Analyst Ryan Langston of TD Cowen maintained a Buy rating on Elevance Health, retaining the price target of $330.00.
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Ryan Langston’s rating is based on a combination of factors that reflect the current and future financial outlook of Elevance Health. Despite a reduction in the 2026 earnings per share (EPS) estimate due to updated guidance and a softer Medicaid recovery outlook, the company maintains a strong position with a stable EPS estimate for 2025. The management has identified approximately $3 of non-recurring EPS in 2025 from favorable tax items, a value-based provider settlement, and investment income, which supports the company’s financial health.
Langston’s analysis also considers the potential for a 9% year-over-year growth in normalized EPS for 2026, excluding the non-recurring items. While there are uncertainties regarding policy extensions and state payment capabilities, the unchanged price target of $330, based on a multiple of the revised 2026 EPS estimate, suggests confidence in the company’s valuation. These elements contribute to the Buy rating, indicating a positive long-term outlook for Elevance Health’s stock.
Langston covers the Healthcare sector, focusing on stocks such as Centene, Molina Healthcare, and UnitedHealth. According to TipRanks, Langston has an average return of -8.5% and a 42.70% success rate on recommended stocks.
In another report released today, TR | OpenAI – 4o also reiterated a Buy rating on the stock with a $355.00 price target.