Author expects CMS to raise the Medicare Advantage final rate after lobbying and is buying the dip via IHF shares and calls.
IHF — LONG Author argues Medicare Advantage proposed 2027 reimbursement increase of 0.09% is far below expected 6% and will be revised upward after industry lobbying before April 6. The selloff in health insurers is seen as a buying opportunity because the author expects Trump to back down, similar to the 10% credit card cap proposal. Margins are squeezed but the author's actuary contact doubts the reported negative margins and sees MA as a growth driver.
CMS will publish the final rate on April 6. That leaves plenty of time for the industry to lobby for a more appropriate rate increase.
This Reddit post, published January 27, 2026, features u/BleuBrink discussing IHF. 1 trade idea extracted by AI with direction and confidence scoring.
Speakers: u/BleuBrink · Tickers: IHF