Bank of America Securities analyst Michael Craig Jones reiterated a Sell rating on Oscar Health today and set a price target of $11.00.
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Michael Craig Jones has given his Sell rating due to a combination of factors related to Oscar Health’s growth and profitability outlook. The company is projecting a sharp revenue increase driven by substantial membership gains and a sizable improvement in its medical loss ratio, but the analyst views these assumptions as overly optimistic given recent performance shortfalls in both MLR and EBITDA.
He also highlights that Oscar appears to have won market share by taking more aggressive pricing positions than peers in an exchange market that is expected to contract. With roughly half of 2026 members expected to be new and policy changes likely reducing the benefit of zero-utilization members, he sees heightened risk that medical costs will run higher than management anticipates. As a result, his financial models assume more modest MLR improvement, leading to earnings estimates below company guidance and supporting an Underperform rating relative to other managed care stocks.
According to TipRanks, Craig Jones is ranked #3516 out of 12061 analysts.