Assessing Molina Healthcare: Insights From 7 Financial Analysts

Providing a diverse range of perspectives from bullish to bearish, 7 analysts have published ratings on Molina Healthcare MOH in the last three months.

The following table provides a quick overview of their recent ratings, highlighting the changing sentiments over the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 1 4 2 0 0
Last 30D 0 1 0 0 0
1M Ago 0 1 0 0 0
2M Ago 0 1 0 0 0
3M Ago 1 1 2 0 0

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $377.14, a high estimate of $406.00, and a low estimate of $331.00. Observing a downward trend, the current average is 0.11% lower than the prior average price target of $377.57.

price target chart

Investigating Analyst Ratings: An Elaborate Study

A clear picture of Molina Healthcare's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Michael Ha Baird Lowers Outperform $331.00 $405.00
Sarah James Cantor Fitzgerald Maintains Overweight $406.00 $406.00
Sarah James Cantor Fitzgerald Maintains Overweight $406.00 $406.00
Sarah James Cantor Fitzgerald Maintains Overweight $406.00 $406.00
Stephen Baxter Wells Fargo Raises Equal-Weight $360.00 $315.00
George Hill Deutsche Bank Lowers Hold $353.00 $354.00
Gary Taylor TD Cowen Raises Buy $378.00 $351.00

Key Insights:

  • Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Molina Healthcare. This offers insight into analysts' perspectives on the current state of the company.
  • Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Molina Healthcare compared to the broader market.
  • Price Targets: Delving into movements, analysts provide estimates for the future value of Molina Healthcare's stock. This analysis reveals shifts in analysts' expectations over time.

To gain a panoramic view of Molina Healthcare's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.

Stay up to date on Molina Healthcare analyst ratings.

About Molina Healthcare

Molina Healthcare Inc offers healthcare plans focused on Medicaid-related solutions for low-income families and individuals. Its health plans are operated by a network of subsidiaries, each of which is licensed as a health maintenance organization (HMO). It has four segments: Medicaid, Medicare, Marketplace and Others. The Medicaid, Medicare, and Marketplace segments represent the government-funded or sponsored programs under which it offers managed healthcare services. The Other segment, which is insignificant to its consolidated results of operations, includes long-term services and supports consultative services in Wisconsin. It generates majority revenue from Medicaid segment.

Molina Healthcare: A Financial Overview

Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.

Revenue Growth: Molina Healthcare displayed positive results in 3 months. As of 30 June, 2024, the company achieved a solid revenue growth rate of approximately 18.65%. This indicates a notable increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Health Care sector.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of 3.05%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): Molina Healthcare's ROE stands out, surpassing industry averages. With an impressive ROE of 6.45%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Molina Healthcare's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 1.96% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.49.

How Are Analyst Ratings Determined?

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.

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