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Centene Stock Up 5% After First Loss In 13 Years, Bullish Guidance

1. Centene shares dropped 53% this year due to unexpected losses. 2. The company projects adjusted profit of $1.75 per share for 2025. 3. High medical cost ratio impacted earnings, exceeding Wall Street's expectations. 4. Centene is seeking Medicaid rate increases amid potential $1 trillion Medicaid cuts. 5. Stock must rise 44% to meet the average price target of $42.23.

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FAQ

Why Bearish?

Centene's significant losses and lowered earnings guidance indicate potential long-term issues, similar to past downturns.

How important is it?

The article highlights critical financial challenges impacting Centene's future performance and investor sentiment.

Why Long Term?

The primary risks, such as Medicaid cuts and credit rating downgrade, could affect Centene's finances for years.

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