Agilon Health price target lowered to $11 from $23 at RBC Capital

RBC Capital lowered the firm’s price target on Agilon Health to $11 from $23 but keeps an Outperform rating on the shares. The analyst cites the company’s 2023 guidance cut and below-consensus outlook for 2024 issued last week, noting that while the downward revision is not surprising, the magnitude is larger than expected. Some margin compression is market-driven, but the rest is more Agilon-specific such as data gaps and PCP performance variability, both of which the company expects to improve upon in FY24 and beyond, the firm tells investors in a research note.