HCP Live February 25, 2025
Key Takeaways
- Shareholder payouts in healthcare companies increased 315% from 2001 to 2022, reaching $170.2 billion.
- A small number of companies accounted for 80.4% of these payouts, raising concerns about resource allocation.
- On average, healthcare companies on the S&P 500 allocated 95% of net income to shareholder payouts.
- The study questions the impact of increased payouts on healthcare access, delivery, and research investment.
Researchers from Yale looked at where money that flows through the healthcare system, and to for-profit companies goes.
Shareholder payouts among large, publicly traded health care companies increased more than threefold between 2001 and 2022, according to a new research letter published in JAMA Internal Medicine.
“Shareholder payouts have critical implications for shareholders, especially patients,”...