SOURCE: StockCall

StockCall

October 06, 2010 09:45 ET

Opinions on Quest Diagnostics Inc. and Laboratory Corp. of America Holdings -- Med Tech Companies Still Adjusting to Healthcare Reform

JOHANNESBURG, SOUTH AFRICA--(Marketwire - October 6, 2010) - www.stockcall.com/ offers investors comprehensive research on the medical laboratories & research industry and has completed analytical research on Quest Diagnostics Inc. (NYSE: DGX) and Laboratory Corp. of America Holdings (NYSE: LH). Register with us today at www.stockcall.com/ to have free access to these researches. 

Medical technology companies are reacting to healthcare reform similarly the way banks are reacting to financial reform: slowly. The latest rounds of reactions to healthcare reform are quickly becoming negative though.

www.stockcall.com/ is an online platform where investors doing their due-diligence on the medical laboratories & research industry can have easy and free access to our analyst research and opinions on Quest Diagnostics Inc. and Laboratory Corp. of America Holdings; all investors need to do is register for a complimentary membership at https://stockcall.com/development/stockcall/page.php?name=register.html.

Many laboratory and research companies saw sales decrease this quarter. The two most common reasons appear to be reluctance on behalf of the patient to opt for out-of-pocket procedures and increased competition amongst rival companies. Register now at https://stockcall.com/development/stockcall/page.php?name=register.html to have free access to our reports on the medical laboratories & research industry.

Employers scaling back on health benefits have also exacerbated patient reluctance. Currently, employers are anticipating almost a 10% increase in medical cost next year and have already begun to scale back employee benefits. A recent survey reports that over 40% of companies plan to increase employee contributions next year. With employers less willing to cover certain procedures, medical technology companies are seeing a decreased number of new patients. Visit www.stockcall.com/ to see how companies in this industry have grown over the past years and how they are expected to perform in the future.

Fewer patients have also led to increased price competition amongst medical technology companies. To put it into perspective, companies are lowering prices to gain business but are narrowing profit margins.

Looking forward, laboratory and research companies such as Quest Diagnostics Inc. and Laboratory Corp. of America Holdings will likely need more time to adjust to new healthcare regulations, new patient attitudes towards elective procedures and the recovering economy in general. Investors looking for free research on Quest Diagnostics Inc. and Laboratory Corp. of America Holdings are welcome to sign up at www.stockcall.com/DGX061010.pdf or www.stockcall.com/LH061010.pdf.

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