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Microcap & Penny Stocks : Coram (CRH)--has the turnaround begun

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To: Tony van Werkhooven who wrote (19)5/11/1998 4:33:00 PM
From: Lou Little  Read Replies (1) of 85
 
Is there money to be made in this industry?

That is a very good question! Back in the 80's and early 90's, it was really hard NOT to make money in infusion therapy. Then managed care penetration, much lower pricing and tighter Medicare/Medicaid eligibility criteria took a huge chunk out of the potential revenue per patient. I mean a BIG chunk.

Ever since 1994 or so, the industry has been consolidating in an attempt to survive as an industry (i.e., not part of some larger, more vertically integrated health system).

AHG has indicated that some of their recent hard times are due to the deterioration of their infusion business (actually a small part of their total, predominantly Home Medical Equipment, base of business).
Lincare does relatively little infusion therapy either (not a relevant comparison to Coram).

Coram may survive, but it probably would be as a much smaller player.

IMHO
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