Cantor downgrades Molina to Neutral on Medicaid uncertainty

Cantor Fitzgerald last night downgraded Molina Healthcare (MOH) to Neutral from Overweight with a price target of $210, down from $312. The firm cites a lack of clarity in the Medicaid and exchange markets for the downgrade. Many of the unknowns are industry-wide and outside of Molina’s control, the analyst tells investors in a research note. Cantor says that since the company is heavily influenced by regulatory and policy changes, it has lowered conviction in Molina’s turnaround timeline.