Elevance Health (ELV) AI Stock Analysis

• Market Cap: $69.60B
• Dividend Yield: 1.93%
• Average Volume (3M): 1.83M
• Price to Earnings (P/E): 12.8
• Beta (1Y): 0.25
• Revenue Growth: 11.96%
• EPS Growth: -11.11%
• Country: US
• Employees: 104,200
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Healthcare Plans
• EPS (TTM): 6.03
• Shares Outstanding: 222,238,770
• 10 Day Avg. Volume: 2,027,541
• 30 Day Avg. Volume: 1,828,644
• PEG Ratio: 8.48
• Price to Book (P/B): 2.08
• Price to Sales (P/S): 0.49
• P/FCF Ratio: 18.87
• Enterprise Value/Market Cap: 1.50
• Enterprise Value/Revenue: 0.54
• Enterprise Value/Gross Profit: 0.69
• Enterprise Value/Ebitda: 10.44
• 1Y Price Target: $390.64
• Price Target Upside: 24.73% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 15
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 68 Neutral
• Price Target: $373.00 ▲(19.10% Upside)

Elevance Health's overall stock score reflects strong financial performance and reasonable valuation, offset by operational challenges and cautious earnings guidance. The company's robust revenue growth and stable balance sheet are significant strengths, but pressures in the ACA and Medicaid markets pose risks to future profitability.

Positive Factors

Revenue Growth

Strong revenue growth indicates effective market penetration and successful integration of acquisitions, supporting long-term business expansion.

Segment Expansion

Significant growth in Carelon segments suggests successful diversification and enhanced service offerings, strengthening competitive positioning.

Operating Efficiency

Improved operating efficiency through strategic investments enhances profitability and supports sustainable growth in the long term.

Negative Factors

ACA Market Pressures

Rising costs in the ACA market could compress margins and hinder profitability, challenging the company's ability to maintain competitive pricing.

Medicaid Margin Challenges

Slower Medicaid margin recovery may strain financial performance, requiring strategic adjustments to manage cost pressures effectively.

Membership Decline

Declining membership, particularly in Medicaid, could impact revenue streams and market share, necessitating efforts to stabilize enrollment.

Elevance Health Business Overview & Revenue Model

Company Description

Elevance Health, formerly known as Anthem, Inc., is a leading health benefits company based in the United States. The company operates in the healthcare sector, primarily focusing on providing a wide range of health insurance products and services. Elevance Health serves millions of members across various segments, including individual, group, and government-sponsored health plans. Its core offerings include medical, dental, vision, and pharmacy benefit management services, as well as specialized solutions such as behavioral health and wellness programs.

How the Company Makes Money

Elevance Health generates revenue primarily through premiums received from its members for health insurance coverage. The company's revenue model is built on various key streams, including individual and group health plans, Medicaid and Medicare programs, and specialty services such as pharmacy benefit management. Additionally, Elevance Health earns income from government contracts and partnerships, especially in the Medicare Advantage and Medicaid markets. The company's strategic collaborations with healthcare providers and technology firms also enhance its service offerings and operational efficiencies, contributing to its overall earnings. Furthermore, Elevance Health invests in data analytics and innovative healthcare solutions, which help reduce costs and improve care quality, ultimately driving profitability.

Elevance Health Financial Statement Overview

Summary

Elevance Health demonstrates strong revenue growth and a stable balance sheet with low leverage. However, the decline in net profit margin and free cash flow growth indicates potential areas for improvement. The company maintains a solid capital structure, but operational efficiency and cash flow management could be enhanced to sustain long-term growth.

Income Statement

Elevance Health shows a consistent revenue growth trend with a TTM growth rate of 2.94%. The gross profit margin remains strong at 77.66% for TTM, indicating efficient cost management. However, the net profit margin has slightly decreased to 2.84% in TTM, reflecting potential cost pressures or competitive pricing. EBIT and EBITDA margins have also seen a slight decline in TTM, suggesting some operational challenges.

Balance Sheet

The company's balance sheet is robust with a low debt-to-equity ratio of 0.02 in TTM, indicating strong financial stability and low leverage. Return on equity is healthy at 12.91%, showcasing effective use of equity to generate profits. The equity ratio is solid, reflecting a strong capital structure.

Cash Flow

Elevance Health's cash flow statement shows a decline in free cash flow growth by 29.42% in TTM, which could be a concern for liquidity. The operating cash flow to net income ratio is 0.12, indicating moderate cash generation from operations. The free cash flow to net income ratio remains strong at 76.69%, suggesting efficient cash conversion.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	194.82B	176.81B	171.34B	156.59B	138.64B	121.87B
Gross Profit	151.30B	176.81B	171.34B	156.59B	138.64B	121.87B
EBITDA	10.02B	10.48B	10.49B	10.13B	10.10B	8.18B
Net Income	5.53B	5.98B	5.99B	5.89B	6.16B	4.57B
Balance Sheet
Total Assets	122.75B	116.89B	108.93B	102.75B	97.46B	86.61B
Cash, Cash Equivalents and Short-Term Investments	8.71B	33.49B	36.14B	33.34B	31.15B	29.17B
Total Debt	929.00M	31.23B	25.12B	24.11B	23.03B	20.04B
Total Liabilities	78.67B	75.46B	69.52B	66.42B	61.33B	53.42B
Stockholders Equity	43.95B	41.31B	39.31B	36.24B	36.06B	33.20B
Cash Flow
Free Cash Flow	3.77B	4.55B	6.76B	7.25B	7.28B	9.67B
Operating Cash Flow	4.91B	5.81B	8.06B	8.40B	8.36B	10.69B
Investing Cash Flow	-3.45B	-5.17B	-5.57B	-4.56B	-9.64B	-7.32B
Financing Cash Flow	-566.00M	1.19B	-3.35B	-1.32B	423.00M	-2.57B

Elevance Health Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 313.19
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ELV, the sentiment is Negative. The current price of 313.19 is below the 20-day moving average (MA) of 344.39, below the 50-day MA of 328.57, and below the 200-day MA of 364.03, indicating a bearish trend. The MACD of -2.28 indicates Positive momentum. The RSI at 30.15 is Neutral, neither overbought nor oversold. The STOCH value of 6.37 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ELV.

Elevance Health Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UNH	76 Outperform	$309.40B	17.82	18.48%	2.52%	10.48%	24.25%
CVS	74 Outperform	$99.57B	204.96	0.63%	3.39%	6.71%	-90.11%
HUM	71 Outperform	$33.67B	21.48	9.03%	1.21%	9.88%	-7.25%
ELV	68 Neutral	$69.60B	12.81	12.61%	1.93%	11.96%	-11.11%
CNC	61 Neutral	$16.96B	―	-21.93%	―	14.92%	-286.72%
MOH	61 Neutral	$7.56B	9.11	19.71%	―	13.71%	-18.02%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Elevance Health Corporate Events

Elevance Health Reports Strong Q3 2025 Revenue Growth

Elevance Health, Inc. is a healthcare company that provides a diverse range of medical, pharmacy, behavioral, clinical, home health, and complex care solutions, serving over 109 million consumers. The company operates primarily in the health insurance sector, focusing on improving health outcomes through value-based care partnerships and digital solutions.

Elevance Health Issues New Series of Notes

Elevance Health has announced the issuance of several series of notes maturing between 2028 and 2055, with specific redemption terms and conditions. This strategic financial move allows the company flexibility in managing its debt obligations and may impact its financial positioning and stakeholder relations.

The most recent analyst rating on (ELV) stock is a Buy with a $350.00 price target. To see the full list of analyst forecasts on Elevance Health stock, see the ELV Stock Forecast page.

Elevance Health Reaffirms 2025 Earnings Guidance

Elevance Health, Inc. announced that its officers will engage with investors to reaffirm the company’s earnings guidance for the full year 2025, projecting approximately $24.10 per diluted share, including net unfavorable items, and $30.00 per diluted share when adjusted. The company also maintains its guidance for a benefit expense ratio of about 90.0% for 2025, reflecting its current market and operational assessments. These projections highlight Elevance Health’s strategic positioning and operational expectations, although actual results may vary due to changing business factors.

The most recent analyst rating on (ELV) stock is a Buy with a $355.00 price target. To see the full list of analyst forecasts on Elevance Health stock, see the ELV Stock Forecast page.