Top 10 Health Insurance Stocks To Buy

In this article, we will discuss the top 10 health insurance policies to buy. If you want to know more about health insurance promotions, jump straight to the top 5 health insurance deals you can buy.

The health insurance industry has grown rapidly in recent years as insurer participation, pricing and expanded plans drive innovation in the sector. According to a report by consulting firm McKinsey , 55 new insurers will enter the market in 2022, up 21% from last year and the largest increase in industry participation since 2015, when it grew by about 26%. Product offerings have also nearly tripled over the past four years, with half of that growth occurring between 2021 and 2022.

According to data compiled by consulting firms led by companies such as Oscar and BrightHealth, technology-enabled insurance plans contributed the most to these growth numbers. Other prominent names in the insurance sector with growth catalysts include Humana Inc. (NYSE: HUM ), Cigna Corporation (NYSE: CI ) and MetLife, Inc. (NYSE: MET ). Another interesting trend in this sector is the participation in contracts with exclusive suppliers. They quadrupled to 36% as part of the offer for all types of plants.

Global overall healthcare spending is expected to continue its upward trend over the next five years. This growth is closely related to the operating income of the health insurance world. McKinsey warned, however, that macroeconomic uncertainty will continue in part because increased premium subsidies under the US rescue plan expire at the end of 2022.

Our method

The list includes companies that work in the field of health insurance. Business fundamentals and analyst stock valuations are also discussed, to provide readers with context for their investment choices. Data from 900 elite hedge funds tracked by InsiderMonkey through the second quarter of 2022 was used to determine the number of hedge funds holding shares in each company.

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10. Manulife Financial Corporation (NYSE: MFC )

Number of Hedge Fund Holders: 15

Manulife Financial Corporation (NYSE: MFC ) provides financial products and services internationally. It is one of the best insurance companies to invest in. On October 12, Barclays analyst John Aiken downgraded Manulife Financial (NYSE: MFC ) stock from C$30 to C$29, highlighting the equity's continued decline. Impairment in asset operations driven by lower asset levels and early losses are likely to dampen earnings growth in the quarter. 

At the end of 2022Q2, 15 hedge funds in the InsiderMonkey database held $155 million in Manulife Financial Corporation (NYSE:MFC), down from $517.5 million last quarter with $19.

Humana Inc. (NYSE: HUM ), Cigna Corporation (NYSE: CI ) and MetLife, Inc. (NYSE: MET ), Manulife Financial Corporation (NYSE: MFC ) is one of the best insurance companies to buy based on coverage. funds

In its second quarter 2022 investor letter , asset management firm Harding Lonvar highlighted several stocks, and Manulife Financial Corporation (NYSE: MFC ) is one of them. Here's what the foundation said :

Manulife Financial Corporation (NYSE: MFC), a Canadian insurance company with operations primarily in North America and Asia, has become a new shareholder. Manulife offers a full range of life insurance products as well as pension and wealth management services. While the products appeal to the aging population of the Western world, term life insurance products increasingly meet the needs of middle-class families in countries such as China and Southeast Asia. A big discount compared to their long-term valuation. The partnership serves as a welcome diversifier for our Asia-focused insurance companies, AIA and Ping An.”

9. Clover Health Investments, Corporation. (NASDAQ: CLOV )

Number of Hedge Fund Holders: 11 

Clover Health Investments Corporation (NASDAQ: CLOV) operates as a Medicare Advantage insurer in the United States. It is one of the best insurance companies to invest in. On July 14, Clover Health Investments said it will offer Medicare Advantage plans in 13 new counties in South Carolina, Tennessee and Georgia. Eligible individuals can enroll in Clover plans during the annual Medicare Advantage enrollment period from October 15 to December 7, the company said.

Citi analyst Jason Cazorla said on August 9 that Clover Health Investments, Corp. (NASDAQ: CLOV ) maintained the stock rating at Neutral and raised its target price to $3.50 from $3, highlighting the company's second quarter earnings.

Among hedge funds monitored by InsiderMonkey, New York-based investment firm Two Sigma Advisers is the largest shareholder in Clover Health Investments Corp. (NASDAQ: CLOV) with 2.88 million shares worth more than $6.2 million.

8. American Equity Investment Life Holding Company (NYSE: AEL )

Number of Hedge Fund Holders: 14

American Equity Investment Life Holding Company (NYSE: AEL ) provides insurance products in the United States. It is one of the best insurance companies to invest in. On January 7, Brookfield Asset Management Reinsurance said it bought an additional 6,755,000 common shares of American Equity Investment Life Holding Company, bringing its total stake in AEL to about 16%.

On October 7, Piper Sandler analyst John Barneys maintained an overweight position on shares of American Equity Investment Life Holding Company (NYSE: AL ) and raised his price target to $47 from $46.

At the end of the second quarter of 2022, 14 hedge funds in the InsiderMonkey database owned $103 million in shares of American Equity Investment Life Holding Company (NYSE:AEL), compared with 17 funds with $155.7 million a year earlier.

In its second quarter 2022 investor letter , asset management company First Pacific Adviser highlighted several stocks, one of which was American Equity Investment Life Holding Company (NYSE: AEL ). Here's what the foundation said :

American Equity Investment Life Holding Company (NYSE:AEL), the annual fixed index leader, continues its transition to the American Equity Investment (AEL) 2.0 business model. The main objective of the plan is to diversify the company's assets through a wide range of investments including private debt through strategic partnerships and to expand the use of reinsurance for capital release. We think this is an interesting but somewhat aggressive plan. The results so far have been impressive, but we continue to monitor the creditworthiness of their assets as they aim to invest 40% of their portfolio in private assets, compared to 15.4%”.

7. Teladoc Health, Inc. (NYSE: TDOK )

Number of Hedge Fund Holders: 32

Teladoc Health, Inc. (NYSE: TDOC) provides virtual medical services in the United States and abroad. It is one of the elite investment insurances. On September 26, Teladoc Health said it was offering free 24-hour medical visits to Florida residents. Those in Florida unable to receive medical care due to Hurricane Ian can now receive non-emergency treatment from a licensed health care professional by calling TelaDoc directly.

On October 11, Barclays analyst Steve Valiquette said that Teladoc Health, Inc. (NYSE: TDOC ) kept its rating at equal weight on the company's stock and lowered its price target from $40 to $33, citing the company's third-quarter earnings outlook was positive.

At the end of the second quarter of 2022, Teladoc Health, Inc. had $1.2 billion in assets held by 32 hedge funds in the InsiderMonkey database. (NYSE: TDOC), to $1.97 billion from 36 in the previous quarter

Riverpark Funds, an asset management company, bought some shares of Teladoc Health, Inc in its Q1 2022 investor letter. (NYSE: TDOC ) is one of them. Here's what the foundation said :

"Teladoc Health, Inc. (NYSE: TDOC) is the largest telemedicine provider in the United States and recently began expanding internationally. The TDOC platform addresses a growing list of patient-physician interactions, including mental health and chronic disease primary care. Disease management, fully video-based interactivity Able to convert from an on-site visit to a remote visit through TDOC provides its service platform through business-to-business relationships and directly with customers on a monthly subscription basis. For its core business customers, the company contracts with a wide range of organizations, including large Employers (the company currently has contracts with more than 50% of Fortune 500 companies), health insurance plans, health care systems and health insurance companies...which now have more than 50 million members. For these customers, the company offers a win-win situation as Patients save travel time and spend less time waiting, doctors say Sees more patients more efficiently in less time and saves payers (employers and plan sponsors) money by providing recognized value-added services. . Employee Benefits This B-to-B market is estimated to have a +100 billion dollar market potential and TDOC is the clear leader in the global market. For its direct-to-consumer customers, the company offers a growing range of services that enable people to access on-demand, low-cost and select health services not covered by their current insurance (such as advanced mental health counseling). … read more )

6. Molina Healthcare, Inc. (NYSE: Health Division )

Number of Hedge Fund Holders: 34 

Molina Healthcare, Inc. (NYSE: MOH) provides managed care services to low-income families and individuals through Medicaid and Medicare and the public insurance marketplace. It is one of the best insurance stocks to invest in. On September 26, the Nebraska Department of Health and Human Services selected Molina Healthcare, UnitedHealth Group and Centene Corporation to manage the state's Medicaid program, known as Heritage Health. This is a 5-year contract with two options for a one-year extension.

On October 3, JPMorgan analyst Calvin Sternick said Molina Healthcare, Inc. (NYSE: MOH ) initiated coverage for an overweight stock with a target price of $360, noting that the company's focus on low-income demographics and cost management will help it maintain industry leadership. Margin profile.

At the end of 2022Q2, 34 hedge funds held Molina Healthcare, Inc. in the InsiderMonkey database. had wealth. Valued at $1.4 trillion. (NYSE: MOH ) compared to $1.7 billion in the prior quarter of '36.

Humana Inc. (NYSE: HUM ), Cigna Corporation (NYSE: CI ) and MetLife, Inc. (NYSE:MET) alongside Molina Healthcare, Inc. (NYSE: MOH ) is one of the best insurance stocks to buy. Hedge funds.

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