Elevance Health slips on Medicaid concerns

Elvila SA

19/04/2023 17:05

** Shares of health insurer Elevance Health Inc  ELV.N  down
3.7% at $465.10
    **  Elevance's medical costs in the first quarter beat
analysts' estimates, mainly due to a delay in paying out claims,
but were in-line with estimates after discounting the delay,
analysts say 
    ** "We suspect Elevance shares are declining on near-term
headwinds that may emerge related to Medicaid redeterminations
later this year and Medicare Advantage primarily in 2024,"
Morningstar analyst Julie Utterback says
    **  Excluding items, Elevance earned $9.46 per share, above
Refinitiv IBES estimates of $9.26 
    ** On an adjusted basis, company now expects annual profit
of more than $32.70 per share, compared with its previous
forecast of over $32.60 per share 
    ** Among rivals that are down, United Healthcare down 2.4%,
Centene 2.2% and Humana 3.8%
    ** YTD, stock down 9.2%

 (Reporting by Nandhini Srinivasan in Bengaluru)
 ((nandhini.srinivasan@thomsonreuters.com))