HMO companies

**tuabie** Sun Oct 02, 2005 1:31 am

HMO companies
Hi Blast,

What's your view on the health care management companies? The industry seems to be growing very well and the future seems very bright -- with baby boomers aging. The companies also have very reasonable PE -- mostly in the mid-teens. AET, WLP, UNH etc, they all look very attractive to me. What's your take on them? Is there a place for them in BIRTP?

Thanks.

**blast_investor** Mon Oct 03, 2005 12:47 am

Hi tuabie,

The HMO stocks are not related to BIRTP newsletter so that I put your qustion here.

I would agree with you that these stock valuations are not terribly expensive, they are pretty decent.

However, insurance business model is pretty complicated and I have not been fan of financial stocks for a while. If you fully understand their business model and have done your homework, yes they might be attrative for your consideration.