Analyst Ann Hynes of Mizuho Securities maintained a Hold rating on Centene (CNC – Research Report), with a price target of $76.00.
Ann Hynes has given her Hold rating due to a combination of factors within Centene’s recent performance and market dynamics. The company’s Q4:23 earnings slightly exceeded consensus estimates, showcasing resilience in their Marketplace growth which surpassed initial expectations. Despite challenges faced by peers, CNC did not see the same high levels of inpatient utilization, indicating some operational efficiencies or potential cost controls in place.
Moreover, Centene has retained its adjusted EPS guidance for 2024 while increasing its revenue outlook, thanks to stronger-than-anticipated growth in the Marketplace during the Annual Enrollment Period (AEP). However, the Medicare Advantage Advance notice rate might not be sufficient to cover cost trends, and the company is assuming an elevated level of outpatient cost trends, highlighting areas of concern to watch in the upcoming period. Overall, the combination of these factors contributes to a cautious but stable outlook, justifying the Hold rating on CNC’s stock.
In another report released today, Deutsche Bank also maintained a Hold rating on the stock with a $81.00 price target.
See today’s best-performing stocks on TipRanks >>
TipRanks tracks over 100,000 company insiders, identifying the select few who excel in timing their transactions. By upgrading to TipRanks Premium, you will gain access to this exclusive data and discover crucial insights to guide your investment decisions. Begin your TipRanks Premium journey today.
Centene (CNC) Company Description:
Centene Corporation is a diversified healthcare company that primarily engages in providing programs and services to the government sponsored healthcare programs. The company is also engaged in providing education and outreach programs to assist members in accessing quality and appropriate healthcare services.
Read More on CNC:
