Clover (CLOV) and Centene (NYSE:CNC) are two companies that offer healthcare plans to customers. CLOV has been in the headlines due to its high-profile investors, while CNC is lesser-known. Patrick Ryan explains why CNC is the better buy.The healthcare sector has been a long-term outperformer as the healthcare sector takes an increasing share of the economy. This is due to costs rising faster than the pace of inflation as well as demand increases due to the aging population. Further, the improving labor market is another catalyst as it tends to mean more customers. However, there's considerable competition in the space especially as new healthcare tech companies are attempting to disrupt the space by offering services and products that threaten the legacy companies. Let’s take a look at two healthcare plan stocks that are worthy of investors’ attention: Clover (CLOV) and Centene (CNC). Clover (CLOV)
CLOV is a healthcare tech business. CLOV’s proprietary tech platform gathers, structures, and studies data about health and behavior. The overarching outcome of this effort is to enhance medical results while simultaneously reducing the cost of healthcare.
CLOV has a D POWR Rating grade. The stock has an F Sentiment grade along with Ds in the Quality, Stability, and Growth components. Prospective investors can learn more about how CLOV grades out in the Momentum and Value components of the POWR Ratings by clicking here.