Although investors' reaction thus far has been to sell the public managed care stocks -- WellPoint ( WLP), United Healthcare ( UNH), Aetna ( AET), and Cigna ( CI) -- I think that's a mistake and more reflective of short-term sentiment, which had favored repeal of the mandate, than longer-term fundamentals. If I had to pick, I would buy Cigna right here. The company has very little ACA exposure, a good management team, and a solid business. Most of the others should recover over time as well. A word of caution: The court partially invalidated the ACA's Medicaid expansion, which could be a point of confusion for managed care companies focused on Medicaid, such as Centene ( CNC) ( United Healthcare ( UNH) also has a significant Medicaid business). Essentially, the Court ruled that Congress could not threaten penalties (read: take away funding) if a state failed to comply with the Medicaid expansion. This might create uncertainty about what states will do, given obviously strained budgets. On the other hand, these companies will still get more patients. I'm not really sure how to think about this, so I'm going to stay away from the Medicaid stocks for now.