Evolent Health (NYSE:EVH) Releases Quarterly Earnings Results, Beats Estimates By $0.02 EPS

Evolent Health (NYSE:EVH) issued its quarterly earnings results on Tuesday. The technology company reported $0.08 EPS for the quarter, beating analysts’ consensus estimates of $0.06 by $0.02, FiscalAI reports. The company had revenue of $468.72 million for the quarter, compared to analyst estimates of $468.48 million. Evolent Health had a positive return on equity of 1.30% and a negative net margin of 28.49%.The company’s quarterly revenue was down 27.5% compared to the same quarter last year. During the same period last year, the company earned ($0.02) earnings per share.

Here are the key takeaways from Evolent Health’s conference call:

• Evolent is guiding 2026 revenue of about $2.5 billion (roughly 30% growth) with Adjusted EBITDA centered near a $125 million midpoint (company range $110–$140M) and expects EBITDA to be weighted to the back half of the year.
• Management says oncology will be the core growth driver, forecasting oncology to be ~65% of 2026 revenue (up from 36% in 2025) and highlighting a Highmark oncology launch on May 1 expected to add >$550 million in 2026 and >$800 million in 2027.
• About 90% of Performance Suite revenue has been migrated to the new Enhanced Performance Suite contracts, which management says preserves downside via MER corridors while enabling customer retention and new wins, and targets long‑term Performance Suite margins of 7–10%.
• Near‑term profitability is pressured by reserving and exchange membership contraction—management expects 2026 MER of ~93% (vs 89% in 2025) and identified a ~$40 million one‑time headwind from exchange disenrollment tied to the “One Big Beautiful Bill.”
• Company cites efficiency and AI gains (exceeding the prior $20M annualized savings goal in 2025 and targeting roughly $50M of cost reductions in 2026), expects Q4 2026 run‑rate Adjusted EBITDA of >$150M, and outlines a potential $30–$100M upside if Performance Suite margins hit targets over time.

Evolent Health Trading Up 22.3%

Evolent Health stock opened at $3.13 on Thursday. The firm has a market cap of $349.42 million, a price-to-earnings ratio of -0.61 and a beta of 0.27. Evolent Health has a 1 year low of $2.50 and a 1 year high of $12.06. The firm’s 50 day moving average price is $3.52 and its two-hundred day moving average price is $5.85. The company has a debt-to-equity ratio of 1.25, a quick ratio of 1.33 and a current ratio of 1.33.

Trending Headlines about Evolent Health

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

• Positive Sentiment: Q4 results beat consensus: Evolent reported $0.08 EPS vs. a $0.06 consensus and revenue of $468.7M roughly in line with expectations; management cited execution, client renewals and margin progress. Read More.
• Positive Sentiment: FY2026 revenue guidance reaffirmed/updated to about $2.4B–$2.6B (in line with consensus) and management highlighted growth areas such as oncology and migration to enhanced Performance Suite contracts — these items underpin improved near-term visibility. Read More.
• Positive Sentiment: BTIG kept a Buy rating and set a new $8 price target (down from $10) — the $8 target implies substantial upside from the stock’s recent levels, supporting positive investor sentiment. Read More.
• Neutral Sentiment: Needham sharply reduced its target to $4 from $15 but retained a Buy rating — the lower target reduces upside expectations versus prior coverage but keeps analyst support for the company’s strategy. Read More.
• Neutral Sentiment: RBC cut its price target to $3 and moved to Sector Perform, signaling a more cautious near-term view; that target is close to the recent trading level so its impact is limited. Read More.
• Negative Sentiment: KeyCorp downgraded EVH from Overweight to Sector Weight, which is a negative signal from a major coverage firm and likely contributed to intraday selling pressure for some investors. Read More.

Hedge Funds Weigh In On Evolent Health

Hedge funds have recently modified their holdings of the stock. Durable Capital Partners LP acquired a new stake in shares of Evolent Health during the second quarter worth $72,326,000. Rubicon Founders LLC acquired a new position in shares of Evolent Health in the 3rd quarter valued at $49,204,000. 8 Knots Management LLC purchased a new position in Evolent Health in the 2nd quarter worth about $32,802,000. Goldman Sachs Group Inc. raised its holdings in Evolent Health by 162.2% during the 1st quarter. Goldman Sachs Group Inc. now owns 2,836,402 shares of the technology company’s stock worth $26,861,000 after buying an additional 1,754,520 shares during the period. Finally, Jacobs Levy Equity Management Inc. lifted its stake in Evolent Health by 164.1% during the third quarter. Jacobs Levy Equity Management Inc. now owns 1,773,818 shares of the technology company’s stock valued at $15,006,000 after buying an additional 1,102,264 shares in the last quarter.

Wall Street Analyst Weigh In

EVH has been the topic of several research analyst reports. BMO Capital Markets reissued an “outperform” rating and set a $3.50 target price on shares of Evolent Health in a research note on Wednesday. Citigroup lowered their price objective on shares of Evolent Health from $9.50 to $6.00 and set a “buy” rating on the stock in a research note on Friday, January 9th. Stephens raised Evolent Health from an “equal weight” rating to an “overweight” rating and set a $7.00 target price on the stock in a report on Thursday, November 13th. Piper Sandler set a $6.00 price target on Evolent Health in a research note on Tuesday, December 2nd. Finally, Needham & Company LLC lowered their price target on Evolent Health from $15.00 to $4.00 and set a “buy” rating on the stock in a research report on Wednesday. Twelve analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $7.42.

Evolent Health Company Profile

Evolent Health, Inc is a U.S.-based healthcare technology and services company that partners with health systems, physician organizations and health plans to design, build and operate value-based care programs. Headquartered in Arlington, Virginia, the company was founded in 2011 as a joint venture between TPG and the University of Pittsburgh Medical Center (UPMC). Evolent Health aims to help its clients transition from fee-for-service payment models to value-based care arrangements by leveraging its proprietary technology platforms and clinical expertise.

The company’s core offerings include care management solutions, population health analytics and clinical advisory services.