Latest news with #Centene
Yahoo
6 hours ago
- Business
- Yahoo
Why Centene (CNC) Stock Is Down Today
What Happened? Shares of health coverage company Centene (NYSE:CNC) fell 3% in the morning session after the company was downgraded by Cantor Fitzgerald, which also lowered its price target on the stock. The downgrade from Cantor Fitzgerald analyst Sarah James added to a period of negative sentiment surrounding the health insurer. The negative outlook stemmed from Centene's recent withdrawal of its 2025 financial guidance. The company pulled its forecast after an independent report revealed that its Affordable Care Act (ACA) marketplace plans had slower-than-expected membership growth and higher-than-anticipated morbidity, which is the rate of disease or illness. This resulted in a significant $1.8 billion downward revision in expected revenue. The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks. Is now the time to buy Centene? Access our full analysis report here, it's free. What Is The Market Telling Us Centene's shares are somewhat volatile and have had 13 moves greater than 5% over the last year. In that context, today's move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business. The previous big move we wrote about was 3 days ago when the stock gained 5.9% on the news that the company reported second-quarter results that missed earnings estimates, but the stock rallied as investors looked past the disappointment. Centene posted its first quarterly earnings miss in four years, swinging to an adjusted loss per share of $0.16, a stark contrast to the profit recorded in the same quarter last year. The company also set its 2025 earnings guidance significantly below analyst expectations, citing worse-than-expected cost trends in its Affordable Care Act (ACA) Marketplace business. Despite the profitability issues, total revenues for the quarter came in strong at $48.7 billion, handily beating expectations. While the stock initially dropped sharply in pre-market trading on the earnings miss, it reversed course and rallied during the company's earnings call. This turnaround suggested investors may have gained confidence from management's commentary and their stated plan to address the cost issues and restore profitability. Centene is down 54.4% since the beginning of the year, and at $27.59 per share, it is trading 65.6% below its 52-week high of $80.23 from September 2024. Investors who bought $1,000 worth of Centene's shares 5 years ago would now be looking at an investment worth $429.47. Today's young investors likely haven't read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
9 hours ago
- Business
- Yahoo
With a whopping 97%+ hit rate in 2025, here's what our AI is signaling next
– In a year when most investors are celebrating an 80% success rate as exceptional, one stock selection strategy is quietly delivering something far more impressive: a 97.22% hit rate in 2025. In July alone, several stocks flagged by our AI model—shared exclusively with InvestingPro members for under $9/month during the summer sale—have already posted big gains. And with the next ProPicks AI rebalance scheduled for August 1, now is the perfect time to understand how the model works—and why you don't want to miss what's coming. The broader market backdrop underscores that urgency. A breakthrough customs agreement between major global powers has lifted sentiment across global equities, with Jochen Stanzl of CMC Markets noting the deal clearly reflects Trump's 'America First' strategy. U.S. futures are signaling further upside after Friday's strong session, and several AI-flagged stocks are already taking the lead. Among the standouts as the week wrapped up: Centene (NYSE:CNC): +6.09% Everus Construction Group (NYSE:ECG): +6.57% Columbia Banking System (NASDAQ:COLB): +6.30 Everus Construction has been in since the rebalancing on July 1 and is up 17.1% since then. AI cited the following reasons for the promising new inclusion: Everus Construction Group (ECG) has demonstrated exceptional market performance, achieving a remarkable three-month share price return of 71% and an annual gain of 30%, significantly outperforming the broader market indices. Impressive quarterly revenue growth of 32% in Q1 2025, mainly driven by a 47% increase in the electrical and mechanical segment, reflects strong execution in the booming data center construction market. The 41% year-over-year backlog expansion to $3.1 billion provides excellent revenue visibility and supports the continued growth momentum. Stifel analysts recently raised their price target to USD 70 (from USD 55), emphasizing the company's strong positioning in high-growth infrastructure segments. The strategic capacity expansion through the acquisition of a new prefabrication facility demonstrates management's commitment to maintaining growth momentum in a highly competitive environment. Now, the ones cited above are not isolated cases, but the result of stock selection that consistently beats the market. Overall, the ProPicks for July are as follows:318 stocks are in profit with an average of 5.95% This results in a hit rate of 53.01% But the winners are not only in the majority, they also outperform the losers by 11.77% 48 stocks have made it over the 10% mark - total gain 846.58 20 strategies show a total gain of 61.20% However, it is not only July that delivers good results; the ProPicks can also consistently build on their previous successes each year. 35 strategies have already recorded a total profit of 595.99% in 2025 This results in a hit rate of 97.22 % 24 strategies show a profit of over 10% - an average of 22.36% 10 strategies have even leaped over 20%, with a total profit of 336.86% 28 strategies (77.78 %) beat their benchmark indices by an average of 7.93 % The 8 underperformers only lag behind their benchmark indices by -3.98% The top strategy records a gain of 47.56 % Another impressive aspect of the ProPicks strategies' success is their consistency. Except for one month, monthly gains have consistently exceeded losses. This reliability makes the strategies attractive not only to experienced investors but also to those looking for long-term, stable returns. Check out this chart below: A new era of investment? 2025 will be remembered as the year the 36 ProPicks strategies proved that AI-powered stock picking isn't just the future of investing—it's already the present. With higher returns, an extraordinary hit rate, and growing success across global markets, these strategies are coming remarkably close to what investors have long sought: the Holy Grail of consistent outperformance. For investors around the world, one message is clear—the future of returns lies in diversification and the power of artificial intelligence. AI recognizes in good time what will rise later The ProPicks AI was built with one mission: to identify opportunities early—stocks with strong fundamentals that the broader market hasn't yet caught onto. Rather than reacting to hype or headlines, the model analyzes complex financial data—objectively, neutrally, and updated daily—so you can see potential outperformers before they become expensive. And the results speak for themselves: ProPicks strategies consistently beat the market. In the end, that's what really matters. . If you're already a Pro member, your updated July picks can be found here. How does ProPicks work? ProPicks AI uses a fundamental valuation model based on over two decades of market data. It compares thousands of stocks worldwide using over 50 metrics - from valuation and profitability to liquidity, growth, quality, and momentum. Through this analysis, ProPicks regularly discovers stocks that analysts and investors often (still) overlook. The result: less risk, better hit rate, no panic buying. ProPicks already delivered big in July, and the August rebalancing is right around the corner. . Related articles With a whopping 97%+ hit rate in 2025, here's what our AI is signaling next Nike shares rise after JPM upgrade on improving retail demand, margin outlook Nvidia's H20 stockpile won't meet accelerating China demand: Jefferies
Yahoo
9 hours ago
- Business
- Yahoo
With a whopping 97%+ hit rate in 2025, here's what our AI is signaling next
– In a year when most investors are celebrating an 80% success rate as exceptional, one stock selection strategy is quietly delivering something far more impressive: a 97.22% hit rate in 2025. In July alone, several stocks flagged by our AI model—shared exclusively with InvestingPro members for under $9/month during the summer sale—have already posted big gains. And with the next ProPicks AI rebalance scheduled for August 1, now is the perfect time to understand how the model works—and why you don't want to miss what's coming. The broader market backdrop underscores that urgency. A breakthrough customs agreement between major global powers has lifted sentiment across global equities, with Jochen Stanzl of CMC Markets noting the deal clearly reflects Trump's 'America First' strategy. U.S. futures are signaling further upside after Friday's strong session, and several AI-flagged stocks are already taking the lead. Among the standouts as the week wrapped up: Centene (NYSE:CNC): +6.09% Everus Construction Group (NYSE:ECG): +6.57% Columbia Banking System (NASDAQ:COLB): +6.30 Everus Construction has been in since the rebalancing on July 1 and is up 17.1% since then. AI cited the following reasons for the promising new inclusion: Everus Construction Group (ECG) has demonstrated exceptional market performance, achieving a remarkable three-month share price return of 71% and an annual gain of 30%, significantly outperforming the broader market indices. Impressive quarterly revenue growth of 32% in Q1 2025, mainly driven by a 47% increase in the electrical and mechanical segment, reflects strong execution in the booming data center construction market. The 41% year-over-year backlog expansion to $3.1 billion provides excellent revenue visibility and supports the continued growth momentum. Stifel analysts recently raised their price target to USD 70 (from USD 55), emphasizing the company's strong positioning in high-growth infrastructure segments. The strategic capacity expansion through the acquisition of a new prefabrication facility demonstrates management's commitment to maintaining growth momentum in a highly competitive environment. Now, the ones cited above are not isolated cases, but the result of stock selection that consistently beats the market. Overall, the ProPicks for July are as follows:318 stocks are in profit with an average of 5.95% This results in a hit rate of 53.01% But the winners are not only in the majority, they also outperform the losers by 11.77% 48 stocks have made it over the 10% mark - total gain 846.58 20 strategies show a total gain of 61.20% However, it is not only July that delivers good results; the ProPicks can also consistently build on their previous successes each year. 35 strategies have already recorded a total profit of 595.99% in 2025 This results in a hit rate of 97.22 % 24 strategies show a profit of over 10% - an average of 22.36% 10 strategies have even leaped over 20%, with a total profit of 336.86% 28 strategies (77.78 %) beat their benchmark indices by an average of 7.93 % The 8 underperformers only lag behind their benchmark indices by -3.98% The top strategy records a gain of 47.56 % Another impressive aspect of the ProPicks strategies' success is their consistency. Except for one month, monthly gains have consistently exceeded losses. This reliability makes the strategies attractive not only to experienced investors but also to those looking for long-term, stable returns. Check out this chart below: A new era of investment? 2025 will be remembered as the year the 36 ProPicks strategies proved that AI-powered stock picking isn't just the future of investing—it's already the present. With higher returns, an extraordinary hit rate, and growing success across global markets, these strategies are coming remarkably close to what investors have long sought: the Holy Grail of consistent outperformance. For investors around the world, one message is clear—the future of returns lies in diversification and the power of artificial intelligence. AI recognizes in good time what will rise later The ProPicks AI was built with one mission: to identify opportunities early—stocks with strong fundamentals that the broader market hasn't yet caught onto. Rather than reacting to hype or headlines, the model analyzes complex financial data—objectively, neutrally, and updated daily—so you can see potential outperformers before they become expensive. And the results speak for themselves: ProPicks strategies consistently beat the market. In the end, that's what really matters. . If you're already a Pro member, your updated July picks can be found here. How does ProPicks work? ProPicks AI uses a fundamental valuation model based on over two decades of market data. It compares thousands of stocks worldwide using over 50 metrics - from valuation and profitability to liquidity, growth, quality, and momentum. Through this analysis, ProPicks regularly discovers stocks that analysts and investors often (still) overlook. The result: less risk, better hit rate, no panic buying. ProPicks already delivered big in July, and the August rebalancing is right around the corner. . Related articles With a whopping 97%+ hit rate in 2025, here's what our AI is signaling next Nike shares rise after JPM upgrade on improving retail demand, margin outlook Nvidia's H20 stockpile won't meet accelerating China demand: Jefferies Sign in to access your portfolio
Forbes
10 hours ago
- Business
- Forbes
Time To Buy Centene Stock?
CANADA - 2025/04/06: In this photo illustration, the Centene Corporation logo is seen displayed on a ... More smartphone screen. (Photo Illustration by Thomas Fuller/SOPA Images/LightRocket via Getty Images) Centene (NYSE:CNC) recently reported a surprise loss of $0.16 per share for Q2, significantly missing analyst expectations of $0.23 per share. This downturn is primarily attributed to a continued increase in medical costs for government-backed insurance plans, evidenced by a 540 basis point year-over-year surge in its health benefit ratio to 93% in Q2. Despite these disappointing results, CNC stock rose 6% on Friday, July 25. This positive market reaction followed management's optimistic forecast for a much-improved performance in 2026. Even with Friday's gain, CNC stock remains down over 50% year-to-date, largely due to ongoing concerns about rising medical costs. While Centene certainly appears to be a risky investment given its recent performance, we believe it presents a compelling buying opportunity at its current price of around $28, primarily due to its very low valuation. Our conclusion is based on a comprehensive analysis comparing CNC's current valuation with its operational performance in recent years and its historical and current financial health. Our assessment of Centene across key parameters—Growth, Profitability, Financial Stability, and Downturn Resilience—indicates a moderate overall operating performance and financial condition. However, for investors who seek lower volatility than individual stocks, the Trefis High Quality portfolio presents an alternative - having outperformed the S&P 500 and generated returns exceeding 91% since its inception. How Does Centene's Valuation Look vs. The S&P 500? Going by what you pay per dollar of sales or profit, CNC stock looks cheap compared to the broader market. How Have Centene's Revenues Grown Over Recent Years? Centene's Revenues have seen notable growth over recent years. How Profitable Is Centene? Centene's profit margins are considerably worse than most companies in the Trefis coverage universe. Does Centene Look Financially Stable? Centene's balance sheet looks weak. How Resilient Is CNC Stock During A Downturn? CNC stock has seen an impact that was slightly better than the benchmark S&P 500 index during some of the recent downturns. Worried about the impact of a market crash on CNC stock? Our dashboard – CNC Fell 50% In A Month. Past Crashes Went Deeper – has a detailed analysis of how the stock performed during and after previous market crashes. Putting All The Pieces Together: What It Means For CNC Stock In summary, Centene's performance across the parameters detailed above are as follows: While Centene has demonstrated a moderate performance across our key analytical parameters, its current valuation of 0.1x revenues is particularly attractive. We could be wrong in our assessment and investors might continue to assign a low valuation multiple to Centene due to ongoing concerns about rising medical costs. However, for investors with a 3-5 year investment horizon, we believe CNC stock offers a compelling entry point. Furthermore, the average analyst price target of $44 suggests a significant upside of over 55% from its current levels. While CNC stock looks promising, investing in a single stock can be risky. On the other hand, the Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming the S&P 500 over the last 4-year period. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.
Mint
12 hours ago
- Business
- Mint
Centene Slashes 2025 Guidance and Posts Surprise Loss
(Bloomberg) -- Centene Corp. cut its annual guidance and reported a surprise quarterly loss Friday, yet another disappointment for the embattled health insurer that's been grappling with problems in its Affordable Care Act business. The company now expects adjusted earnings of $1.75 a share in 2025, far less than the more than $7.25 a share it projected earlier in the year. The figure could fall even further, to $1.25 a share, depending on the progress Centene makes in its Medicaid business. Centene had pulled its 2025 guidance earlier this month, citing precipitously rising risks in the ACA business. Since then, the company's struggles seem to have heightened. At the time it said insurance market trends that veered from its assumptions threatened $1.8 billion in revenue, while Friday it increased that figure to $2.4 billion based on more data. Shares dropped as much as 16% before markets opened in New York Friday though later pared losses. They had fallen 56% since the start of the year through Thursday's close. The insurer chalked up the second-quarter loss to a miscalculation in its Affordable Care Act, or ACA, business — the same reason it pulled its outlook earlier this year. Insurers receive compensation for taking on sicker patients in that program and Centene said it would receive less of that money than previously expected. For the second quarter, Centene announced an adjusted loss per share of 16 cents. Wall Street analysts expected a profit of 55 cents per share. 'We are disappointed by our second-quarter results, but we have a clear understanding of the trends that have impacted our performance, and are working with urgency and focus to restore our earnings trajectory,' Sarah London, chief executive officer of Centene, said in the company's earnings statement. In the second quarter, Centene spent 93% of premium revenues of medical costs, higher than the average analyst expectation of 91.6%. Investors prefer a lower number. The insurer said its health benefits ratio, the percentage of premium revenues spent on medical costs, rose from last year, largely because of the ACA revenue issue. Centene said it also saw higher medical costs in ACA plans, as well as increased costs in Medicaid, which mostly came from behavioral health, home health, and expensive drugs. Because of various government programs that are likely to reduce health care coverage, patients may be seeking more medical care now while they still can, boosting medical spending, the company said in a regulatory filing Friday. --With assistance from John Tozzi. (Updates with guidance starting in first paragraph.) More stories like this are available on
