Mizuho Securities analyst Ann Hynes has maintained their bullish stance on ELV stock, giving a Buy rating yesterday.
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Ann Hynes has given her Buy rating due to a combination of factors influencing Elevance Health’s performance. Despite the recent decline in stock price following competitor conference comments, the company has maintained its 2025 adjusted EPS and MLR guidance. The commercial and Medicare Advantage businesses are performing as expected, which is a positive sign given the challenges faced in the previous quarter.
However, the Medicaid segment is experiencing cost pressures due to disenrollment of low acuity members, impacting margins negatively. On a positive note, the HIX business shows some improvement, and Carelon is projected to grow significantly in 2025. While there are challenges, such as the expected decline in Medicare Advantage membership in 2026, the overall stability in other business lines supports the Buy rating. The analyst remains comfortable with a below-consensus 2026 adjusted EPS estimate, reflecting the risks while maintaining an optimistic outlook.
According to TipRanks, Hynes is a 5-star analyst with an average return of 9.3% and a 61.29% success rate. Hynes covers the Healthcare sector, focusing on stocks such as Encompass Health, Humana, and UnitedHealth.
In another report released yesterday, Barclays also maintained a Buy rating on the stock with a $373.00 price target.