SI
SI
discoversearch

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 : Undiscovered Value + Growth
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Dr. Harvey who wrote (152)8/3/1998 10:03:00 AM
From: Egolpi  Read Replies (1) of 183
 
Mid Atlantic Medical Services, Inc. (NYSE: MME) is a managed care health insurance provider doing business in a seven-state region from South Carolina to Pennsylvania. This stock was in the mid-forties in 1994-95 before an ill-conceived venture into the Medicaid/Medicare market. Since significant losses in 1995-96, MAMSI abandoned those products to return to commercial health underwriting.

The bulk of MAMSI's 1.7+ million covered lives are through a product called Alliance PPO, which is non-risk. This means that MAMSI merely rents a medical provider network and prices claims in accordance to agreements written on behalf of a network of TPAs (Third-party admin-
istrators). This is a guaranteed profit-making business component, in that the payers of the claims are self-insured companies and other insurers. MAMSI has NO RISK in this profitable business segment.

Since 1996, MAMSI has reported at least 5 consequetive profitable quarters, and should report a small profit from 2nd Quarter, 1998, on or about 8/12. At today's open of 7 7/8, this stock is extremely undervalued (mostly due to the negativism surrounding all managed care companies), and should appreciate to the $12-13 range in the next 90 days.

Should stock continue to fall, this company is a strong acquisition target for West or Mid-West based MCOs looking for a competitive foothold in the Mid Atlantic region.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News