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Centene Corporation (CNC), a multinational healthcare enterprise with a $37.8 billion market cap, stands at the forefront of delivering accessible and affordable care. From its St. Louis headquarters, Centene touches the lives of millions across the U.S. with a mission rooted in compassion and innovation.
Specializing in government-backed programs like Medicaid, Medicare, and the Health Insurance Marketplace, Centene’s vast network of health plans ensures quality healthcare for families and individuals in need, reinforcing its role as a trusted leader in the industry.
Companies worth $10 billion or more are generally described as “large-cap stocks,” and CNC perfectly fits that description, signifying its substantial size, stability, and dominance in its industry.
The leading healthcare products and services provider has slipped 12.8% from its 52-week high of $81.42, reached back on Feb. 26. Shares of CNC are up just 1.7% over the past three months, underperforming the broader S&P 500 Index’s ($SPX) 2.5% gains over the same time frame.
Over the longer term, CNC shares have risen 8.6% over the past year, and in 2024, the stock has plunged 4.3%. By contrast, SPX is up 23.3% over the past 52 weeks and 15.2% on a YTD basis.
Since early September, CNC has been riding the bearish wave, slipping below both its 50-day and 200-day moving averages.
Shares of Centene rallied 8.5% after it reported its Q2 results on July 26. The company’s revenue of $39.8 billion beat analysts’ expectations of $36.7 billion, while EPS of $2.42 came almost in line with projections. Moreover, CNC guided full-year revenue between $155 billion to $157 billion.
Rival Molina Healthcare, Inc. (MOH) has underperformed CNC. MOH stock has surged 3.7% over the past 52 weeks and is down 8% on a YTD basis.
Despite its recent underperformance compared to SPX, analysts are optimistic about CNC’s prospects. The stock has a consensus rating of “Moderate Buy” from the 18 analysts covering it, and the mean price target of $86.29 is a 21.5% premium to current levels.
On the date of publication, Sristi Jayaswal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
