NIB Holdings Limited's shares up 12% and looking very healthy

Shares have risen 31% over the last 12 months and look set to continue well into the future!

a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Shares in private health insurance group NIB Holdings Limited (ASX: NHF) have risen 7c or 2.4% to trade at $3.05, after hitting an intraday high of $3.09.

NIB Holdings continues to reach for new highs following the recommendations made by the Abbott government's National Commission of Audit (COA) recently.

The COA was established to review the performance and the roles of the Commonwealth government. One of the recommendations that was made for the Government to significantly save on costs was to exclude high income earners from Medicare (it would target individuals earnings more than $88,000 a year and families earnings in excess of $176,000 a year).

NIB Holdings and its shareholders would certainly benefit should the Government decide to act on the recommendation. More and more Australians would be forced to take out private health insurance which would see demand for NIB Holdings' products soar. It would also benefit other companies such as Ramsay Health Care Limited (ASX: RHC), which is Australia's largest private hospital operator.

Shares in NIB Holdings Limited have risen 12% in the last nine trading days and 31% over the last 12 months and look set to continue well into the future. In comparison, the S&P/ASX 200 Index (Index: ^AXJO) (ASX: XJO) has jumped just 4.5% over the last year.

Motley Fool contributor Ryan Newman owns shares in NIB Holdings Limited.

More on ⏸️ Investing

Close up of baby looking puzzled
Retail Shares

What has happened to the Baby Bunting (ASX:BBN) share price this year?

It's been a volatile year so far for the Aussie nursery retailer. We take a closer look

Read more »

woman holds sign saying 'we need change' at climate change protest
ETFs

3 ASX ETFs that invest in companies fighting climate change

If you want to shift some of your investments into more ethical companies, exchange-traded funds can offer a good option

Read more »

a jewellery store attendant stands at a cabinet displaying opulent necklaces and earrings featuring diamonds and precious stones.
⏸️ Investing

The Michael Hill (ASX: MHJ) share price poised for growth

Investors will be keeping an eye on the Michael Hill International Limited (ASX: MHJ) share price today. The keen interest…

Read more »

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward
⏸️ Investing

The Atomos (ASX:AMS) share price is up 15% in a week

The Atomos (ASX: AMS) share price has surged 15% this week. Let's look at what's ahead as the company build…

Read more »

Two people in suits arm wrestle on a black and white chess board.
Retail Shares

How does the Temple & Webster (ASX:TPW) share price stack up against Nick Scali (ASX:NCK)?

How does the Temple & Webster (ASX: TPW) share price stack up against rival furniture retailer Nick Scali Limited (ASX:…

Read more »

A medical researcher works on a bichip, indicating share price movement in ASX tech companies
Healthcare Shares

The Aroa (ASX:ARX) share price has surged 60% since its IPO

The Aroa (ASX:ARX) share price has surged 60% since the Polynovo (ASX: PNV) competitor listed on the ASX in July.…

Read more »

asx investor daydreaming about US shares
⏸️ How to Invest

How to buy US shares from Australia right now

If you have been wondering how to buy US shares from Australia to gain exposure from the highly topical market,…

Read more »

⏸️ Investing

Why Fox (NASDAQ:FOX) might hurt News Corp (ASX:NWS) shareholders

News Corporation (ASX: NWS) might be facing some existential threats from its American cousins over the riots on 6 January

Read more »