StockNews.AI
CNC
Market Watch
48 days

Centene’s Medicaid business and healthcare costs are problems, and the stock plunges - MarketWatch

1. Centene shares fell 39.8%, marking their worst trading day ever. 2. Company withdrew 2025 earnings guidance, citing high claim numbers and costs. 3. Mizuho analyst warns against buying until clarity on HIX costs emerges. 4. Competitors also suffered losses due to Centene's plummet. 5. Analysts are mostly neutral on Centene's future outlook.

5m saved
Insight
Article

FAQ

Why Very Bearish?

The withdrawal of earnings guidance suggests significant operational and financial instability, reminiscent of past dramatic declines when companies missed financial targets, triggering prolonged bear market phases.

How important is it?

The deep decline and earnings guidance withdrawal demonstrate critical operational challenges that could deter long-term investor sentiment.

Why Long Term?

Until Centene can stabilize its business model and enhance profitability, investor confidence will be muted, similar to UnitedHealth’s past recovery after earnings adjustments.

Related Companies

Related News