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Because the buying groups know that when this is over, they can go back to buying cheap PPE from overseas.

For starters, this guy doesn't actually make the masks hospitals need. They need n95 masks; this company makes plain surgical masks.

Don't hospitals need both?

In general, sure, but since n95 masks protect against corona and plain surgical masks don't...

What incentive does a private hospital have to stockpile supplies for a pandemic?

Hospitals are the reason we have shortages. There is plenty of supply. Their layers of bureaucracy and refusal to pay prices commensurate with demand are the reasons we don't have enough PPE.

Almost all hospitals don't make profit. They don't have the $$ to sign contracts like that for everything they need.

They don't make corporate profit because they funnel the money to management salaries and adminstration companies.

Whether this is true or not doesn't change my point

And many operate as non-profits to shelter income.