Centene (NYSE:CNC) Upgraded to “Strong-Buy” at Zacks Research

Zacks Research upgraded shares of Centene (NYSE:CNC) from a hold rating to a strong-buy rating in a research report report published on Wednesday,Zacks.com reports.

CNC has been the topic of a number of other research reports. Robert W. Baird increased their price objective on Centene from $46.00 to $66.00 and gave the company a “neutral” rating in a report on Wednesday. Barclays reaffirmed an “overweight” rating and set a $80.00 target price (up from $75.00) on shares of Centene in a research report on Wednesday. Jefferies Financial Group increased their price target on Centene from $39.00 to $48.00 and gave the company a “hold” rating in a report on Wednesday, April 29th. Truist Financial boosted their price objective on shares of Centene from $71.00 to $78.00 and gave the stock a “buy” rating in a research note on Tuesday, July 14th. Finally, Weiss Ratings reiterated a “sell (d)” rating on shares of Centene in a research note on Friday, July 17th. One investment analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating, ten have given a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average price target of $67.00.

Centene Price Performance

NYSE CNC opened at $60.84 on Wednesday. The company has a current ratio of 1.15, a quick ratio of 1.12 and a debt-to-equity ratio of 0.71. Centene has a 1 year low of $25.08 and a 1 year high of $69.36. The company has a market cap of $30.05 billion, a PE ratio of -5.83, a PEG ratio of 0.33 and a beta of 1.07. The stock’s 50-day moving average price is $63.81 and its two-hundred day moving average price is $50.19.

Centene (NYSE:CNC) last released its quarterly earnings results on Tuesday, July 28th. The company reported $2.51 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.09 by $1.42. The business had revenue of $53.58 billion for the quarter, compared to analyst estimates of $47.64 billion. Centene had a negative net margin of 2.51% and a positive return on equity of 12.12%. The firm’s revenue was up 9.9% compared to the same quarter last year. During the same quarter in the previous year, the business earned ($0.16) earnings per share. Centene has set its FY 2026 guidance at 4.800- EPS. On average, analysts predict that Centene will post 4.95 EPS for the current year.

Institutional Investors Weigh In On Centene

Several hedge funds and other institutional investors have recently modified their holdings of CNC. Trust Asset Management LLC acquired a new stake in shares of Centene during the 2nd quarter worth approximately $346,000. Tema ETFs LLC raised its holdings in Centene by 10.4% during the 2nd quarter. Tema ETFs LLC now owns 9,261 shares of the company’s stock worth $594,000 after purchasing an additional 870 shares during the last quarter. Fulton Bank N.A. bought a new position in shares of Centene in the 2nd quarter valued at about $296,000. Wealthcare Advisory Partners LLC bought a new stake in shares of Centene during the 2nd quarter valued at $250,000. Finally, World Equity Group Inc. acquired a new position in Centene in the second quarter valued at about $535,000. Institutional investors and hedge funds own 93.63% of the company’s stock.

Key Headlines Impacting Centene

Here are the key news stories impacting Centene this week:

• Positive Sentiment: Centene reported adjusted second-quarter EPS of $2.51, well above the $1.09 consensus estimate, while revenue rose 9.9% year over year to $53.58 billion. Margin recovery, cost discipline and stronger Marketplace performance supported the results. Centene Could Be 3% Undervalued After Strong Q2 Earnings And Higher Outlook
• Positive Sentiment: Management raised its 2026 outlook to approximately $4.80 in EPS, citing contained medical costs and continued margin improvement. The guidance increase initially prompted a positive market reaction. Centene Lifts 2026 Outlook as Insurer Contains Medical Costs
• Positive Sentiment: Positive momentum and value assessments continue: Zacks included CNC among its Rank #1 Strong Buy momentum stocks, while other coverage described the shares as potentially undervalued following their substantial recovery. Best Momentum Stock to Buy for July 30th
• Neutral Sentiment: Robert W. Baird raised its price target from $46 to $66 but maintained a Neutral rating, implying limited upside from the current trading level. Centene also announced plans to redeem $500 million of its 2027 notes, reducing future debt obligations. Centene Announces Partial Redemption of 2027 Notes
• Negative Sentiment: The main pressure is concern over declining Medicaid enrollment and the sustainability of the earnings recovery. Investors appear to be treating the improved outlook cautiously because lower membership could weigh on future revenue, while higher medical utilization remains a risk. Oscar Health Flashes Buy Signal As Medicaid Weighs On Centene

About Centene

Centene Corporation (NYSE: CNC) is a diversified, multi-national healthcare enterprise that specializes in providing services to government-sponsored and national health programs. The company primarily acts as a managed care organization, delivering healthcare coverage and administering benefits for Medicaid, the Children’s Health Insurance Program (CHIP), Medicare Advantage, and individual marketplace plans. Centene also contracts with federal and state agencies to manage specialty care programs and community-based services for vulnerable populations.

Centene’s offerings extend beyond traditional insurance to include a range of specialty and support services.