Evolent Health initiated with an Overweight at Stephens

Stephens initiated coverage of Evolent Health with an Overweight rating and $40 price target. The company delivers on what the payer market wants – an alternative to traditional prior authorization and an alternative to purchasing services from their closest competitors, the analyst tells investors in a research note. While the next 18 months, should see a debate over whether Evolent’s target of achieving $300M run-rate in adjusted EBITDA by Q4 can be met, ultimately the market should see an increased confidence in achieving that target, Stephens added.