Bernstein analyst Lance Wilkes lowered the firm’s price target on Humana to $579 from $599 and keeps a Market Perform rating on the shares. The analyst updated outlooks in healthcare services to reflect a positive view on managed care originations based on modestly improved forward-looking fundamentals, reduced expectations, and lower valuations. The firm is more cautious on hospitals given volume challenges and have an improved outlook on pharmacy benefit managers, but haven’t changed its overall stance on either given current valuations. Investors are staying on the sidelines in advance of the 2024 election, which presents an opportunity, the analyst tells investors in a research note. Bernstein sees relative valuations for MCOs being attractive and likely to expand during 2024. Its top picks are Elevance Health (ELV), Centene (CNC) and UnitedHealth (UNH).
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
See the top stocks recommended by analysts >>
Read More on HUM:
- Humana price target raised to $586 from $580 at Jefferies
- UnitedHealth price target raised to $531 from $529 at Jefferies
- Humana, Denver Health enter agreement for Medicare Advantage members
- GoodRx deals may add pressure for pacts on other large PBMs, says TD Cowen
- Humana reaffirms FY23 view of at least $28.25 in adjusted EPS, consensus $28.29