These Analysts Cut Their Forecasts On Elevance Health Following Q3 Earnings

Elevance Health Inc. ELV reported weaker-than-expected earnings for its third quarter on Thursday.

The company posted revenues of $44.7 billion, up 5.3% year-over-year, beating the consensus of $43.33 billion. Profit fell 21% to $1.02 billion, or $4.36 a share. Per-share adjusted earnings reached $8.37, down from $8.99 a year ago, missing the consensus of $9.66.

"We remain confident in the long-term earnings potential of our diverse businesses as we navigate a dynamic operating environment and unprecedented challenges in the Medicaid business. We expect Medicaid rates will align with the needs of our members in time, and are taking proactive actions to enhance operational efficiencies that will ensure we emerge from this period even stronger," said Gail Boudreaux, President & CEO.

Elevance Health expects GAAP net income per diluted share of approximately $26.50 versus the prior guidance of at least $34.05. The company forecasts an adjusted EPS of $33.00, down from the prior guidance of at least $37.20 and the consensus of $37.26.

Elevance Health shares fell 3.4% to trade at $429.30 on Friday.

These analysts made changes to their price targets on Blackstone following earnings announcement.

• Cantor Fitzgerald analyst Sarah James maintained Elevance Health with an Overweight and lowered the price target from $600 to $485.
• RBC Capital analyst Ben Hendrix maintained the stock with an Outperform and lowered the price target from $585 to $478.
• Truist Securities analyst David Macdonald reiterated Elevance Health with a Buy and lowered the price target from $620 to $520.
• UBS analyst A.J. Rice maintained Elevance Health with a Buy and lowered the price target from $605 to $555.

Considering buying ELV stock? Here’s what analysts think: