Leading well-being enhancement company Healthways (HWAY - Analyst Report) and Carondelet Health Network recently revealed an agreement to study possibilities in population health management in the Tucson region of Arizona. Both organizations recognize the need for health care systems to come up with new abilities to enhance the condition of members in a community.
Carondelet is the biggest Catholic health system operating in Arizona. It is a component of Ascension Health set up by the Sisters of St. Joseph of Carondelet in 1880.
The Healthways model encourages people to make favorable lifestyle changes that lead to enhanced well-being, reduced healthcare costs, improved performance and economic value for customers. The company has invested in technology platforms that provide scalable support for large populations. It has tie-ups with a large proportion of U.S. health plans and counts many millions of lives in its customer base.
Due to its unique scalable business model, Healthways shares may present a long-term investment opportunity, although it faces many challenges in the short term.
Healthways is the leader in a strategically critical and rapidly evolving part of the health care services market. Its fitness program (SilverSneakers) for seniors is available at over 15,000 centers across the U.S. and caters to over nine million eligible enrollees.
The SilverSneakers Fitness Program encourages older people to regularly exercise, thereby reducing healthcare expenses and enhancing well being. The program promotes positive changes in behavior by meshing social encounters with its fitness regimen. Healthways competes with Express Scripts Holding Company (ESRX - Analyst Report) among others.
Currently, Healthways retains a Zacks Rank #3 (Hold). Air Methods Corp. (AIRM - Snapshot Report) and Covance Inc. (CVD - Analyst Report) carry a Zacks Rank #2 (Buy) and are expected to do well.