South Dakota Investment Council Sells 21,056 Shares of Centene Corporation $CNC

Key Points

• South Dakota Investment Council reduced its Centene stake by 3.6%, selling 21,056 shares and retaining 564,618 shares valued at approximately $18.5 million. Institutional investors collectively own 93.63% of the company.
• Centene reported a strong quarter, with earnings of $2.51 per share versus the $1.09 consensus estimate and revenue of $53.58 billion, up 9.9% year over year. Management also raised its 2026 adjusted EPS outlook to above $4.80.
• Analysts have a consensus “Hold” rating and an average price target of $67, despite several recent target increases. Shares opened at $61.79, near the upper end of their 52-week range, while declining membership remains a concern.

South Dakota Investment Council cut its position in Centene Corporation (NYSE:CNC - Free Report) by 3.6% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 564,618 shares of the company's stock after selling 21,056 shares during the quarter. South Dakota Investment Council owned approximately 0.11% of Centene worth $18,486,000 at the end of the most recent reporting period.

A number of other hedge funds also recently bought and sold shares of the company. Vanguard Group Inc. grew its position in shares of Centene by 0.3% in the fourth quarter. Vanguard Group Inc. now owns 56,978,753 shares of the company's stock valued at $2,344,676,000 after purchasing an additional 190,334 shares during the last quarter. AQR Capital Management LLC lifted its position in shares of Centene by 117.0% during the 4th quarter. AQR Capital Management LLC now owns 31,798,738 shares of the company's stock worth $1,308,518,000 after purchasing an additional 17,143,904 shares during the last quarter. Geode Capital Management LLC boosted its stake in Centene by 5.5% during the 4th quarter. Geode Capital Management LLC now owns 13,271,492 shares of the company's stock valued at $554,338,000 after purchasing an additional 697,277 shares during the period. Deerfield Management Company L.P. grew its holdings in Centene by 184.0% in the 3rd quarter. Deerfield Management Company L.P. now owns 9,046,000 shares of the company's stock valued at $322,761,000 after buying an additional 5,860,630 shares during the last quarter. Finally, Morgan Stanley increased its position in Centene by 7.2% in the 4th quarter. Morgan Stanley now owns 9,002,570 shares of the company's stock worth $370,456,000 after buying an additional 603,585 shares during the period. 93.63% of the stock is currently owned by institutional investors.

Centene Stock Performance

CNC opened at $61.79 on Thursday. The stock's 50 day simple moving average is $63.74 and its 200-day simple moving average is $50.09. The company has a current ratio of 1.15, a quick ratio of 1.12 and a debt-to-equity ratio of 0.71. The stock has a market cap of $30.51 billion, a PE ratio of -5.92, a P/E/G ratio of 0.36 and a beta of 1.07. Centene Corporation has a 1 year low of $25.08 and a 1 year high of $69.36.

Centene (NYSE:CNC - Get Free Report) last posted its quarterly earnings results on Tuesday, July 28th. The company reported $2.51 earnings per share for the quarter, topping analysts' consensus estimates of $1.09 by $1.42. Centene had a negative net margin of 2.51% and a positive return on equity of 12.12%. The firm had revenue of $53.58 billion for the quarter, compared to the consensus estimate of $47.64 billion. During the same quarter in the previous year, the company earned ($0.16) earnings per share. The business's revenue was up 9.9% compared to the same quarter last year. Centene has set its FY 2026 guidance at 4.800- EPS. Sell-side analysts forecast that Centene Corporation will post 4.8 EPS for the current year.

Analyst Ratings Changes

Several equities research analysts have recently weighed in on CNC shares. Oppenheimer increased their price objective on Centene from $58.00 to $67.00 and gave the company an "outperform" rating in a research report on Wednesday, May 27th. Barclays reaffirmed an "overweight" rating and set a $80.00 target price (up from $75.00) on shares of Centene in a research report on Wednesday. Raymond James Financial set a $75.00 price target on shares of Centene in a report on Tuesday, July 7th. JPMorgan Chase & Co. raised their price target on shares of Centene from $52.00 to $60.00 and gave the stock a "neutral" rating in a research report on Monday, June 8th. Finally, Robert W. Baird boosted their price objective on shares of Centene from $46.00 to $66.00 and gave the stock a "neutral" rating in a report on Wednesday. Seven equities research analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and two have given a Sell rating to the company's stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Hold" and an average price target of $67.00.

Trending Headlines about Centene

Here are the key news stories impacting Centene this week:

• Positive Sentiment: Large earnings and revenue beat: Centene reported adjusted EPS of $2.51, versus the roughly $1.09 consensus estimate, while revenue reached $53.58 billion, up 9.9% year over year and well above expectations. GAAP net income was $1.09 billion, compared with a loss in the prior-year quarter. Centene Corporation Reports Second Quarter 2026 Results
• Positive Sentiment: Profit outlook raised: Management increased 2026 adjusted diluted EPS guidance to above $4.80 and GAAP diluted EPS guidance to above $3.11. Revenue guidance was raised to $193.5 billion-$197.5 billion, reflecting stronger premium and service revenue growth. Centene Raises Annual Profit Forecast
• Positive Sentiment: Improving medical cost trends: The health benefits ratio improved to 89.6% from 93.0% a year earlier. Commercial results were particularly strong, with a 79.2% ratio, while Medicare also showed improvement. Analysts highlighted margin recovery, cost discipline and better Marketplace performance as key drivers. Centene Stock Q2 Earnings Call Highlights Margin Recovery
• Positive Sentiment: Valuation viewed favorably: Recent commentary argues that CNC may still look inexpensive after its substantial advance, with the earnings recovery potentially supporting further gains. Centene Stock Still Looks Like a Bargain
• Neutral Sentiment: Debt and board changes: Centene announced the partial redemption of $500 million of 2027 notes. It also added Paul J. Diaz to the board following Kenneth Burdick’s retirement. These moves are unlikely to materially change near-term earnings but may signal balance-sheet management and governance transition. Centene Announces Partial Redemption of 2027 Notes
• Negative Sentiment: Membership remains a concern: Total at-risk membership declined to 25.885 million, and Medicaid membership softened. Investors appear focused on whether enrollment declines and the Medicaid outlook could limit future revenue growth despite better margins. Centene Back on Track
• Negative Sentiment: Expectations and valuation risk: With CNC near its 52-week high after a 150% run, some investors may be taking profits. Robert W. Baird raised its price target to $66 but maintained a neutral rating, suggesting limited near-term upside from current levels.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.