Value Investing Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Value Investing

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Madharry who wrote (16781)	4/9/2003 9:55:02 PM
From: Bob Rudd	Read Replies (2) of 78652

Madharry: ACDO - The receivables aren't the key issue. They were purchased & the sellers estimate of uncollectibles was accepted....now it looks like an adjustment to a higher level may be required. If there were fraud, ACDO would be the vic not the perp....but there's no fraud, just an adjustment that will actually help visible earnings in 04 by about .25. The key issue, IMO, is whether Pharmacy Benefit Managers, PBM's like quote.yahoo.com are taking share and will continue to take share from ACDO. The PBM's are generalists offering one stop shopping while ACDO is a specialist offering higher service levels for specific accute diseases. The PBM's gained some ground recently when ACDO's sales force took their eye off the ball due to acquisition integration and other temporary issues. ACDO says this is temporary, that there has been no real change in competitive dynamics. Some analysts aren't so sure. The shares reflect bearish expectations. I'm betting ACDO is telling it straight, but it's not a big bet. ACDO is scheduled to offer 04 guidance early May.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next