Centene Corporation (NYSE:CNC) Receives Consensus Recommendation of "Hold" from Analysts

Key Points

• Centene received a consensus analyst rating of “Hold”, based on coverage from 20 analysts; the average 12-month price target is $62.50.
• Recent broker updates were mixed, with some firms raising targets and keeping bullish views, while others downgraded the stock or maintained neutral ratings.
• Centene reported stronger-than-expected quarterly results, including EPS of $3.37 versus the $2.23 estimate and revenue of $49.94 billion, but the stock still traded slightly lower on the day.

Centene Corporation (NYSE:CNC - Get Free Report) has been given a consensus recommendation of "Hold" by the twenty analysts that are presently covering the firm, Marketbeat Ratings reports. Two analysts have rated the stock with a sell recommendation, eleven have assigned a hold recommendation and seven have issued a buy recommendation on the company. The average twelve-month price target among brokers that have updated their coverage on the stock in the last year is $62.50.

A number of brokerages have recently issued reports on CNC. Sanford C. Bernstein boosted their price objective on Centene from $48.00 to $68.00 and gave the company an "outperform" rating in a research note on Tuesday, May 5th. Zacks Research downgraded Centene from a "strong-buy" rating to a "hold" rating in a report on Monday, June 29th. Oppenheimer boosted their price target on Centene from $58.00 to $67.00 and gave the company an "outperform" rating in a research note on Wednesday, May 27th. Royal Bank Of Canada increased their price target on Centene from $70.00 to $71.00 and gave the stock a "sector perform" rating in a report on Thursday. Finally, Jefferies Financial Group raised their price objective on shares of Centene from $39.00 to $48.00 and gave the stock a "hold" rating in a research report on Wednesday, April 29th.

Institutional Investors Weigh In On Centene

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. Tema ETFs LLC grew its stake in shares of Centene by 10.4% in the 2nd quarter. Tema ETFs LLC now owns 9,261 shares of the company's stock valued at $594,000 after buying an additional 870 shares during the period. Fulton Bank N.A. acquired a new position in Centene during the 2nd quarter worth approximately $296,000. Wealthcare Advisory Partners LLC bought a new position in Centene in the second quarter worth approximately $250,000. World Equity Group Inc. acquired a new stake in Centene in the second quarter valued at approximately $535,000. Finally, Arista Wealth Management LLC grew its stake in Centene by 100.5% in the second quarter. Arista Wealth Management LLC now owns 12,307 shares of the company's stock valued at $790,000 after acquiring an additional 6,170 shares during the period. 93.63% of the stock is owned by institutional investors.

Centene Trading Down 0.4%

Shares of NYSE:CNC traded down $0.27 during trading on Friday, reaching $67.33. The stock had a trading volume of 2,186,055 shares, compared to its average volume of 4,975,512. Centene has a 52 week low of $25.08 and a 52 week high of $69.29. The firm's fifty day moving average is $61.54 and its 200 day moving average is $47.91. The stock has a market cap of $33.25 billion, a price-to-earnings ratio of -5.12, a P/E/G ratio of 0.53 and a beta of 1.07. The company has a debt-to-equity ratio of 0.76, a quick ratio of 1.12 and a current ratio of 1.12.

Centene (NYSE:CNC - Get Free Report) last released its earnings results on Tuesday, April 28th. The company reported $3.37 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.23 by $1.14. Centene had a negative net margin of 3.25% and a positive return on equity of 5.57%. The business had revenue of $49.94 billion for the quarter, compared to analyst estimates of $47.53 billion. During the same quarter in the previous year, the business earned $2.90 earnings per share. Centene's revenue for the quarter was up 7.1% on a year-over-year basis. As a group, equities analysts forecast that Centene will post 3.44 EPS for the current fiscal year.

Centene Company Profile

Centene Corporation NYSE: CNC is a diversified, multi-national healthcare enterprise that specializes in providing services to government-sponsored and national health programs. The company primarily acts as a managed care organization, delivering healthcare coverage and administering benefits for Medicaid, the Children's Health Insurance Program (CHIP), Medicare Advantage, and individual marketplace plans. Centene also contracts with federal and state agencies to manage specialty care programs and community-based services for vulnerable populations.

Centene's offerings extend beyond traditional insurance to include a range of specialty and support services.

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