Healthcare stocks rose 10% in the first quarter of 1995, according to WDI Capital Markets, a Hilton Head, S.C.-based investment banking and research firm that tracks 700 publicly held firms.
The increase in stock prices compares with a decline of 4.7% in the first quarter of 1994 for healthcare stocks, WDI reported.
In first quarter of 1995, the biggest provider gains were reported by home-care companies, whose stock prices rose 18.6%.
That activity was paced by Denver-based Coram Healthcare Corp. and Abbey Healthcare Group, both of which posted 58% increases in their stock prices during the quarter. Costa Mesa, Calif.-based Abbey recently agreed to merge with Homedco Group, Fountain Valley, Calif.
Also strong were managed-care companies, up 16.8%; hospital companies, up 10.7%; and outpatient firms, up 16.3%.
The only three segments that lost money for shareholders were diagnostics, imaging services and imaging devices.
By comparison, the Dow Jones industrial average rose 8.4% during the quarter.