Recently, leading health-care company,
) joined hands with the global pharmaceutical company,
Eli Lilly and Company
) to form a research collaboration that will provide cost
effective and improved healthcare outcomes.
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HUMANA INC NEW (HUM): Free Stock Analysis
LILLY ELI & CO (LLY): Free Stock Analysis
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Kentucky based Humana provides a wide range of insurance
products, and health and wellness services. On the other hand,
Eli Lilly utilizes modern research to address the world's medical
exigencies. The partnership will utilize these areas of expertise
of both the companies to optimize the quality of patient care by
researching on various diseases. Humana and Eli Lilly will
conduct a number of studies. The initial phase of the studies
will include investigation of patient characteristics associated
with rising health care costs for type2 diabetic patients.
Recently, healthcare costs have increased tremendously. Since
1980, U.S. health expenditures have increased more than ten times
and are expected to grow faster than national income in the
foreseeable future, as per sources. However, the quality of
healthcare has not shown as much improvement as compared to the
escalating costs. Thus both the companies, each being esteemed
players in their respective markets, decided to form an alliance
to address this issue and come up with a solution.
As per sources, more than one sixth of the country's expenditures
are devoted to healthcare spending. But a huge part of it is
spent every year over inefficient and wasteful health care. Many
healthcare companies at present are struggling to provide
improved patient care at affordable rates. But we believe the
strategic alliance with Eli Lilly will position Humana to take an
upper hand in this regard and cater to the growing healthcare
Humana currently carries a Zacks Rank #3 (Hold). Among other
health service companies,
) carry a Zacks Rank #2 (Buy) and appear impressive.