HCA Healthcare (HCA) expects to mitigate a significant portion of headwinds from changing US healthcare policies through its ongoing resiliency initiatives, RBC Capital Markets said in a Monday note.

The headwinds relate to new work requirements and changes to Medicaid supplemental state-directed payments under the One Big Beautiful Bill Act, which still awaits broader Senate approval, the investment firm said.

According to RBC, HCA Healthcare considers the House's version of the bill "far more favorable" than the Senate Finance Committee's from a Medicaid funding standpoint. While the company has not quantified the potential financial impact, RBC noted that the Senate version offers more favorable provisions for state-based exchanges.

The brokerage said it came away "incrementally more confident" in HCA's positioning ahead of potential policy changes, citing progress in the company's resiliency program.

The initiatives have mostly focused on labor, the company's largest cost, but HCA is also expanding artificial intelligence use cases to drive operational efficiency, including staffing optimization and supply chain management.

RBC raised its price target on HCA Healthcare to $404 from $376 while maintaining an outperform rating.

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