Research Update: Health Net Inc. Outlook Revised To Negative From Stable On Poorer Operating Results; Ratings Affirmed Aug 12
- Language: English
- Published: August 2012
Well-established competitive position in core California marketplace. Meaningful earnings and cash flow diversity from affiliated subsidiaries' government contracts. Parent company's conservative debt leverage. Improving operating performance. Material nonoperating charges could potentially result in continued volatile earnings. Limited geographic and product scope. The ratings on Health Net Inc. and its core operating subsidiaries reflect their well-established competitive position in their core California marketplace. Other rating strengths include their meaningful earnings and cash flow diversity from affiliated subsidiaries' government contracts (Health Net Federal Services LLC and Managed Health Network Inc.) and conservative parent company debt leverage. These strengths help to mitigate concerns regarding material nonoperating charges resulting in continued volatile earnings as well as the company's limited geographic and product scope. Health...
Companies mentioned in this report are: Health Net of California Inc.,Health Net Life Insurance Co.,Health Net Inc.
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Research Type: Full Analysis
Health Net of California Inc.,Health Net Life Insurance Co.,Health Net Inc.