Centene (NYSE:CNC) Announces Earnings Results, Beats Expectations By $1.43 EPS

Key Points

• Centene significantly beat quarterly expectations: The company reported adjusted EPS of $2.51 versus the $1.08 consensus and revenue of $53.58 billion versus $47.64 billion expected.
• 2026 guidance was raised: Centene now expects adjusted EPS above $4.80 and revenue of $193.5 billion to $197.5 billion, both ahead of analyst estimates.
• Operating performance improved: The health benefits ratio fell to 89.6% from 93.0% a year earlier, supported by stronger Medicare Advantage and prescription-drug plan results; operating cash flow reached $3.6 billion.

Centene (NYSE:CNC - Get Free Report) posted its quarterly earnings data on Monday. The company reported $2.51 EPS for the quarter, topping the consensus estimate of $1.08 by $1.43, FiscalAI reports. Centene had a negative net margin of 3.25% and a positive return on equity of 5.57%. The company had revenue of $53.58 billion during the quarter, compared to analyst estimates of $47.64 billion.

Centene Price Performance

NYSE CNC opened at $63.94 on Tuesday. The company has a market cap of $31.57 billion, a PE ratio of -4.87, a P/E/G ratio of 0.50 and a beta of 1.07. The firm's 50 day moving average price is $63.57 and its 200-day moving average price is $49.85. 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 has a 52-week low of $25.08 and a 52-week high of $69.36.

Institutional Trading of Centene

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. Baird Financial Group Inc. bought a new position in shares of Centene in the 1st quarter worth $236,000. Sivia Capital Partners LLC grew its stake in Centene by 80.0% in the second quarter. Sivia Capital Partners LLC now owns 9,710 shares of the company's stock valued at $527,000 after purchasing an additional 4,315 shares during the last quarter. CW Advisors LLC raised its holdings in Centene by 20.3% in the second quarter. CW Advisors LLC now owns 4,863 shares of the company's stock worth $264,000 after purchasing an additional 820 shares in the last quarter. NewEdge Advisors LLC lifted its position in shares of Centene by 6.1% during the second quarter. NewEdge Advisors LLC now owns 44,945 shares of the company's stock valued at $2,440,000 after buying an additional 2,582 shares during the last quarter. Finally, Treasurer of the State of North Carolina boosted its holdings in shares of Centene by 0.4% in the 2nd quarter. Treasurer of the State of North Carolina now owns 231,938 shares of the company's stock valued at $12,590,000 after buying an additional 967 shares in the last quarter. Institutional investors own 93.63% of the company's stock.

Centene News Summary

Here are the key news stories impacting Centene this week:

• Positive Sentiment: Centene reported second-quarter revenue of $53.58 billion, well above the $47.64 billion analyst consensus. Adjusted diluted EPS was $2.51, compared with expectations of $1.08, while GAAP diluted EPS was $2.19. Centene Corporation Reports Second Quarter 2026 Results
• Positive Sentiment: The company raised 2026 guidance to adjusted EPS above $4.80, versus the approximately $3.49 consensus estimate, and projected revenue of $193.5 billion to $197.5 billion, ahead of the $190.5 billion consensus. GAAP EPS guidance was raised to above $3.11. Centene Raises 2026 Outlook on Profit, Revenue Growth
• Positive Sentiment: Operating trends improved meaningfully: the health benefits ratio declined to 89.6% from 93.0% a year earlier, while commercial HBR fell to 79.2%. Management also cited stronger performance in Medicare Advantage and prescription-drug plans, supporting the improved outlook. Centene Reports $53.6 Billion in Second Quarter Revenue
• Positive Sentiment: Centene generated $3.6 billion in operating cash flow during the quarter, adding support for balance-sheet flexibility and ongoing operations.

Analyst Upgrades and Downgrades

Several research firms have recently issued reports on CNC. Wells Fargo & Company set a $69.00 target price on shares of Centene and gave the stock an "equal weight" rating in a report on Monday, July 13th. Deutsche Bank Aktiengesellschaft upgraded shares of Centene from a "hold" rating to a "buy" rating and upped their price target for the company from $53.00 to $80.00 in a report on Wednesday, May 20th. Jefferies Financial Group boosted their target price on Centene from $39.00 to $48.00 and gave the company a "hold" rating in a research report on Wednesday, April 29th. Weiss Ratings reissued a "sell (d)" rating on shares of Centene in a research note on Friday, July 17th. Finally, JPMorgan Chase & Co. upped their price objective on Centene from $52.00 to $60.00 and gave the company a "neutral" rating in a research report on Monday, June 8th. Seven analysts have rated the stock with a Buy rating, eleven have given a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat, Centene currently has an average rating of "Hold" and an average price target of $64.61.

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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