Evolent Health (NYSE:EVH) Announces Earnings Results

Evolent Health (NYSE:EVH) posted its quarterly earnings results on Thursday. The technology company reported ($0.02) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.05) by $0.03, FiscalAI reports. Evolent Health had a positive return on equity of 0.32% and a negative net margin of 26.29%.The company had revenue of $496.25 million for the quarter, compared to analyst estimates of $534.00 million. During the same quarter last year, the company earned $0.06 EPS. Evolent Health’s revenue for the quarter was up 2.6% compared to the same quarter last year.

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

• Reported solid Q1 results with $496M revenue (9% sequential ex‑ECP), adjusted EBITDA of $22M, and management reiterated full‑year guidance of $2.4B–$2.6B revenue and $110M–$140M adjusted EBITDA with an estimated MER of ~93%.
• Performance Suite momentum: launches with Aetna and Highmark plus two new deals — an advanced imaging contract covering 4.5M lives and a Performance Suite oncology/cardiology expansion expected to generate over $200M annual revenue — validating cross‑sell and scale potential.
• Oncology remains a strategic growth engine: Evolent manages ~10% of the oncology market today, sees meaningful outsourcings ahead, and is using Enhanced Performance Suite structures to offer guarantees while reducing direct risk exposure.
• AI and automation progress: leadership hires and accelerated model deployment (imaging auto‑approval lifts in the high teens to ~30%) support a target of auto‑approving ~80% of authorization volume to reduce costs and improve provider experience.
• Near‑term headwinds from exchange membership declines (guidance assumes ~40% drop) pressured Specialty T&S revenue and elevated servicing costs during grace periods; company ended Q1 with $142M unrestricted cash and $792M net debt.

Evolent Health Stock Performance

Shares of EVH traded down $0.08 during midday trading on Friday, reaching $4.19. 2,959,838 shares of the stock were exchanged, compared to its average volume of 2,597,587. Evolent Health has a twelve month low of $2.10 and a twelve month high of $12.06. The company has a debt-to-equity ratio of 2.34, a current ratio of 1.31 and a quick ratio of 1.31. The company has a market capitalization of $468.22 million, a price-to-earnings ratio of -0.88 and a beta of 0.83. The business’s 50-day moving average price is $2.93 and its 200 day moving average price is $3.80.

More Evolent Health News

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

• Positive Sentiment: Evolent’s Q1 EPS loss of $0.02 was better than the expected loss of $0.05, suggesting profitability trends were slightly better than analysts feared. Evolent Health Q1 2026 Earnings Call Transcript
• Positive Sentiment: Needham raised its price target on EVH from $4.00 to $5.00 and reiterated a buy rating, pointing to additional upside from current levels. Needham Price Target Raise
• Positive Sentiment: The company also lifted full-year 2026 revenue guidance to a range of $2.4 billion to $2.6 billion, which signals management expects stronger business performance ahead. Evolent Announces First Quarter 2026 Results
• Neutral Sentiment: Revenue of $496.25 million missed Wall Street’s $534.0 million estimate, so investors are weighing the top-line shortfall against better-than-expected earnings and upbeat guidance. Evolent Health Misses Q1 Revenue Estimates

Institutional Inflows and Outflows

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

Analyst Ratings Changes

EVH has been the subject of a number of recent research reports. Truist Financial decreased their price target on shares of Evolent Health from $10.00 to $6.00 and set a “buy” rating for the company in a research note on Wednesday, February 25th. Citigroup lowered their price objective on Evolent Health from $6.00 to $4.00 and set a “buy” rating for the company in a research report on Thursday, February 26th. BMO Capital Markets reiterated an “outperform” rating and issued a $3.50 price objective on shares of Evolent Health in a report on Wednesday, February 25th. Wall Street Zen raised Evolent Health from a “sell” rating to a “hold” rating in a research report on Saturday, February 28th. Finally, Oppenheimer decreased their target price on Evolent Health from $12.00 to $6.00 and set an “outperform” rating for the company in a research note on Monday, March 2nd. Thirteen investment analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $6.12.

About Evolent Health

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.