Is There Hidden Value in Universal American?

I have followed Universal American (UAM) ever since it was Universal American Financial (UHCO) and I even managed to own shares in the company from 2004-2005 during the stock’s great run up in preparation for the company’s entrance into the realm of Medicare supported insurance products for the elderly. 

One of the key instigators in my decision to sell my stake was my belief that the businesses that it was getting into, namely the PFFS (private fee for service) segment of the Medical Advantage, while capable of producing dramatically higher top line growth rates would fail to achieve corresponding increases in the company’s net income.  For the most part, this assessment has proven to be correct and the stock has fallen dramatically from it’s all time high in the mid 20s.