- Centene Corporation's robust financial performance surpasses Wall Street expectations.
- Analysts project significant stock price appreciation, indicating a promising investment opportunity.
- Increased marketplace and Medicare PDP memberships are key growth drivers.
Centene Corporation (CNC, Financial) has delivered a strong performance in the first quarter, reporting a non-GAAP earnings per share (EPS) of $2.90, significantly surpassing analyst estimates by $0.38. The company's revenue experienced a substantial increase of 20.3% year-over-year, reaching $48.62 billion and surpassing projections by $5.37 billion. This impressive growth is largely attributed to a remarkable 29% rise in marketplace membership and a 22% increase in Medicare Part D plan membership, both of which have notably boosted premium and service revenue.
Wall Street Analysts' Forecast
Looking ahead, Wall Street analysts present a positive outlook for Centene Corp (CNC, Financial). A consensus of 16 analysts provides an average one-year price target of $79.00, with estimates ranging from a high of $93.00 to a low of $64.00. This suggests a potential upside of 28.29% from the current stock price of $61.58. For further insights, more detailed estimate data is available on the Centene Corp (CNC) Forecast page.
In terms of brokerage consensus, Centene Corp (CNC, Financial) holds an average recommendation rating of 2.4 among 20 brokerage firms, indicating an "Outperform" status. This rating is based on a scale where 1 represents a Strong Buy and 5 indicates a Sell.
Moreover, according to GuruFocus estimates, Centene Corp's projected GF Value over the next year is estimated at $94.19. This reflects a notable potential upside of 52.96% from the current price of $61.58. The GF Value is GuruFocus’ measure of the fair value at which the stock should trade, derived from historical trading multiples, past business growth, and anticipated future business performance. Investors can explore more detailed data on the Centene Corp (CNC, Financial) Summary page.
