BUZZ-J.P.Morgan sees brighter outlook for US healthcare services in 2026

J.P.Morgan expects the U.S. healthcare services sector to improve in 2026 due to better margins and clearer policy signals. Medicare Advantage plans may drive margin gains, while commercial insurance remains steady. Distributors like McKesson and Cencora are seen as defensive picks. Diagnostic labs have a healthy outlook despite PAMA reimbursement uncertainties. J.P.Morgan prefers companies with insulation to rate pressure and balance sheet flexibility. Gridlock is expected post-2026 midterms, limiting major legislative changes. Attractive opportunities include UnitedHealth, CVS Health, Alignment Healthcare, McKesson, Cencora, Labcorp, and Tenet Healthcare.