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Trump's Flat Rate Medicare Advantage Proposal Is 'Shock To The System,' Risking 20% Earnings Hit, Delaying Healthcare Turnaround
Yahoo Finance· 2026-01-29 23:31
Healthcare stocks have been in focus after the Donald Trump administration proposed a near-zero increase in Medicare Advantage payments, catching Wall Street off guard and wiping approximately $90 billion in market value from the sector. A ‘Shock To The System’ The Centers for Medicare and Medicaid Services (CMS) proposed a net average payment increase of just 0.09% for 2027—a figure analysts described as “basically nothing” compared to the 4% to 6% hike investors had anticipated. “This is just a shock t ...