Greg,
I added to my HEALTHSOUTH position today at 23. I believe that at this level it is extremely attractive. A couple of articles in the Wall Street Journal support my view.
From August 7th:
In the health-care field, HealthSouth qualifies as one of the most obvious "fallen angels" to Eric M. Wiegand, a senior portfolio manager with First Capital Group, a division of First Union National Bank.
"Here's a company that has continued to execute from an operating and earnings standpoint, and, yet, industry concerns and market concerns have really wreaked havoc with the stock," Mr. Wiegand says.
From August 6th:
Mr. Cummins picks Healthsouth Corp., Birmingham, Ala., a company that operates rehabilitation and outpatient surgery facilities nationwide, in the United Kingdom and in Australia. "It's an earnings engine," he says, with long-term earnings growth of 25% to 30% a year, good profit margins and a strong balance sheet.
Mr. Cummins notes that Healthsouth often can provide services at lower cost than a hospital.
One can subscribe to the Wall Street Journal at www.wsj.com.
Best Regards,
The Thrifty Investor |
