Clover Health Investments (NASDAQ:CLOV) Trading 4.7% Higher - Here's Why

Key Points

• Clover Health shares rose 4.7% to $4.345, though trading volume was 82% below the stock’s average daily volume.
• Analyst views remain mixed: Canaccord raised its price target to $5.50 with a buy rating, while UBS set a $5.00 target and neutral rating; the overall consensus is “Hold” with a $4.33 target.
• The company exceeded quarterly expectations, reporting $0.05 in EPS versus $0.04 expected and revenue of $743.17 million versus $728.27 million estimated. Institutional ownership also increased, with hedge funds and other institutions holding 19.77% of the stock.

Clover Health Investments, Corp. (NASDAQ:CLOV - Get Free Report) shot up 4.7% on Tuesday . The company traded as high as $4.35 and last traded at $4.3450. 1,096,672 shares were traded during trading, a decline of 82% from the average daily volume of 6,216,778 shares. The stock had previously closed at $4.15.

Wall Street Analysts Forecast Growth

Several equities analysts have commented on the stock. Weiss Ratings reissued a "sell (d-)" rating on shares of Clover Health Investments in a research note on Wednesday, June 24th. Wall Street Zen lowered shares of Clover Health Investments from a "strong-buy" rating to a "buy" rating in a research note on Sunday, August 16th. Canaccord Genuity Group upped their target price on Clover Health Investments from $4.20 to $5.50 and gave the stock a "buy" rating in a research report on Tuesday, July 21st. Finally, UBS Group increased their price target on Clover Health Investments from $4.75 to $5.00 and gave the company a "neutral" rating in a research note on Thursday, August 6th. One investment analyst has rated the stock with a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of "Hold" and a consensus price target of $4.33.

Clover Health Investments Trading Up 3.5%

The company has a market cap of $2.28 billion, a price-to-earnings ratio of -85.88 and a beta of 2.48. The business has a 50-day moving average price of $4.59 and a 200 day moving average price of $3.40.

Clover Health Investments (NASDAQ:CLOV - Get Free Report) last announced its earnings results on Wednesday, August 5th. The company reported $0.05 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.04 by $0.01. Clover Health Investments had a negative return on equity of 4.20% and a negative net margin of 0.74%.The company had revenue of $743.17 million for the quarter, compared to analyst estimates of $728.27 million.

Insider Transactions at Clover Health Investments

In other Clover Health Investments news, CEO Andrew Toy sold 313,476 shares of the business's stock in a transaction dated Wednesday, July 1st. The stock was sold at an average price of $5.32, for a total transaction of $1,667,692.32. Following the sale, the chief executive officer owned 9,609,825 shares in the company, valued at approximately $51,124,269. The trade was a 3.16% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, VP Joseph Frank Oldakowski sold 12,102 shares of the company's stock in a transaction dated Tuesday, June 16th. The shares were sold at an average price of $4.86, for a total transaction of $58,815.72. Following the sale, the vice president directly owned 299,067 shares of the company's stock, valued at $1,453,465.62. This represents a 3.89% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 418,057 shares of company stock worth $2,156,348 in the last three months. 23.51% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the business. Bank of America Corp DE lifted its position in shares of Clover Health Investments by 217.5% in the second quarter. Bank of America Corp DE now owns 4,012,744 shares of the company's stock worth $11,196,000 after purchasing an additional 2,748,783 shares in the last quarter. California State Teachers Retirement System raised its position in shares of Clover Health Investments by 387.2% in the second quarter. California State Teachers Retirement System now owns 2,421,577 shares of the company's stock valued at $12,689,000 after purchasing an additional 1,924,571 shares during the period. Dimensional Fund Advisors LP lifted its position in shares of Clover Health Investments by 69.8% during the 4th quarter. Dimensional Fund Advisors LP now owns 3,634,325 shares of the company's stock worth $8,542,000 after purchasing an additional 1,494,043 shares during the last quarter. First Trust Advisors LP acquired a new stake in shares of Clover Health Investments in the second quarter worth $4,149,000. Finally, UBS Group AG raised its position in shares of Clover Health Investments by 155.5% during the third quarter. UBS Group AG now owns 2,282,113 shares of the company's stock valued at $6,983,000 after buying an additional 1,388,761 shares during the last quarter. Hedge funds and other institutional investors own 19.77% of the company's stock.

Clover Health Investments Company Profile

Clover Health Investments is a technology-driven healthcare company specializing in Medicare Advantage plans for senior populations. The company combines insurance coverage with a proprietary software platform to improve care coordination, outcomes tracking and cost management. By leveraging data analytics, Clover Health aims to deliver personalized care pathways and preventive interventions for its members.

At the core of Clover's offering is its Clover Assistant platform, which aggregates clinical and claims data from multiple sources to create real-time insights for physicians and care teams.

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