Units of CVS Health Corp., Cigna Group and UnitedHealth Group Inc. charged significantly more than the national average acquisition cost for dozens of specialty generic drugs, bringing in more than $7.

Three major drug middlemen needlessly marked up generic drugs for cancer, HIV, and multiple sclerosis to generate $7.3 billion in revenue, The Federal Trade Commission (FTC) said in a report released today.

Cigna (NYSE:CI) Group, and UnitedHealth Group Inc (NYSE:UNH) were down around 1% after the Federal Trade Commission (FTC) accused their pharmacy benefit manager units of imposing significant price markups on specialty generic drugs,

The U.S. Federal Trade Commission (FTC) has slammed pharmacy benefit managers (PBMs) owned by UnitedHealth ($UNH), CVS Health ($CVS) and Cigna

FTC report reveals significant markups by top PBMs on specialty drugs, driving $7.3 billion in revenue and raising costs for patients and health plan sponsors.

CVS faces strong competition from Amazon, Walmart, and Costco, impacting market share. Read why I maintain a Hold rating for CVS stock.

For the second time in less than a year, the FTC has released a highly critical report of pharmacy benefit managers, or PBMs.

The health-care sector has been rebounding recently following a sharp selloff in recent weeks amid hopes that controversy would die down. The health-care industry group was among the leading S&P 500 sectors for equity in-flows last week, according to a client survey from analysts at brokerage Bank of America Securities.