Furthermore, UnitedHealth earnings next year is still projected to grow in the 13% to 16% range if the ACA tax on health plans is not reinstated.
Meanwhile, Johnson & Johnson, one of the largest health products companies by revenue, gained after raising sales guidance. Many were concerned that the recent hurricanes would disrupt the manufacturer’s factories on Puerto Rico, but the sites have held up and the J&J’s CFO does not believe there will be “any material impact to our future results.”
The Health Care Select Sector SPDR Fund tries to reflect the performance of the health care sector of the S&P 500 Index, including a 11.6% position in JNJ and 6.0% in UNH.
For more information on the healthcare sector, visit our healthcare category.