Oscar Health (NYSE:OSCR) Shares Down 8.8% Following Analyst Downgrade

Key Points

• Oscar Health shares fell 8.8% to about $30.25 after Piper Sandler lowered its price target from $48 to $45, while retaining an Overweight rating. Trading volume was roughly 45% below its daily average.
• Analyst sentiment remains mixed: MarketBeat reports a consensus Hold rating and average price target of $34.60, based on 13 analyst ratings.
• The company reported strong quarterly results, with adjusted EPS of $0.49 versus expectations for a loss of $0.14 and revenue of $5.14 billion, up 72.1% year over year.

Shares of Oscar Health, Inc. (NYSE:OSCR - Get Free Report) traded down 8.8% on Friday after Piper Sandler lowered their price target on the stock from $48.00 to $45.00. Piper Sandler currently has an overweight rating on the stock. Oscar Health traded as low as $30.39 and last traded at $30.2510. Approximately 3,713,784 shares were traded during mid-day trading, a decline of 45% from the average daily volume of 6,726,105 shares. The stock had previously closed at $33.18.

A number of other research firms also recently commented on OSCR. Bank of America upped their price objective on shares of Oscar Health from $28.00 to $30.00 and gave the company an "underperform" rating in a research note on Thursday, September 17th. Barclays raised their target price on shares of Oscar Health from $39.00 to $49.00 and gave the stock an "overweight" rating in a research report on Thursday, September 17th. The Goldman Sachs Group restated a "neutral" rating and issued a $34.00 target price on shares of Oscar Health in a report on Thursday, September 17th. Wells Fargo & Company upped their price target on shares of Oscar Health from $20.00 to $27.00 and gave the stock an "equal weight" rating in a research report on Thursday, August 13th. Finally, Weiss Ratings raised shares of Oscar Health from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Thursday, October 8th. One research analyst has rated the stock with a Strong Buy rating, four have given a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of "Hold" and an average target price of $34.60.

Insider Activity

In other Oscar Health news, insider Adam Mcananey sold 9,092 shares of the company's stock in a transaction dated Thursday, September 3rd. The stock was sold at an average price of $31.45, for a total transaction of $285,943.40. Following the completion of the sale, the insider directly owned 209,004 shares in the company, valued at $6,573,175.80. This represents a 4.17% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available 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, CFO Richard Blackley sold 28,869 shares of Oscar Health stock in a transaction dated Thursday, September 3rd. The shares were sold at an average price of $31.45, for a total value of $907,930.05. Following the completion of the transaction, the chief financial officer directly owned 1,046,108 shares in the company, valued at $32,900,096.60. This represents a 2.69% 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 have sold 874,451 shares of company stock valued at $26,761,671 in the last 90 days. 22.64% of the stock is owned by corporate insiders.

Key Headlines Impacting Oscar Health

Here are the key news stories impacting Oscar Health this week:

• Positive Sentiment: Oscar reported Q3 adjusted earnings of $0.49 per share, versus analysts’ expected loss, and revenue of $5.14 billion against a $4.69 billion estimate. Revenue grew 72.1% year over year. Oscar Health beats Q3 estimates
• Positive Sentiment: Operating performance improved: the company swung to a $167.3 million profit, membership increased 27.2% to 2.69 million, and its medical loss ratio fell to 84%. The earnings call also highlighted improved medical costs and operating efficiencies. Q3 revenue, membership and margins
• Positive Sentiment: Oscar raised its 2026 outlook again, projecting revenue of $19 billion to $19.3 billion, above FactSet’s $18.64 billion estimate. Management also pointed to expansion as a source of potential 2027 growth. Oscar raises 2026 revenue outlook
• Positive Sentiment: Zacks added OSCR to its Rank #1 (Strong Buy) growth-stock list, providing another favorable analyst signal. Zacks growth-stock list
• Negative Sentiment: Piper Sandler cut its price target to $45 from $48, although it maintained an Overweight rating. The reduced target may temper enthusiasm despite its stated upside from the referenced share price. Piper Sandler analyst recommendations
• Negative Sentiment: Shares slipped after the results even as some healthcare peers rose, suggesting the strong quarter and outlook may not have been enough to sustain immediate buying interest. Oscar slips as peers climb

Institutional Investors Weigh In On Oscar Health

Several large investors have recently made changes to their positions in the business. GAMMA Investing LLC raised its stake in shares of Oscar Health by 32.9% during the second quarter. GAMMA Investing LLC now owns 1,441 shares of the company's stock valued at $41,000 after purchasing an additional 357 shares during the period. Abel Hall LLC boosted its stake in shares of Oscar Health by 4.0% in the third quarter. Abel Hall LLC now owns 10,376 shares of the company's stock valued at $320,000 after purchasing an additional 400 shares during the period. Oppenheimer & Co. Inc. boosted its stake in shares of Oscar Health by 0.8% in the third quarter. Oppenheimer & Co. Inc. now owns 68,428 shares of the company's stock valued at $2,110,000 after purchasing an additional 574 shares during the period. Financial Management Professionals Inc. acquired a new stake in Oscar Health during the 3rd quarter valued at $26,000. Finally, IFP Advisors Inc grew its holdings in Oscar Health by 69.5% during the 2nd quarter. IFP Advisors Inc now owns 2,139 shares of the company's stock valued at $61,000 after purchasing an additional 877 shares in the last quarter. Institutional investors and hedge funds own 75.70% of the company's stock.

Oscar Health Stock Performance

The firm has a market capitalization of $9.34 billion, a price-to-earnings ratio of 21.64, a price-to-earnings-growth ratio of 0.39 and a beta of 2.56. The company has a debt-to-equity ratio of 0.21, a quick ratio of 1.09 and a current ratio of 1.09. The stock's fifty day moving average is $31.80 and its two-hundred day moving average is $23.89.

Oscar Health (NYSE:OSCR - Get Free Report) last issued its quarterly earnings data on Thursday, November 5th. The company reported $0.49 EPS for the quarter, topping analysts' consensus estimates of ($0.14) by $0.63. The firm had revenue of $5.14 billion for the quarter, compared to analyst estimates of $4.69 billion. Oscar Health had a net margin of 3.60% and a return on equity of 38.45%. The firm's revenue was up 72.1% compared to the same quarter last year. During the same quarter in the previous year, the business posted ($0.53) EPS. Analysts forecast that Oscar Health, Inc. will post 1.83 earnings per share for the current year.

About Oscar Health

Oscar Health, Inc is a technology-focused health insurance company that provides health plans and related services in the United States. The company primarily serves individuals and families purchasing coverage through the Affordable Care Act's health insurance marketplace, as well as small businesses and their employees.

Oscar combines health insurance products with digital tools designed to help members manage their care. Its services include online enrollment, virtual care, provider search and appointment support, care navigation, claims and benefits information, and member engagement through web and mobile applications.

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