EPS Guidance ReductionMOH significantly missed 3Q25 EPS and cut 2025 guidance by ~26%.
Medicaid Margin ChallengesMargin recovery in Medicaid is expected to be on a more protracted timeline due to redeterminations and impacts from the OBBB.
State Budget PressuresSeveral state budgets, including those of California, Illinois, New York, and Washington, are under pressure, which reduces confidence in the ability to supply adequate rates.