Centene (NYSE:CNC) Price Target Raised to $71.00

Centene (NYSE:CNC) had its target price increased by Robert W. Baird from $66.00 to $71.00 in a report released on Wednesday, Marketbeat.com reports. Robert W. Baird currently has a neutral rating on the stock.

Several other equities analysts have also recently commented on the stock. Wall Street Zen raised shares of Centene from a “buy” rating to a “strong-buy” rating in a research report on Saturday, July 18th. Bank of America reiterated a “buy” rating and issued a $82.00 price target (up from $80.00) on shares of Centene in a research note on Wednesday. Raymond James Financial set a $75.00 price objective on Centene in a report on Tuesday, July 7th. Argus raised Centene from a “hold” rating to a “buy” rating and set a $80.00 price target on the stock in a research report on Tuesday, August 11th. Finally, Morgan Stanley set a $66.00 price objective on Centene in a research note on Wednesday, July 29th. Nine equities research analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, Centene has an average rating of “Hold” and a consensus target price of $73.60.

Centene Stock Performance

Shares of CNC opened at $68.42 on Wednesday. The business’s 50 day moving average is $66.09 and its two-hundred day moving average is $55.26. Centene has a 52-week low of $31.63 and a 52-week high of $72.50. The firm has a market cap of $33.87 billion, a price-to-earnings ratio of 23.43, a PEG ratio of 0.40 and a beta of 1.13. The company has a quick ratio of 1.15, a current ratio of 1.16 and a debt-to-equity ratio of 0.69.

Centene (NYSE:CNC) last released its quarterly earnings results on Tuesday, October 27th. The company reported $0.58 earnings per share for the quarter, topping analysts’ consensus estimates of $0.10 by $0.48. The business had revenue of $50.65 billion during the quarter, compared to the consensus estimate of $47.12 billion. Centene had a net margin of 0.72% and a return on equity of 12.15%. The business’s quarterly revenue was up 1.9% compared to the same quarter last year. During the same quarter last year, the company earned $0.50 earnings per share. Analysts forecast that Centene will post 5.22 EPS for the current fiscal year.

Insider Buying and Selling

In other Centene news, General Counsel Christopher Koster sold 56,500 shares of Centene stock in a transaction that occurred on Wednesday, August 26th. The stock was sold at an average price of $66.90, for a total value of $3,779,850.00. Following the completion of the transaction, the general counsel directly owned 248,854 shares in the company, valued at $16,648,332.60. The trade was a 18.50% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. 0.37% of the stock is currently owned by insiders.

Institutional Trading of Centene

Several hedge funds have recently made changes to their positions in the stock. BlackRock Inc. bought a new stake in shares of Centene in the 2nd quarter worth $2,660,422,000. Wellington Management Group LLP lifted its holdings in Centene by 423.0% in the 2nd quarter. Wellington Management Group LLP now owns 13,301,215 shares of the company’s stock valued at $853,805,000 after acquiring an additional 10,757,914 shares during the last quarter. Bank of America Corp DE acquired a new stake in Centene in the 2nd quarter valued at about $285,713,000. Deutsche Bank AG bought a new position in shares of Centene during the 2nd quarter valued at about $257,279,000. Finally, Legal & General Group Plc acquired a new position in shares of Centene in the 2nd quarter worth approximately $244,463,000. Institutional investors own 93.63% of the company’s stock.

Key Centene News

Here are the key news stories impacting Centene this week:

• Positive Sentiment: Analysts continue to raise price targets. Wells Fargo lifted its target from $69 to $75 while maintaining an “equal weight” rating. JPMorgan also raised its target from $67 to $75, and UBS increased its target from $70 to $78. These revisions suggest analysts see additional value after Centene’s earnings update, even though the ratings remain cautious. Wells Fargo analyst update JPMorgan analyst update UBS analyst update
• Positive Sentiment: Strong quarterly results and higher guidance support the stock. Centene exceeded earnings and revenue expectations, and its quarterly revenue increased year over year. The company’s guidance increase reinforces expectations for improved profitability and prompted additional analyst optimism. Centene Q3 earnings and guidance Centene guidance increase
• Neutral Sentiment: Analyst ratings remain restrained. Wells Fargo and UBS retain “equal weight” or “neutral” recommendations, indicating that the higher targets reflect moderate appreciation potential rather than a strong conviction that CNC is significantly undervalued. Centene analyst price target update
• Negative Sentiment: Membership pressure remains a key risk. Coverage has highlighted lingering membership challenges and uncertainty over whether Centene can maintain a stable health benefits ratio. These issues could offset the benefit of stronger earnings and guidance if they pressure margins or future revenue growth. Centene membership pressures Centene health benefits ratio analysis

Centene Company Profile

Centene Corporation is a diversified healthcare enterprise that provides government-sponsored and commercial health insurance programs and related healthcare services. The company’s offerings are primarily focused on Medicaid, Medicare, and health insurance marketplace plans, with an emphasis on serving individuals and families who may have limited access to traditional healthcare coverage.

Centene operates Medicaid health plans through state-based contracts and offers Medicare Advantage, Medicare prescription drug, and Medicare Supplement products through its Wellcare brand.