Leading healthcare information technology solutions provider,
) recently reported that Children's Mercy Hospitals and Clinics
will open an on-site health and wellness center for over 6,000
staff and their spouses later this year. The Children's Mercy
Employee Wellness Center will provide urgent and primary health
care besides pharmacy and laboratory services. Cerner, which at
present runs over 30 such on-site health centers, will manage the
operations of the center.
The wellness and health center will function as a medical home
for users. For example, there will not be any waiting rooms.
Staff will have online access for matters such as scheduling an
appointment or accessing health data. Finally, the center will
adopt a whole health approach, which means that the doctors will
keep in mind the overall wellness of each employee.
Kansas City, Mo.-based Children's Mercy Hospitals and Clinics
is a front runner in providing health care to employees. The
organization is one of the finest pediatric medical facilities in
the country. It has 600 pediatricians involved in research,
clinical care and education of upcoming pediatric
Cerner remains the trend setter among pure-play, publicly
traded healthcare information technology vendors. CERN is
diversified not only on a global basis but serves both hospitals
and ambulatory outfits. Its integrated solutions have captured
market share. While fresh opportunities are shrinking, the
replacement market is growing.
We believe that long-term investors may consider Cerner, which
serves a sizeable installed inpatient base that requires
composite clinically oriented applications complying with
"meaningful use" requirements, reimbursement problems and
complicated coding issues. Cerner has long-standing, integrated
and seamless solutions for both inpatient and ambulatory
On the negative side, the federal Stimulus program is
gradually winding down. Cerner faces stiff competition from
established HCIT players, such as
Cerner offerings are used by about 10,000 health care entities
worldwide. Its services are utilized by over 45,000 doctors,
2,700 hospitals and 4,150 physician practices.
We currently have a Zacks Rank #3 (Hold) on Cerner. However,
we are more positive about other stocks such as
Merge Healthcare Incorporated
) both of which carry a Zacks Rank #2 (Buy) and are expected to
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