 Value Index rising by 13.9%, although many individual stocks lagged. Notably, semiconductor stocks and AI-related sectors saw exceptional gains. The rally appeared speculative, marked by a stark difference in performance between high-beta and low-volatility stocks, along with momentum stocks outperforming the market significantly. Despite heightened enthusiasm for AI investments, concerns arise over inflated valuations reminiscent of the dot-com era. While there is substantial capital investment in AI, future earnings growth must justify these expenditures. The fund maintains a cautious approach towards perceived beneficiaries of AI, suggesting that select high-quality businesses with reasonable valuations may be better positioned. Historical trends suggest that speculative markets often revert to valuations based on fundamental economic realities, and the chosen investments are believed to be well-prepared for such a shift. The fund underperformed the index in the quarter and returned 5.69% vs. 13.87% for the Russell 1000 Value Index, largely due to a lack of exposure to high-performing sectors like semiconductors, while stock selection in healthcare provided a positive contribution. Also, check the fund's top five holdings to see its best picks in 2026.
In its second-quarter 2026 investor letter, Hotchkis & Wiley Large Cap Fundamental Value Fund highlighted Elevance Health, Inc. (NYSE:ELV) as a notable contributor. Elevance Health, Inc. (NYSE:ELV) is a US-based health benefits company. On August 31, 2026, Elevance Health, Inc. (NYSE:ELV) closed at $392.54 per share. Over the past month, Elevance Health, Inc. (NYSE:ELV) reported 3.85%, but its shares are up 21.78% over the past year. Elevance Health, Inc. (NYSE:ELV) has a market capitalization of $85.13 billion, and its stock has traded within a 52-week range of $274.84 to $436.24.
Hotchkis & Wiley Large Cap Fundamental Value Fund stated the following regarding Elevance Health, Inc. (NYSE:ELV) in its Q2 2026 investor letter:
"Elevance Health, Inc. (NYSE:ELV) is the second largest health insurer, and one of the largest commercial insurers in the United States. Shares rose during the quarter after the company reported quarterly earnings that beat consensus estimates. It was further supported by news that the US agreed to increase 2027 payments for private Medicare Advantage plans above the initial proposal. The company is priced at a discount to the market, driven by skepticism surrounding margins and growth, despite being a superior business that grows above GDP while returning most of its cash to shareholders."
#NYSE #fund #fundamental #wiley
In its second-quarter 2026 investor letter, Hotchkis & Wiley Large Cap Fundamental Value Fund highlighted Elevance Health, Inc. (NYSE:ELV) as a notable contributor. Elevance Health, Inc. (NYSE:ELV) is a US-based health benefits company. On August 31, 2026, Elevance Health, Inc. (NYSE:ELV) closed at $392.54 per share. Over the past month, Elevance Health, Inc. (NYSE:ELV) reported 3.85%, but its shares are up 21.78% over the past year. Elevance Health, Inc. (NYSE:ELV) has a market capitalization of $85.13 billion, and its stock has traded within a 52-week range of $274.84 to $436.24.
Hotchkis & Wiley Large Cap Fundamental Value Fund stated the following regarding Elevance Health, Inc. (NYSE:ELV) in its Q2 2026 investor letter:
"Elevance Health, Inc. (NYSE:ELV) is the second largest health insurer, and one of the largest commercial insurers in the United States. Shares rose during the quarter after the company reported quarterly earnings that beat consensus estimates. It was further supported by news that the US agreed to increase 2027 payments for private Medicare Advantage plans above the initial proposal. The company is priced at a discount to the market, driven by skepticism surrounding margins and growth, despite being a superior business that grows above GDP while returning most of its cash to shareholders."
#NYSE #fund #fundamental #wiley
11 days ago
On August 25, SelectQuote (NASDAQ:SLQT) told investors that cash generation, not growth, is now the entire point of owning the stock. Fiscal 2026 revenue reached $1.62 billion, up 6% year over year, and operating cash flow climbed $44 million from the prior year. But the same release showed a fourth-quarter net loss of $16.8 million, a reversal from $12.9 million in net income a year earlier, and a fiscal 2027 guide that points meaningfully lower on the top line. That gap between the narrative and the numbers underneath it is worth sitting with.
Healthcare Services, built around the company's SelectRx pharmacy, generated $845 million in revenue for fiscal 2026, up 14% even as Inflation Reduction Act drug pricing changes cut into the segment starting in the back half of the year. That business exited the fourth quarter at an annualized adjusted EBITDA run rate of nearly $50 million, roughly double the $25 million it produced across the full year, and management expects those margins to keep expanding as more prescriptions route through the company's Olathe, Kansas facility, which is already shipping about 30% more efficiently than its older sites.
Layered on top, SelectQuote identified more than $30 million in annualized run rate savings from AI-enabled enrollment tools and workflow automation. The Senior segment, meanwhile, held a 26% adjusted EBITDA margin for a fourth straight year in the mid-20% range, evidence that the agent-led distribution model keeps producing steady profit even when Medicare Advantage carriers shift benefits underneath it. Add in a commissions receivable balance north of $1 billion, and the company argues its underlying earnings power is bigger than its stock price reflects.
The guidance tells a different story. SelectQuote expects fiscal 2027 revenue of $1.35 billion to $1.45 billion, roughly 14% below fiscal 2026 at the midpoint, with Medicare Advantage approved policies projected to fall another 10% to 15% after already declining 4% this past year. Senior segment revenue already dropped 4% in fiscal 2026 to $576 million, partly because a major carrier partner pulled back its own marketing spending, a reminder of how much SelectQuote's results depend on decisions made by insurers it does not control.
The Inflation Reduction Act will keep pressuring Healthcare Services revenue through fiscal 2027, with especially messy comparisons in the first half. SelectRx membership already moderated to 109,039 members and is expected to dip further before recovering. Underneath all of it sits $800 million in debt and preferred equity carrying a roughly 12% funding cost, translating into $45 million of annual cash interest that has to be paid regardless of how enrollment season goes. Management itself called the term life insurance market competitive on customer acquisition costs, a small but telling admission that not every corner of the business is running cleanly.
#million #fiscal #already
Healthcare Services, built around the company's SelectRx pharmacy, generated $845 million in revenue for fiscal 2026, up 14% even as Inflation Reduction Act drug pricing changes cut into the segment starting in the back half of the year. That business exited the fourth quarter at an annualized adjusted EBITDA run rate of nearly $50 million, roughly double the $25 million it produced across the full year, and management expects those margins to keep expanding as more prescriptions route through the company's Olathe, Kansas facility, which is already shipping about 30% more efficiently than its older sites.
Layered on top, SelectQuote identified more than $30 million in annualized run rate savings from AI-enabled enrollment tools and workflow automation. The Senior segment, meanwhile, held a 26% adjusted EBITDA margin for a fourth straight year in the mid-20% range, evidence that the agent-led distribution model keeps producing steady profit even when Medicare Advantage carriers shift benefits underneath it. Add in a commissions receivable balance north of $1 billion, and the company argues its underlying earnings power is bigger than its stock price reflects.
The guidance tells a different story. SelectQuote expects fiscal 2027 revenue of $1.35 billion to $1.45 billion, roughly 14% below fiscal 2026 at the midpoint, with Medicare Advantage approved policies projected to fall another 10% to 15% after already declining 4% this past year. Senior segment revenue already dropped 4% in fiscal 2026 to $576 million, partly because a major carrier partner pulled back its own marketing spending, a reminder of how much SelectQuote's results depend on decisions made by insurers it does not control.
The Inflation Reduction Act will keep pressuring Healthcare Services revenue through fiscal 2027, with especially messy comparisons in the first half. SelectRx membership already moderated to 109,039 members and is expected to dip further before recovering. Underneath all of it sits $800 million in debt and preferred equity carrying a roughly 12% funding cost, translating into $45 million of annual cash interest that has to be paid regardless of how enrollment season goes. Management itself called the term life insurance market competitive on customer acquisition costs, a small but telling admission that not every corner of the business is running cleanly.
#million #fiscal #already
11 days ago
Medicare drug plans can silently shift on January 1, moving drugs to costlier tiers, adding prior authorization, or dropping coverage entirely without notice.
A $0-premium plan can cost more annually than a higher-premium plan if it places your maintenance drugs on unfavorable tiers.
Check your Annual Notice of Change each fall and compare total annual drug costs in Medicare Plan Finder, not just premiums, to avoid January surprises.
Read More: Learn 7 ways to generate income with a $1,000,000+ portfolio (sponsor)
A 72-year-old walks into her pharmacy on January 5 and hands over the same prescription she has filled every month for three years. The copay was $12 in December. Now the pharmacist is asking for $87.
#january #plan #drugs #check
A $0-premium plan can cost more annually than a higher-premium plan if it places your maintenance drugs on unfavorable tiers.
Check your Annual Notice of Change each fall and compare total annual drug costs in Medicare Plan Finder, not just premiums, to avoid January surprises.
Read More: Learn 7 ways to generate income with a $1,000,000+ portfolio (sponsor)
A 72-year-old walks into her pharmacy on January 5 and hands over the same prescription she has filled every month for three years. The copay was $12 in December. Now the pharmacist is asking for $87.
#january #plan #drugs #check
12 days ago
The 10-year Treasury yield hit a 19-month high Monday morning in a challenge to Treasury Secretary Scott Bessent's effort to ****** ert control over long-term government bond yields. Higher long-term bond yields are generally a negative for stock prices and mortgage rates, and place upward pressure on the surging cost of servicing the federal debt.
Treasury announced on Aug. 19 that it would at least double the size of buybacks of government bonds with durations of 10 years up to 30 years. The announcement stirred a brief easing of yields, with the 10-year yield slipping to 5 basis point to 4.65%. But the 10-year yield touched 4.76% on Monday, the highest since January 2025.
The 30-year Treasury yield, at 5.27%, hasn't yet eclipsed the 5.29% level ahead of Bessent's buyback news. That was the highest 30-year yield level since 2007.
The upward pressure on the 10-year Treasury yield has a number of contributors. A big one seems to be a surge in corporate debt issuance by AI hyperscalers like Google, Amazon and Microsoft. Those technology ****** ans are offering higher rates than Treasury, directing some buying power away from government debt and forcing yields higher. Persistent inflation is another factor and the resumption in U.S.-Iran strikes over the weekend won't help.
Then there's the federal budget deficit, which will come in around 6% of GDP this year, extraordinarily high for a period of solid economic growth. The rising burden of interest costs and the expense of Social Security and Medicare for baby boomers suggests that big deficits may be here to stay.
#yield
Treasury announced on Aug. 19 that it would at least double the size of buybacks of government bonds with durations of 10 years up to 30 years. The announcement stirred a brief easing of yields, with the 10-year yield slipping to 5 basis point to 4.65%. But the 10-year yield touched 4.76% on Monday, the highest since January 2025.
The 30-year Treasury yield, at 5.27%, hasn't yet eclipsed the 5.29% level ahead of Bessent's buyback news. That was the highest 30-year yield level since 2007.
The upward pressure on the 10-year Treasury yield has a number of contributors. A big one seems to be a surge in corporate debt issuance by AI hyperscalers like Google, Amazon and Microsoft. Those technology ****** ans are offering higher rates than Treasury, directing some buying power away from government debt and forcing yields higher. Persistent inflation is another factor and the resumption in U.S.-Iran strikes over the weekend won't help.
Then there's the federal budget deficit, which will come in around 6% of GDP this year, extraordinarily high for a period of solid economic growth. The rising burden of interest costs and the expense of Social Security and Medicare for baby boomers suggests that big deficits may be here to stay.
#yield
12 days ago
Sept 1 (Reuters) - UnitedHealth's insurance unit said on Tuesday that a broad range of conditions will no longer need prior approval, effective October 1, as it aims to eliminate prior authorization for 30% of healthcare services by the end of this year.
Here are the details:
• The reduction spans a broad mix of services across multiple clinical specialties, including cardiology, genetic and laboratory testing, chiropractic care, physical, occupational and speech therapy, orthopedic and musculoskeletal procedures, among others.
• The prior authorization requirements are being eliminated across its commercial plans, Medicare Advantage for older adults and individual insurance under the Affordable Care Act, also known as Obamacare, and some other types of plans.
• Health insurers have been taking measures to simplify their requirements for prior authorization on medicines and medical services after complaints from patients and doctors over excessive paperwork that can delay or even deny needed care.
#prior
Here are the details:
• The reduction spans a broad mix of services across multiple clinical specialties, including cardiology, genetic and laboratory testing, chiropractic care, physical, occupational and speech therapy, orthopedic and musculoskeletal procedures, among others.
• The prior authorization requirements are being eliminated across its commercial plans, Medicare Advantage for older adults and individual insurance under the Affordable Care Act, also known as Obamacare, and some other types of plans.
• Health insurers have been taking measures to simplify their requirements for prior authorization on medicines and medical services after complaints from patients and doctors over excessive paperwork that can delay or even deny needed care.
#prior
