Margin Pressures | Discover how Medicare Advantage break-even efforts face PDP-related headwinds creating negative $0.74 earnings impact, while favorable underwriting cycles through 2028 could drive upside |
Analyst Valuations | Price targets range from $41 to potential $120 valuations, with fiscal 2026 EPS estimates at $3.45-$3.50 and Medical Loss Ratio projections at 91.6 percent |
Medicaid Headwinds | The company navigates a projected 6 percent Medicaid enrollment decline for 2026, tracking mid-4 percent attrition rates amid ongoing state eligibility redeterminations |
ACA Growth Engine | Centene's strategic positioning in the Individual ACA marketplace offers substantial expansion potential, with analysts projecting valuations near $120 based on fiscal 2028 earnings of $9.00 |
Metrics to compare | CNC | Sector Sector - Average of metrics from a broad group of related Healthcare sector companies | Relationship RelationshipCNCPeersSector | |
|---|---|---|---|---|
P/E Ratio | −6.3x | 26.9x | −0.3x | |
PEG Ratio | 0.02 | −0.07 | 0.00 | |
Price / Book | 1.4x | 4.7x | 2.6x | |
Price / LTM Sales | 0.2x | 0.8x | 3.1x | |
Upside (Analyst Target) | 8.1% | 22.1% | 50.4% | |
Fair Value Upside | Unlock | 16.9% | 6.4% | Unlock |
Centene Corporation operates as a managed care company that provides programs and services to under-insured families, and commercial organizations in the United States. It operates through four segments: Medicaid, Medicare, Commercial, and Other. The Medicaid segment offers the temporary assistance for needy families; medicaid expansion; aged, blind, or disabled; and children's health insurance programs, as well as long-term services and supports; foster care; and medicare-medicaid plans. This segment also provides healthcare products and services. The Medicare segment offers special needs and medicare supplement, and prescription drug plans. The Commercial segment provides health insurance marketplace product for individual and commercial group. The Other segment operates clinical healthcare and pharmacies, as well as offers vision and dental, behavioral health, and centralized services. It provides services through primary and specialty care physicians, hospitals, behavioral health practitioners, and ancillary providers. The company was founded in 1984 and is headquartered in Saint Louis, Missouri.