Oscar Health's Q2 net loss at $228 mln, adjusted EBITDA misses expectations

Oscar Health

22/07/2025 11:12

Overview

Oscar Health's preliminary Q2 net loss at $228 mln, driven by ACA risk scores

Co revises 2025 guidance; expects $12.0 bln to $12.2 bln revenue

Adjusted EBITDA for Q2 misses analyst expectations, per LSEG data

Outlook

Oscar Health revises 2025 revenue guidance to $12.0 bln-$12.2 bln

Company expects 2025 medical loss ratio of 86.0%-87.0%

Oscar anticipates 2025 operational loss of $200 mln-$300 mln

Result Drivers

HIGHER ACA RISK SCORES - Oscar attributes increased net loss to higher ACA Marketplace risk scores

ELEVATED UTILIZATION - Member utilization remained elevated, impacting financial results

COST TRENDS MODERATION - Cost trends moderated in Q2 compared to Q1, per company statement

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Net Income
-$228 mln
Q2 Adjusted EBITDA
Miss
-$120 mln
$116.90 mln (6 Analysts)

Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 3 "hold" and 5 "sell" or "strong sell"

The average consensus recommendation for the life & health insurance peer group is "buy."

Wall Street's median 12-month price target for Oscar Health Inc is $11.00, about 23.8% below its July 21 closing price of $13.62

The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 17 three months ago

Press Release: ID:nBw9K8yJra

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)