Jan 30, 2018

Health care stocks freak out over new Amazon company

Health care stocks tanked Tuesday morning. Photo: Spencer Platt / Getty Images

Stock prices of many of the largest health care companies fell heavily this morning on the news that Amazon, JPMorgan Chase and Berkshire Hathaway would team up to create a company that would "address health care for their U.S. employees."

The big picture: Just mentioning "Amazon" and "health care" in the same sentence is enough to throw the health care watchers on Wall Street into a tailspin.

Losers, as of market close on Tuesday:

  • Cigna (down 7.2%)
  • Anthem (down 5.3%)
  • AbbVie (down 5.2%)
  • Walgreens (down 5.2%)
  • UnitedHealth Group (down 4.4%)
  • CVS Health (down 4.2%)
  • Express Scripts (down 3.2%)
  • Humana (down 3.1%)
  • McKesson (down 2.6%)
  • AmerisourceBergen (down 2.5%)
  • Cardinal Health (down 1.8%)

Reality check: There are still almost no details about what Amazon, JPMorgan and Berkshire will do, other than it will be focused on their own employees and involve technology.

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The latest: Crowds gathered in Portsmouth, New Hampshire on Thursday evening and in Atlanta, Georgia, despite the rain. Atlanta Mayor Keisha Lance Bottoms joined demonstrators on Thursday. Demonstrators in Washington, D.C. dispersed following a thunderstorm and rain warning for the region.

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