Molina Healthcare (NYSE:MOH) Raised to Strong-Buy at Zacks Research

Key Points

• Zacks Research upgraded Molina Healthcare from hold to strong-buy, signaling a more bullish stance on the stock.
• The broader analyst view remains cautious: despite the upgrade, Wall Street’s overall rating is still Hold, with a consensus price target of $203.38.
• Molina recently beat quarterly EPS estimates with $1.51 per share, but revenue fell 4.8% year over year and the company continues to face concerns around its Medicaid and ACA business outlook.

Molina Healthcare (NYSE:MOH - Get Free Report) was upgraded by equities researchers at Zacks Research from a "hold" rating to a "strong-buy" rating in a report issued on Thursday,Zacks.com reports.

A number of other research analysts also recently commented on MOH. Wells Fargo & Company increased their price objective on shares of Molina Healthcare from $159.00 to $235.00 and gave the company an "equal weight" rating in a research note on Monday, July 13th. Cantor Fitzgerald reissued a "neutral" rating on shares of Molina Healthcare in a research report on Friday. Deutsche Bank Aktiengesellschaft restated a "hold" rating and issued a $129.00 target price on shares of Molina Healthcare in a research note on Friday, April 24th. Robert W. Baird increased their price target on shares of Molina Healthcare from $124.00 to $163.00 and gave the stock a "neutral" rating in a research report on Monday, May 11th. Finally, JPMorgan Chase & Co. lifted their price target on Molina Healthcare from $169.00 to $191.00 and gave the stock a "neutral" rating in a research note on Monday, June 8th. One analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, twelve have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the stock has an average rating of "Hold" and a consensus price target of $203.38.

Molina Healthcare Stock Performance

Shares of MOH opened at $197.64 on Thursday. The firm has a market cap of $10.30 billion, a price-to-earnings ratio of -1,097.94 and a beta of 0.74. The company has a quick ratio of 1.63, a current ratio of 1.68 and a debt-to-equity ratio of 0.95. The business's 50 day moving average is $206.19 and its two-hundred day moving average is $177.02. Molina Healthcare has a 52-week low of $121.06 and a 52-week high of $244.89.

Molina Healthcare (NYSE:MOH - Get Free Report) last released its quarterly earnings results on Wednesday, July 22nd. The company reported $1.51 earnings per share for the quarter, topping analysts' consensus estimates of $1.39 by $0.12. The business had revenue of $10.87 billion during the quarter, compared to the consensus estimate of $10.83 billion. Molina Healthcare had a negative net margin of 0.02% and a positive return on equity of 3.73%. The business's quarterly revenue was down 4.8% compared to the same quarter last year. During the same quarter last year, the company earned $5.48 earnings per share. Analysts forecast that Molina Healthcare will post 5.25 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, insider Jeff D. Barlow sold 17,811 shares of the firm's stock in a transaction dated Monday, May 11th. The shares were sold at an average price of $186.12, for a total value of $3,314,983.32. Following the transaction, the insider directly owned 67,175 shares in the company, valued at approximately $12,502,611. This trade represents a 20.96% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CAO Maurice Hebert sold 600 shares of Molina Healthcare stock in a transaction dated Thursday, May 14th. The shares were sold at an average price of $191.55, for a total transaction of $114,930.00. Following the completion of the transaction, the chief accounting officer directly owned 12,815 shares of the company's stock, valued at $2,454,713.25. This trade represents a 4.47% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders own 1.44% of the company's stock.

Institutional Investors Weigh In On Molina Healthcare

Several institutional investors and hedge funds have recently bought and sold shares of the business. Torren Management LLC acquired a new position in Molina Healthcare in the fourth quarter valued at approximately $26,000. Physician Wealth Advisors Inc. raised its position in shares of Molina Healthcare by 1,250.0% during the 1st quarter. Physician Wealth Advisors Inc. now owns 216 shares of the company's stock worth $29,000 after purchasing an additional 200 shares during the period. Cromwell Holdings LLC raised its position in shares of Molina Healthcare by 211.9% during the 4th quarter. Cromwell Holdings LLC now owns 184 shares of the company's stock worth $32,000 after purchasing an additional 125 shares during the period. Quarry LP acquired a new stake in shares of Molina Healthcare during the 4th quarter worth approximately $32,000. Finally, SJS Investment Consulting Inc. lifted its holdings in shares of Molina Healthcare by 504.9% in the 1st quarter. SJS Investment Consulting Inc. now owns 248 shares of the company's stock worth $33,000 after purchasing an additional 207 shares during the last quarter. Institutional investors and hedge funds own 98.50% of the company's stock.

Key Headlines Impacting Molina Healthcare

Here are the key news stories impacting Molina Healthcare this week:

• Positive Sentiment: Molina Healthcare beat Q2 earnings expectations with EPS of $1.51, and lower operating expenses helped offset weaker premium revenue and softer investment income. The company also raised its 2026 EPS outlook, which supports the long-term earnings case. Article Title
• Positive Sentiment: Analysts still see some upside from current levels despite recent weakness, with Truist and RBC both saying the stock could rise into the low-to-mid $200s. Article Title
• Neutral Sentiment: Wall Street’s consensus recommendation remains “Hold,” suggesting analysts are not turning bullish yet, but are also not broadly negative on the name. Article Title
• Negative Sentiment: Revenue and membership trends remain a concern, and multiple reports said investors were disappointed by weaker premium revenue and softer guidance even after the earnings beat. Article Title
• Negative Sentiment: Market reaction has been negative because Molina warned about a smaller Obamacare footprint and ongoing pressure in its Medicaid/ACA businesses, which outweighed the earnings beat. Article Title

About Molina Healthcare

Molina Healthcare, Inc is a managed care company specializing in government-sponsored health insurance programs. The company offers Medicaid managed care plans, Medicare Advantage and prescription drug plans, and individual Marketplace plans under the Affordable Care Act. Through an integrated care model, Molina emphasizes preventive and primary care services, care coordination, and disease management to improve health outcomes for its members.

The company traces its roots to the early 1980s, when Dr.

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