Nuveen LLC Makes New Investment in Centene Corporation (NYSE:CNC)

Key Points

• Nuveen LLC acquired 2,414,045 shares of Centene Corporation, totaling approximately $146.6 million, raising its ownership to 0.49% as of the latest SEC filing.
• Centene's quarterly earnings report revealed a loss of ($0.16) per share, missing analyst estimates, although revenue for the quarter was $48.74 billion, exceeding expectations of $44.71 billion.
• Multiple brokerages downgraded Centene's stock ratings and lowered their target prices significantly, reflecting a bearish outlook on the company's performance.

Nuveen LLC acquired a new stake in Centene Corporation (NYSE:CNC - Free Report) in the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm acquired 2,414,045 shares of the company's stock, valued at approximately $146,557,000. Nuveen LLC owned 0.49% of Centene as of its most recent filing with the Securities and Exchange Commission.

Several other hedge funds and other institutional investors have also made changes to their positions in CNC. AQR Capital Management LLC boosted its stake in shares of Centene by 42.8% in the 4th quarter. AQR Capital Management LLC now owns 7,742,698 shares of the company's stock valued at $469,053,000 after buying an additional 2,319,952 shares during the period. Two Sigma Investments LP raised its position in shares of Centene by 1,788.1% during the 4th quarter. Two Sigma Investments LP now owns 2,245,511 shares of the company's stock worth $136,033,000 after acquiring an additional 2,126,582 shares in the last quarter. Assenagon Asset Management S.A. raised its position in shares of Centene by 111.5% during the 1st quarter. Assenagon Asset Management S.A. now owns 3,608,213 shares of the company's stock worth $219,055,000 after acquiring an additional 1,902,277 shares in the last quarter. Price T Rowe Associates Inc. MD raised its position in shares of Centene by 91.6% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 3,770,426 shares of the company's stock worth $228,414,000 after acquiring an additional 1,802,265 shares in the last quarter. Finally, Ameriprise Financial Inc. raised its position in shares of Centene by 32.3% during the 4th quarter. Ameriprise Financial Inc. now owns 6,469,062 shares of the company's stock worth $391,854,000 after acquiring an additional 1,578,917 shares in the last quarter. Hedge funds and other institutional investors own 93.63% of the company's stock.

Centene Price Performance

Shares of CNC stock traded down $0.14 during trading hours on Thursday, hitting $26.93. The company had a trading volume of 10,455,257 shares, compared to its average volume of 8,488,426. Centene Corporation has a 12 month low of $25.08 and a 12 month high of $80.59. The firm has a market capitalization of $13.23 billion, a price-to-earnings ratio of 6.67, a PEG ratio of 1.07 and a beta of 0.40. The firm's fifty day moving average is $38.00 and its 200 day moving average is $52.25. The company has a debt-to-equity ratio of 0.64, a quick ratio of 1.10 and a current ratio of 1.10.

Centene (NYSE:CNC - Get Free Report) last released its quarterly earnings results on Friday, July 25th. The company reported ($0.16) EPS for the quarter, missing analysts' consensus estimates of $0.23 by ($0.39). The business had revenue of $48.74 billion for the quarter, compared to the consensus estimate of $44.71 billion. Centene had a return on equity of 9.57% and a net margin of 1.15%. The firm's revenue was up 22.4% on a year-over-year basis. During the same quarter last year, the company earned $2.42 earnings per share. On average, sell-side analysts predict that Centene Corporation will post 6.86 EPS for the current fiscal year.

Insider Buying and Selling at Centene

In other news, CEO Sarah London acquired 19,230 shares of Centene stock in a transaction on Friday, August 8th. The shares were purchased at an average price of $25.50 per share, with a total value of $490,365.00. Following the acquisition, the chief executive officer owned 845,275 shares in the company, valued at $21,554,512.50. This represents a 2.33% increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Theodore R. Samuels II purchased 9,000 shares of the business's stock in a transaction dated Monday, July 28th. The stock was bought at an average cost of $27.62 per share, for a total transaction of $248,580.00. Following the purchase, the director owned 32,000 shares in the company, valued at $883,840. This trade represents a 39.13% increase in their ownership of the stock. The disclosure for this purchase can be found here. 0.36% of the stock is currently owned by corporate insiders.

Analysts Set New Price Targets

Several equities research analysts have recently weighed in on CNC shares. Wall Street Zen lowered Centene from a "buy" rating to a "hold" rating in a research report on Saturday, July 12th. Wells Fargo & Company lowered Centene from an "overweight" rating to an "equal weight" rating and cut their price target for the stock from $72.00 to $30.00 in a research report on Wednesday, July 23rd. TD Cowen reiterated a "hold" rating and issued a $33.00 target price (down from $73.00) on shares of Centene in a research note on Monday, July 21st. Bank of America downgraded Centene from a "neutral" rating to an "underperform" rating and decreased their price target for the company from $52.00 to $30.00 in a research note on Wednesday, July 16th. Finally, Guggenheim reiterated a "neutral" rating on shares of Centene in a research report on Tuesday, April 29th. One equities research analyst has rated the stock with a sell rating, fourteen have assigned a hold rating and three have assigned a buy rating to the stock. According to MarketBeat, the stock has a consensus rating of "Hold" and an average target price of $42.20.

Centene Company Profile

Centene Corporation operates as a healthcare enterprise that provides programs and services to under-insured and uninsured families, commercial organizations, and military families in the United States. The company operates through Medicaid, Medicare, Commercial, and Other segments. The Medicaid segment offers health plan coverage, including medicaid expansion, aged, blind, disabled, children's health insurance program, foster care, medicare-medicaid plans, long-term services and support.