Elevance Health, Inc., together with its subsidiaries, operates as a health benefits company in the United States. The company operates through four segments: Health Benefits, CarelonRx, Carelon Services, and Corporate & Other. It offers a variety of health plans and services to program members; health products; an array of fee-based administrative managed care services; and specialty and other insurance products and services, such as stop loss, dental, vision, life, disability, and supplemental health insurance benefits. The company operates in the pharmacy services business; and markets and offers pharmacy services, including pharmacy benefit management, as well as home delivery and specialty pharmacies, claims adjudication, formulary management, pharmacy networks, rebate administration, a prescription drug database, and member services. In addition, it provides healthcare-related services and capabilities, including utilization management, behavioral health, integrated care delivery, palliative care, payment integrity services, subrogation services, and health and wellness programs, as well as services related to data management, information technology, and business operations. Further, the company is involved in the National Government Services business. The company provides its services under the Anthem Blue Cross and Blue Shield, Wellpoint, and Carelon brand names. The company was formerly known as Anthem, Inc. and changed its name to Elevance Health, Inc. in June 2022. Elevance Health, Inc. was incorporated in 2001 and is headquartered in Indianapolis, Indiana.

Elevance Health, Inc.

Сильный индекс, незначительно упал. Быки в растерянности.

Strong index, slightly down. The bulls are confused.

Средний индекс, незначительно вырос. Рынок на стороне быков.

Medium index, slightly up. The market is on the bulls' side.

Слабый индекс, незначительно вырос

Centene Corporation CNC is reshaping its Medicare Advantage (“MA”) business by simplifying its plan footprint and placing greater emphasis on dual-eligible members. The strategy aims to improve the quality of its MA portfolio while better aligning resources with markets and member groups where CNC has an established healthcare presence.
The broader Medicare segment also showed improving economics. The segment’s health benefits ratio improved to 89.5% in the second quarter of 2026 from 90.9% a year ago, reflecting fundamental outperformance in both Medicare Advantage and PDP, along with favorable Medicare programmatic items and the absence of a 2026 premium deficiency reserve for MA. MA, which accounts for more than 40% of Medicare segment revenues in the second quarter of 2026, is moving closer to breakeven for full-year 2026. D-SNP members now account for about 40% of CNC’s MA portfolio.
For 2027, Centene plans to further simplify its MA footprint and focus its benefits on dual-eligible members, using its Medicaid experience to support more integrated care. This targeted approach could also reduce complexity and improve operating efficiency across the business.
The margin recovery path still depends on medical-cost control and Stars execution. Medical costs remain elevated versus historical levels, while changes in Stars methodology and higher cut points could pressure reimbursement. Even so, portfolio optimization, SG&A management and a greater focus on duals could support CNC’s target of achieving breakeven or better Medicare Advantage results in 2027, followed by further margin improvement.
How Are Competitors Faring?
Some of CNC’s major competitors in the healthcare service provider space are UnitedHealth Group Incorporated UNH and Elevance Health, Inc. ELV.
UnitedHealth Group is prioritizing Medicare Advantage margin recovery over membership growth, using repricing, benefit redesign and market exits to counter elevated medical costs and funding pressure. UNH’s medical care ratio improved to 86.7% in the second quarter of 2026 from 89.4% a year ago.
Elevance Health is taking a more selective approach to Medicare Advantage, accepting membership declines while repositioning the business for sustainable returns. Higher medical costs remain a pressure point, though pricing discipline and Carelon-led cost management could strengthen future profitability.
Centene’s Price Performance, Valuation & Estimates
Shares of CNC have surged 59% in the year-to-date period compared with the industry’s growth of 20.3%.
From a valuation standpoint, Centene trades at a forward price-to-earnings ratio of 12.57, below the industry average of 15.80. CNC carries a Value Score of A.
The Zacks Consensus Estimate for Centene’s 2026 earnings is pegged at $4.89 per share, implying 135.1% growth from the year-ago period.
CNC stock currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
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Can Centene's Medicare Advantage Strategy Unlock Better Margins?

UnitedHealth Group Incorporated’s UNH Optum recently sold an interest in its Florida WellMed clinics to private equity firm TPG and entered a strategic partnership with the firm, according to Bloomberg. The partnership is expected to strengthen clinic operations through added support, technology investments, tools and operating capabilities. The clinics under the deal will remain in Optum’s network and continue serving patients.
Management pointed out that the goal was not to raise cash; CFO Wayne DeVeydt said UnitedHealth wanted a partner that could work with the company locally. TPG’s involvement is also expected to help the Florida business grow faster while UnitedHealth continues its broader turnaround over time. Optum acquired WellMed back in 2011.
Florida remains an active growth market, with UnitedHealth opening about 15 clinics there each year. TPG adds local focus and investment capacity at a time when Optum is trying to improve clinic performance and expand. The partnership therefore links two priorities: repairing profitability and supporting growth without slowing the wider turnaround currently underway across UnitedHealth. TPG also acquired Optum UK, another UnitedHealth subsidiary, earlier in 2026.
Optum Health is still recovering from a difficult 2025, when higher medical costs and federal payment pressure pushed operating margins below zero. It generated $102 billion of revenue in 2025, down 3% year over year. Management now expects margins of about 2% in 2026, followed by roughly 4% in 2027 and 6% in 2028, backed by quicker program rollouts.
UNH is actively focusing on lowering its medical care ratio (MCR) through cost management, pricing discipline and benefit design changes. Its second quarter MCR was 86.7%, which improved 270 bps from the year-ago period.
How are Peers Placed?
Peers like Humana Inc. HUM and Elevance Health, Inc. ELV are both working to improve medical-cost performance, but their second-quarter 2026 ratios did not improve year over year. Humana’s Insurance segment benefit ratio rose to 91.2% from 89.9% in the second quarter of 2025, a 130-basis-point deterioration, though it was in line with management’s guidance. Elevance’s benefit expense ratio increased to 89.7% from 88.9%, worsening 80 basis points as elevated medical costs in its government businesses offset better Individual ACA performance. Both companies are emphasizing pricing, benefit design and medical-cost management, but unlike UnitedHealth’s second-quarter improvement, their reported ratios still show meaningful year-over-year pressure on underwriting profitability.
UnitedHealth’s Price Performance, Valuation and Estimates
Shares of UNH have gained 19.1% in the year-to-date period compared with the industry’s growth of 20.3%.
From a valuation standpoint, UnitedHealth trades at a forward price-to-earnings ratio of 18.11, up from the industry average of 15.81. UNH carries a Value Score of B.
The Zacks Consensus Estimate for UnitedHealth’s 2026 earnings is pegged at $19.82 per share, implying a 21.2% improvement from the year-ago period.
The stock currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
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UnitedHealth Reshapes Florida WellMed Operations With TPG Deal

The S&P 500 Index ($SPX) (SPY) is down -0.25% today, the Dow Jones Industrial Average ($DOWI) (DIA) is down -0.69%, and the Nasdaq 100 Index ($IUXX) (QQQ) is up +0.12%. E-mini S&P futures (ESU26) are down -0.92%, and September E-mini Nasdaq futures (NQU26) are up +0.11%.
Stock indexes are mostly lower today, with the Dow Jones Industrial Average falling to a 5-week low. The broader market is under pressure for a second day amid mounting inflation risks. WTI crude oil prices are up more than +2% today to a 3.25-month high amid escalating hostilities in the Middle East, heightening concerns about energy flows through the Strait of Hormuz. The surge in energy prices is boosting inflation expectations and pushing bond yields higher. The 10-year T-note yield rose to 4.82% today, the highest in 2.75 years. The higher bond yields are weighing on stocks.
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On the positive side, strength in chipmakers and AI-infrastructure stocks is supporting the Nasdaq 100 index. Energy producers are also climbing today on the strength in crude oil prices.
Also, an escalating trade war between the US and Canada is weighing on market sentiment. On Tuesday, Canada imposed tariffs of 15% to 50% on hundreds of US goods in retaliation for the US action last month to impose 50% tariffs on $20 billion of imports from Canada. The US responded by moving to block imports of some Canadian products and slapping new tariffs on others, as well as seeking to bar Canadian companies from selling to US government contractors.
US MBA mortgage applications fell -2.7% in the week ended September 4, with the purchase mortgage sub-index down -0.2% and the refinancing mortgage sub-index down -6.2%. The average 30-year fixed-rate mortgage rose +6 bp to a 14-month high of 6.85% from 6.79% in the prior week.
Oct WTI crude oil prices (CLV26) are up more than +2% today at a 3.25-month high due to the latest escalation of hostilities in the Middle East. The US destroyed five Iranian tankers carrying crude in response to two attempts by Iran to hit US Navy ships with ballistic missiles. Iran responded by firing missiles at a US air base in Jordan and warning ships in the Persian Gulf that they would be attacked.
The markets are discounting a 64% chance of a +25 bp rate hike at the next FOMC meeting on September 15-16.
Overseas stock markets are mixed today. The Euro Stoxx 50 fell to a 5-week low and is down -1.61%. China's Shanghai Composite closed up +0.28%. Japan's Nikkei-225 Stock Average closed down -0.19%.
Interest Rates
December 10-year T-notes (ZNZ6) are down by -3 ticks today. The 10-year T-note yield is up +0.8 bp to 4.810%. T-notes fell to a 2.75-year nearest-futures low today, and the 10-year T-note yield rose to a 2.75-year high of 4.816%. T-notes are under pressure from higher crude oil prices, which are boosting inflation expectations, as WTI crude oil is up more than +2% to a 3.25-month high. Supply pressures are also weighing on T-note prices as the Treasury will auction $39 billion in 10-year T-notes later today.
European government bond yields are moving higher today. The 10-year German bund yield climbed to a new 15-year high of 3.423% and is up +5.0 bp to 3.416%. The 10-year UK gilt yield is up +5.1 bp to 5.225%.
French July manufacturing production unexpectedly fell -0.8% m/m, weaker than expectations of a +0.4% m/m increase.
Markets are discounting a 100% chance of a +25 bp ECB rate hike at its next policy meeting on September 10.
US Stock Movers
Weakness in health insurance stocks is weighing on the broader market today. UnitedHealth Group (UNH)is down more than -5% to lead losers in the Dow Jones Industrials, and Centene (CNC) is down more than -4%. Also, Humana (HUM) and Molina Healthcare (MOH) are down more than -3%, and CVS Health Corp (CVS) and Elevance Health (ELV) are down more than -2%. In addition, Cigna Group (CI) is down more than -1%.
Chipmakers and AI-infrastructure stocks are moving higher today, a positive factor for the overall market. Marvell Technology (MRVL) is up more than +5% to lead gainers in the S&P 500 and Nasdaq 100. Also, ARM Holdings (ARM) is up more than +4%, and Advanced Micro Devices (AMD), Micron Technology (MU), and SanDisk (SNDK) are up more than +3%., In addition, Western Digital (WDC) is up more than +2%, and Qualcomm (QCOM) is up more than +1%.
Energy producers and service providers are moving higher today, with WTI crude up more than +2% at a 3.25-month high. APA Corp (APA), Baker Hughes (BKR), Diamondback Energy (FANG), ExxonMobil Holdings (XOM), Halliburton (HAL), Marathon Petroleum (MPC), Occidental Petroleum (OXY), and SLB Ltd (SLB) are up more than +2%, and Chevron (CVX) is up more than +2% to lead gainers in the Dow Jones Industrials. Also, ConocoPhillips (COP) and Devon Energy (DVN) are up more than +1%.
ServiceTitan (TTAN) is down more than -19% after reporting a Q2 EPS loss of -26 cents, a bigger loss than the consensus of -25 cents.
Casy’s General Stores (CASY) is down more than -17% to lead losers in the S&P 500 after reporting a Q1 gross margin of 21.8%, below the consensus of 22.3%.
Chewy (CHWY) is down more than -7% after forecasting a sequential decline in Q3 gross margin, due to a timing shift as certain rebate benefits shifted from the second half of the year into Q2.
Smithfield Foods (SFD) is down more than -6% after cutting its Q3 earnings outlook, citing “continued compression in the industry fresh pork market spread and lower hog prices.”
Booking Holdings (BKNG) is down more than -4% to lead losers in the Nasdaq 100 after losing an EU court fight over its takeover of Sweden’s Etraveli Group, when a judge said regulators were right to conclude that the planned buyout threatened fair competition.
Dyne Therapeutics (DYN) is down more than -3% after JPMorgan Chase downgraded the stock to underweight from neutral with a price target of $10.
Chime Financial (CHYM) is up more than +7% after boosting its full-year revenue forecast to $2.76 billion to $2.77 billion from a previous forecast of $2.73 billion to $2.75 billion, stronger than the consensus of $2.74 billion.
Meta Platforms (META) is up more than +5% to lead gainers in the S&P 500 and Nasdaq 100 after analysts reported positive reviews of the company’s debut of Muse, an AI assistant.
Dell Technologies (DELL) is up more than +5% after Evercore ISI raised its price target on the stock to $650 from $575.
Earnings Reports (9/9/2026)
AeroVironment Inc (AVAV), Chewy Inc (CHWY), Cooper Cos Inc/The (COO), Core & Main Inc (CNM), SailPoint Inc (SAIL), Sunbelt Rentals Holdings Inc (SUNB).
On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.

Stocks Pressured as Inflation Fears Boost Bond Yields

Shares of UnitedHealth Group Incorporated UNH have climbed 38.8% over the past six months, outpacing the industry’s 36.8% gain and the S&P 500’s 12% rise. The rebound reflects improving confidence that UnitedHealth is moving past medical-cost pressures and execution setbacks that weighed heavily on the stock through 2025 and early 2026.
Among major peers, Elevance Health, Inc. ELV has gained 44.8%, while Humana Inc. HUM has surged 124.9% over the same period.
6-Month Price Performance – UNH, ELV, HUM, Industry & S&P 500
What is Driving UNH’s Recovery?
Medical-cost trends have improved, suggesting pricing, benefit design and cost controls are working. In the first half of 2026, UnitedHealth’s medical care ratio decreased to 85.3% from 87.1% a year earlier. Medical costs also declined 2% to $148.8 billion. The focus now is whether the company can sustain that progress and translate lower cost pressure into stronger earnings through 2027 and beyond.
UnitedHealth is also reducing exposure to weaker-return businesses. The company is pulling back from selected Medicare Advantage and Optum Health markets, which should help limit losses, simplify operations and redirect capital toward areas with better return potential. A leaner footprint could improve profitability and execution.
Optum remains an important source of diversification beyond insurance. Its move toward a more transparent, fee-based pharmacy benefit model could strengthen its competitive position while addressing regulatory concerns around traditional PBM practices. If execution is disciplined, the shift may enhance client appeal without weakening the economics of the business.
The Medicare Advantage backdrop has also improved. In April, CMS finalized an average 2.48% increase in 2027 Medicare Advantage payments, well above the previously proposed 0.09% increase. The rate outlook eases reimbursement concerns and gives insurers greater room to manage benefits, pricing and margins.
Capital returns have also supported sentiment. Through mid-July 2026, UnitedHealth had repurchased $4 billion of stock and remained on track to buy back at least $5 billion for the year. It also paid $4.1 billion in dividends during the first half, underscoring confidence in cash generation.
Beyond the near-term recovery, UnitedHealth still benefits from scale, a broad healthcare platform and a strong position across insurance, pharmacy services and care delivery. Aging demographics and rising healthcare demand continue to provide long-term support.
Prior Authorization Cuts: Opportunity With Some Risk
UnitedHealthcare is removing 30% of its remaining prior authorization requirements, including approvals tied to surgeries, diagnostic tests and therapies. The change could improve member satisfaction, ease provider frustration and reduce administrative work across its health plans. Faster access to care may also help retention and strengthen UnitedHealthcare’s competitive standing.
There is a trade-off, however. Fewer authorization checks could increase healthcare utilization and lift medical costs. The move may lower administrative expenses and reduce regulatory scrutiny, but UNH will still need pricing, care management and benefit design to keep any rise in utilization from weighing on margins.
Estimates Point to a Stronger Earnings Path
The Zacks Consensus Estimate for 2026 EPS is pegged at $19.82, indicating 21.2% year-over-year growth. The estimate has received two upward revisions over the past month and no downward changes. Revenues are projected at $446.78 billion, down 0.2%, reflecting UnitedHealth’s greater focus on profitability rather than pure top-line expansion.
For 2027, EPS is expected to rise 13.7% to $22.54. The estimate has seen three upward revisions over the past month, with no downward moves. Revenue is projected to increase 2.6% to $458.33 billion.
UnitedHealth has also topped earnings estimates in each of the past four quarters, delivering an average surprise of 12.1%.
UnitedHealth Price, Consensus and EPS Surprise
Is UNH Still Reasonably Valued?
The rebound has lifted UnitedHealth’s valuation above the industry average. The stock trades at 18.51X forward earnings, compared with 16.13X for the industry. Still, the multiple remains below UNH’s five-year median of 19.11X, suggesting valuation has not moved beyond its historical range. The stock currently carries a Value Score of B.
For comparison, Elevance now trades at 14.51X forward earnings, while Humana trades at 30.63X.
Wall Street sentiment also remains supportive. Several analysts have recently raised price targets or upgraded the stock. UNH still trades below the average analyst target of $481.52, implying about 20.5% upside. The target range of $380 to $529 shows that views remain divided, but the balance of expectations is still constructive.
How to Play UNH Shares
UnitedHealth’s recovery is gaining momentum as medical-cost trends improve and management sharpens its focus on more profitable businesses. Favorable Medicare Advantage reimbursement, strong capital returns and Optum’s diversification add further support. The prior-authorization changes could strengthen member and provider relationships, though higher utilization remains a risk.
Valuation has risen, but the stock still trades below its five-year median multiple and Wall Street’s average price target. With earnings estimates moving higher and operating trends improving, UNH appears to have further upside despite its recent rally. The stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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UnitedHealth Stock Rises 39% in 6 Months: Should Investors Still Buy?

UnitedHealth Group, Inc. UNH appears to be making meaningful progress toward recovering from the turbulence that weighed on its performance in 2025. After facing elevated medical costs, unfavorable utilization trends and pressure across government-sponsored businesses, the healthcare giant has entered 2026 with a stronger operating footing. In the first half of 2026, its total revenues rose 1.2% year over year along with 20.5% growth in adjusted earnings per share (EPS).
A key catalyst has been better control over medical expenses. UNH’s medical care ratio declined to 86.7% in the second quarter from 89.4% a year earlier, aided by improved pricing, benefit-design changes, member mix, medical-cost management and favorable prior-period reserve development. The improvement helped UnitedHealthcare’s operating margin expand to 4.6% from 2.4% in the prior-year quarter. Meanwhile, membership declined, particularly in Medicare Advantage, as UNH is currently prioritizing profitable growth over enrollment expansion, a strategy that could support healthier margins over time.
Optum is also contributing to the recovery. The segment benefited from improved operational execution, with operating income rising 29% year over year to $4 billion in the second quarter. Investments in technology, artificial intelligence and care-delivery capabilities are aimed at improving productivity and clinical efficiency, potentially creating additional opportunities for margin expansion.
The stronger results encouraged UnitedHealth to raise its 2026 adjusted EPS outlook to $19.50-$20. Still, elevated medical-cost trends, pressure in Medicaid and commercial benefits and membership declines remain risks. Therefore, sustained medical-cost discipline and continued improvement at Optum will be crucial for making the recovery durable.
How Are Competitors Faring?
Some of UNH’s major competitors in the medical space are Humana Inc. HUM and Elevance Health, Inc. ELV.
Humana is focusing on pricing, network management and operating efficiencies to restore margins while navigating elevated medical costs and utilization across its Medicare Advantage business. In the first half of 2026, HUM’s adjusted revenues increased 24.9% year over year and adjusted EPS grew 0.3%.
Elevance is prioritizing medical cost management, operating efficiency and Carelon’s expansion while dealing with elevated medical costs and membership declines in government businesses. In the first half of 2026, operating revenues increased 1.2% year over year, while adjusted EPS declined 3.7%.
UnitedHealth’s Price Performance, Valuation & Estimates
Shares of UNH have gained 28.7% in the past year compared with the industry’s growth of 24%.
Image Source: Zacks Investment Research
From a valuation standpoint, UnitedHealth trades at a forward price-to-earnings ratio of 18.46, above the industry average of 15.99. UNH carries a Value Score of B.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for UnitedHealth’s 2026 earnings is pegged at $19.82 per share, implying 21.2% growth from the year-ago period.
Image Source: Zacks Investment Research
UNH stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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Is UnitedHealth Finally Turning the Corner After a Tough 2025?

Centene Corporation CNC shares have jumped 117% over the past year, far ahead of the industry’s 22.3% growth. The S&P 500 has gained 20.6% over the same period, while peers UnitedHealth Group Incorporated UNH and Elevance Health, Inc. ELV have returned 28.8% and 25.4%, respectively.
Much of Centene’s rally reflects a recovery from a depressed level. The stock came under heavy pressure after the company withdrew its 2025 earnings guidance in July 2025. Management found that Marketplace members were considerably sicker than expected, which reduced projected risk-adjustment revenues and hurt earnings expectations. Rising medical costs in both Marketplace and Medicaid plans added to the concern and weakened confidence in the company’s outlook.
The picture has improved since then. Profitability stabilized faster than investors expected, corrective pricing in the Marketplace business began to take hold, and Centene reduced exposure to plans that were not priced adequately. Management also raised its outlook several times. As a result, investors have moved from fearing prolonged losses and uncontrolled medical costs to expecting better margins, firmer pricing and more predictable earnings.
One-Year Price Performance: CNC, UNH, ELV, Industry & S&P 500
Operating Trends Point to a Recovery
Centene’s second-quarter health benefits ratio (HBR) improved 340 basis points year over year to 89.6%. Premium revenues increased 4.4% to $43.6 billion, supported by higher premium yields, growth in the prescription drug plan business and rate increases across Medicaid and Marketplace products.
The balance sheet also strengthened. Long-term debt fell 7.6% from year-end 2025 to $16 billion, while cash and cash equivalents rose 35% to $24.2 billion. Net cash provided by operations reached $8 billion in the first half of 2026, up 142.4% from the prior-year period, although favorable timing contributed to the increase.
Management raised its 2026 premium and service revenue guidance to $173-$177 billion from $171-$175 billion. The company now expects a HBR of 90.5-91.3% for 2026, compared with 91.9% in 2025 and 88.3% in 2024. The projected improvement suggests that recent pricing and cost actions are starting to support underwriting results.
Earnings Expectations Have Turned Sharply Higher
The Zacks Consensus Estimate calls for 2026 earnings of $4.89 per share, up 135.1% from the previous year. Analysts expect earnings to rise another 9.2% in 2027 to $5.34 per share.
Revenue growth is expected to remain modest. The consensus estimate points to revenues of $196.29 billion in 2026, up 0.8%, followed by a slight decline to $192.58 billion in 2027. This outlook shows that the recovery is centered more on margins and execution than on rapid sales growth.
Centene has also topped earnings estimates in each of the past four quarters, producing an average surprise of 151.3%.
Centene Corporation Price, Consensus and EPS Surprise
CNC’s Valuation
The rebound has lifted Centene’s valuation. CNC now trades at 12.56X forward earnings, above its five-year median of 11.31X. Even so, the multiple remains below the industry average of 15.69X. It also trails UnitedHealth’s 18.31X and Elevance Health’s 14.11X. Centene carries a Value Score of A, indicating that the stock still offers a reasonable mix of valuation and earnings potential.
Centene currently trades below the average analyst price target of $71.94, suggesting an upside of 11.8%. The range is wide, with the high target at $85 and the low at $56, reflecting different risk views.
Risks Have Eased, but They Have Not Disappeared
Centene remains dependent on government-sponsored healthcare programs. Its results can therefore shift with changes in federal and state funding, reimbursement rates and regulation across Medicaid, Medicare and Affordable Care Act Marketplace plans.
Expenses deserve attention. Total operating costs rose 5.5% in 2023, 5.8% in 2024 and 26.6% in 2025. They increased another 6.6% year over year in the first half of 2026. Pricing actions and tighter cost controls should help, but elevated medical expenses and continued investment could slow the pace of margin gains.
Capital efficiency remains another weak spot. Centene’s trailing 12-month return on capital is 6.8%, below the industry average of 9.9%, showing room for better capital efficiency.
Why Centene’s Recovery Could Continue
Several trends support the longer-term outlook. An aging population and rising chronic-disease prevalence should support long-term demand across Centene’s health plans.
Centene is also reshaping its membership mix. Total membership declined to 25.9 million at the end of the second quarter as the company reshaped its book, but prescription drug plan membership rose 12.2% year over year, while Individual and Commercial Group membership rose 10.5%, showing growth in selected areas of the portfolio.
The company is strengthening fraud prevention and payment integrity through AI-based analytics that can flag unusual claims earlier and improve oversight. It is also using advanced analytics in medical-cost forecasting, pricing and operating decisions.
Centene is working with states to secure rates that better match member needs, utilization trends and the risk profile of the population after eligibility redeterminations. These steps, together with firmer Marketplace pricing and tighter cost control, give the company a clearer path to steadier margins.
Should Investors Buy CNC Stock Now?
Centene’s sharp rebound increasingly has fundamental support rather than relying on momentum alone. Corrective Marketplace pricing, better Medicaid rate alignment, tighter cost controls and stronger PDP growth are helping margins recover, while repeated guidance increases point to better earnings visibility.
Risks tied to medical costs, regulation and government funding remain, and the stock is no longer as cheap as it was a year ago. Still, earnings estimates are moving higher, underwriting trends are improving, and valuation remains below key peers. With these factors supporting further upside, Centene currently sports a Zacks Rank #1 (Strong Buy), making the stock worth considering for investors. You can see the complete list of today’s Zacks #1 Rank stocks here.
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From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
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This article originally published on Zacks Investment Research (zacks.com).

Centene Stock Roars Back 117% in a Year: Is CNC Still a Buy?

The S&P 500 Index ($SPX) (SPY) closed down by -0.71% on Tuesday, the Dow Jones Industrial Average ($DOWI) (DIA) closed down by -0.79%, and the Nasdaq 100 Index ($IUXX) (QQQ) closed down by -1.29%. E-mini S&P futures (ESU26) fell -0.71%, and September E-mini Nasdaq futures (NQU26) fell -1.25%.
Stock indices retreated on Tuesday, with the S&P 500 falling to a 4-week low, the Dow Jones Industrials sliding to a 1-month low, and the Nasdaq 100 posting a 1-week low. Stocks fell as surging oil prices boosted inflation expectations and bond yields and ramped up expectations that global central banks will keep raising interest rates. Investors are demanding higher yields to hold bonds as concerns intensify over persistent inflation, government spending, and surging corporate borrowing to finance the AI buildout. The higher bond yields sparked a retreat in chipmakers and AI-infrastructure stocks on Tuesday.
Join 200K+ Subscribers: Find out why the midday Barchart Brief newsletter is a must-read for thousands daily.
Tuesday’s global bond sell-off pushed bond yields to multi-year highs and undercut stocks. The UK 10-year Gilt yield soared to an 18-year high of 5.25%, the German 10-year Bund yield jumped to a 15-year high of 3.36%, the Japanese 10-year JGB bond yield surged to a 30-year high of 3.00%, and the 10-year T-note yield rose to a 1.75-year high of 4.80%.
Stocks maintained their losses on Tuesday amid weaker-than-expected US economic news, including Aug ISM manufacturing, July construction spending, and July JOLTS job openings.
The US Aug ISM manufacturing index fell -1.0 to 54.6, weaker than expectations of 55.2. The Aug ISM prices paid sub-index was unchanged at 71.1, stronger than expectations of a decline to 70.8.
US July construction spending fell by -0.5% m/m, weaker than expectations of no change.
The US July JOLTS job openings unexpectedly rose +89,000 to 7.271 million from a downward-revised 7.182 million in June, weaker than expectations of 7.313 million.
Hawkish comments on Tuesday from Fed Governor Michael Barr were bearish for stocks and bonds when he said, "If inflation appears not to be moderating sufficiently, then I think we should act decisively to raise interest rates."
Oct WTI crude oil prices (CLV26) surged more than +5% on Tuesday to a 6-week high as Middle East hostilities escalated. Late Monday, two oil supertankers were struck by projectiles while attempting to exit the Strait of Hormuz. Also on Monday, the US struck Iranian rocket launchers preparing to send mines into the Strait of Hormuz, and Iran retaliated by firing missiles and drones at US air bases in Jordan, while the United Arab Emirates said it intercepted drones from Iran.
Crude prices raced to their highs Tuesday afternoon when the US launched a fresh wave of strikes against targets in Iran in retaliation for Iran trying to put mines in the Strait of Hormuz and for earlier strikes on a US military base in Jordan. Iran said it retaliated with a “decisive operation” against US bases in the Middle East.
Q2 earnings results are a bullish factor for stocks. The S&P 500 is tracking for earnings growth of almost 32% in Q2, well above projections of +23%, and nearly four times the average earnings growth rate outside of the Covid period since Q4 of 2013, according to Bloomberg Intelligence. AI spending is expected to account for most of earnings, with AI infrastructure stocks set to contribute nearly 60% of the S&P 500's earnings-per-share growth in Q2. So far, earnings results have been positive, with 86% of the 487 S&P 500 companies that have reported Q2 earnings beating estimates, according to Bloomberg data.
The markets are discounting a 69% chance of a +25 bp rate hike at the next FOMC meeting on September 15-16.
Overseas stock markets settled lower on Tuesday. The Euro Stoxx 50 fell to a 1-month low and closed down -0.80%. China's Shanghai Composite fell from a 7-week high and closed down -0.16%. Japan's Nikkei-225 Stock Average closed down -0.15%.
Interest Rates
December 10-year T-notes (ZNZ6) closed down by -9 ticks on Tuesday. The 10-year T-note yield rose +4.2 bp to 4.792%. T-notes dropped to a 1.75-year nearest-futures low on Tuesday, and the 10-year T-note yield rose to a 1.75-year high of 4.798%. T-notes were under pressure from Tuesday’s +5% surge in WTI crude oil prices to a 6-week high, which boosted inflation expectations and is hawkish for Fed policy. The 10-year breakeven inflation rate rose to a 1.5-week high of 2.360% on Tuesday. T-notes are also being pressured by negative carryover from last Friday, when hawkish comments from Fed Chair Warsh pushed the chances of a Fed rate hike at next month’s FOMC meeting up to 69% on Tuesday from 36% before he spoke.
Losses in T-notes were limited on Tuesday amid weaker-than-expected US economic news on Aug ISM manufacturing, July construction spending, and July JOLTS job openings that sparked some short covering in T-notes.
European government bond yields moved higher on Tuesday. The 10-year German bund yield rose to a 15-year high of 3.364% and finished up +2.0 bp to 3.344%. The 10-year UK gilt yield surged to an 18-year high of 5.250% and finished up +15.7 bp to 5.220%.
The Eurozone Aug CPI rose +3.3% y/y, in line with expectations and the largest increase in nearly 3 years. Aug core CPI rose +2.4% y/y, weaker than expectations of +2.5% y/y.
The Eurozone July unemployment rate was unchanged at 6.4%, showing a slightly weaker labor market than expectations of 6.3%.
The Eurozone Aug S&P manufacturing PMI was revised downward by -0.1 to 52.7 from the previously reported 52.8.
German July retail sales unexpectedly fell by -3.4% m/m, weaker than expectations of +0.5% m/m and the biggest decline in 5 years.
ECB Governing Council member Martin Kocher said, "Upside risks to inflation have increased again recently. If this picture is confirmed in the ECB's new forecast, I believe another interest rate hike will be necessary in the near future."
The UK Aug S&P manufacturing PMI was revised upward by +0.2 to 51.7 from the previously reported 51.5.
Markets are discounting a 99% chance of a +25 bp ECB rate hike at its next policy meeting on September 10.
US Stock Movers
Chipmakers and AI-infrastructure stocks retreated on Tuesday amid the surge in bond yields. Lam Research (LRCX), Applied Materials (AMAT), KLA Corp (KLAC), ARM Holdings Plc (ARM), and Texas Instruments (TXN) closed down more than -3%. Also, Advanced Micro Devices (AMD), Microchip Technology (MCHP), ASML Holding NV (ASML), Micron Technology (MU), Analog Devices (ADI), and Qualcomm (QCOM) closed down more than -2%.
Cybersecurity stocks sold off on Tuesday, weighing on the broader market. CrowdStrike Holdings (CRWD) closed down more than -7%, and Cloudflare (NET) and SentinelOne (S) closed down more than -6%. Also, Palo Alto Networks (PANW), Fortinet (FTNT), and Zscaler (ZS) closed down more than -5%, and Okta (OKTA) closed down more than +4%.
Cryptocurrency stocks moved lower on Tuesday after Bitcoin (^BTCUSD) fell more than -2%. Circle Internet Group (CRCL), Strategy (MSTR), Riot Platforms (RIOT), and Coinbase Global (COIN) closed down more than -6%. Also, MARA Holdings (MARA) and Galaxy Digital Holdings (GLXY) closed down more than -4%.
Mining stocks fell on Tuesday as gold, silver, and copper prices slumped. Freeport-McMoRan (FCX) closed down more than -4%, and Hecla Mining (HL), Anglogold Ashanti (AU), Barrick Mining (B), and Southern Copper (SCCO) closed down more than -3%. Also, Coeur Mining (CDE) and Newmont Corp (NEM) closed down more than -2%.
Home builders and home supplies fell on Tuesday after the 10-year T-note yield rose to a 1.75-year high, raising mortgage rates and weighing on housing demand. Builders Firstsource (BLDR) closed down more than -5%, and DR Horton (DHI), Pulte Group (PHM), KB Home (KBH), Toll Brothers (TOL), and Home Depot (HD) closed down more than -2%. Also, Lennar (LEN) closed down more than -1%.
Defensive health insurance stocks moved higher on Tuesday, with the slump in the broader market. Humana (HUM) and CVS Health Corp (CVS) closed up more than +3%, and Elevance Health (ELV), Cardinal Health (CAH), the Cigna Group (CI), and Molina Healthcare (MOH) closed up more than +2%. Also, UnitedHealth Group (UNH) and Centene (CNC) closed up more than +1%.
Fervo Energy (FRVO) closed up more than +28% on a Wall Street Journal report that said the company has signed a deal to sell power to Alphabet’s Google.
Duolingo (DUOL) closed up more than +7% after Evercore ISI upgraded the stock to outperform from in line with a price target of $210.
Howmet Aerospace (HWM) closed up more than +4% after Citigroup said Monday’s selloff in the stock was “overblown,” and maintains its buy rating on the stock.
Earnings Reports (9/2/2026)
Broadcom Inc (AVGO), Brown-Forman Corp (BF/B), Five Below Inc (FIVE), Hewlett Packard Enterprise Co (HPE), NetApp Inc (NTAP), Ollie's Bargain Outlet Holding (OLLI), PVH Corp (PVH), Snowflake Inc (SNOW).
On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.

Stocks Settle Lower as Bond Yields Surge

The S&P 500 Index ($SPX) (SPY) is down by -0.44% today, the Dow Jones Industrial Average ($DOWI) (DIA) is down by -0.34%, and the Nasdaq 100 Index ($IUXX) (QQQ) is down by -0.96%. E-mini S&P futures (ESU26) are down -0.46%, and September E-mini Nasdaq futures (NQU26) are down -0.98%.
Stock indices are trading lower today, with the S&P 500 falling to a 4-week low and the Dow Jones Industrials and the Nasdaq 100 posting 1-week lows. Stocks are sliding as rising oil prices boost inflation expectations and ramp up expectations that global central banks will keep raising interest rates. Investors are demanding higher yields to hold bonds as concerns intensify about persistent inflation, government spending, and surging corporate borrowing to finance the AI buildout. The higher bond yields have sparked a retreat in chipmakers and AI-infrastructure stocks today.
Join 200K+ Subscribers: Find out why the midday Barchart Brief newsletter is a must-read for thousands daily.
Today’s global bond sell-off has pushed bond yields to multi-year highs and is undercutting stocks. The UK 10-year Gilt yield soared to an 18-year high of 5.25%, the German 10-year Bund yield jumped to a 15-year high of 3.36%, the Japanese 10-year JGB bond yield surged to a 30-year high of 3.00%, and the 10-year T-note yield rose to a 1.75-year high of 4.80%.
Stocks maintained their losses today on weaker-than-expected US economic news, including Aug ISM manufacturing, July construction spending, and July JOLTS job openings.
The US Aug ISM manufacturing index fell -1.0 to 54.6, weaker than expectations of 55.2. The Aug ISM prices paid sub-index was unchanged at 71.1, stronger than expectations of a decline to 70.8.
US July construction spending fell -0.5% m/m, weaker than expectations of no change.
The US July JOLTS job openings unexpectedly rose +89,000 to 7.271 million from a downward revised 7.182 million in June, weaker than expectations of 7.313 million.
Hawkish comments today from Fed Governor Michael Barr were bearish for stocks and bonds when he said, "If inflation appears not to be moderating sufficiently, then I think we should act decisively to raise interest rates."
Oct WTI crude oil prices (CLV26) are up more than +2% today to a 6-week high as Middle East hostilities escalate. Late Monday, two oil supertankers were struck by projectiles while attempting to exit the Strait of Hormuz. Also on Monday, the US struck Iranian rocket launchers preparing to send mines into the Strait of Hormuz, and Iran retaliated by firing missiles and drones at US air bases in Jordan, while the United Arab Emirates said it intercepted drones from Iran. Axios reported that President Trump is weighing limited strikes against Iran to prevent it from reconstituting its radar and missile capabilities to attack ships in the Strait of Hormuz.
Q2 earnings results are a bullish factor for stocks. The S&P 500 is tracking for earnings growth of almost 32% in Q2, well above projections of +23%, and nearly four times the average earnings growth rate outside of the Covid period since Q4 of 2013, according to Bloomberg Intelligence. AI spending is expected to account for most of earnings, with AI infrastructure stocks set to contribute nearly 60% of the S&P 500's earnings-per-share growth in Q2. So far, earnings results have been positive, with 86% of the 486 S&P 500 companies that have reported Q2 earnings beating estimates, according to Bloomberg data.
The markets are discounting a 65% chance of a +25 bp rate hike at the next FOMC meeting on September 15-16.
Overseas stock markets are lower today. The Euro Stoxx 50 fell to a 1-month low and is down -0.73%. China's Shanghai Composite fell from a 7-week high and closed down -0.16%. Japan's Nikkei-225 Stock Average closed down -0.15%.
Interest Rates
December 10-year T-notes (ZNZ6) are down -4 ticks today. The 10-year T-note yield is up +1.2 bp to 4.762%. T-notes dropped to a 1.75-year nearest-futures low today, and the 10-year T-note yield rose to a 1.75-year high of 4.796%. T-notes are under pressure from today’s +2% jump in WTI crude oil prices to a 6-week high, which boosts inflation expectations and is hawkish for Fed policy. T-notes are also being pressured by negative carryover from last Friday, when hawkish comments from Fed Chair Warsh pushed the chances of a Fed rate hike at next month’s FOMC meeting up to 65% today from 36% before he spoke.
T-notes recovered from their worst level today after weaker-than-expected US economic news on Aug ISM manufacturing, July construction spending, and July JOLTS job openings sparked short covering in T-notes.
European government bond yields are moving higher today. The 10-year German bund yield rose to a 15-year high of 3.364% and is up +0.8 bp to 3.332%. The 10-year UK gilt yield surged to an 18-year high of 5.250% and is up +13.6 bp to 5.199%.
The Eurozone Aug CPI rose +3.3% y/y, in line with expectations and the largest increase in nearly 3 years. Aug core CPI rose +2.4% y/y, weaker than expectations of +2.5% y/y.
The Eurozone July unemployment rate was unchanged at 6.4%, showing a slightly weaker labor market than expectations of 6.3%.
The Eurozone Aug S&P manufacturing PMI was revised downward by -0.1 to 52.7 from the previously reported 52.8.
German July retail sales unexpectedly fell by -3.4% m/m, weaker than expectations of +0.5% m/m and the biggest decline in 5 years.
ECB Governing Council member Martin Kocher said, "Upside risks to inflation have increased again recently. If this picture is confirmed in the ECB's new forecast, I believe another interest rate hike will be necessary in the near future."
The UK Aug S&P manufacturing PMI was revised upward by +0.2 to 51.7 from the previously reported 51.5.
Markets are discounting a 98% chance of a +25 bp ECB rate hike at its next policy meeting on September 10.
US Stock Movers
Chipmakers and AI-infrastructure stocks are retreating today amid the surge in bond yields. Qualcomm (QCOM), Lam Research (LRCX), Advanced Micro Devices (AMD), and KLA Corp (KLAC) are down more than -3%, and Applied Materials (AMAT), Analog Devices (ADI), Microchip Technology (MCHP), Marvel Technology (MRVL), ASML Holding NV (ASML), and Texas Instruments (TXN) are down more than -2%.
Cybersecurity stocks are weaker today, weighing on the broader market. CrowdStrike Holdings (CRWD) is down more than -6% to lead losers in the S&P 500 and the Nasdaq 100. Also, Palo Alto Networks (PANW) and SentinelOne (S) are down more than -5%, and Okta (OKTA), Fortinet (FTNT), and Zscaler (ZS) are down more than -4%, and Cloudflare (NET) is down more than +3%.
Cryptocurrency stocks are sliding today, with Bitcoin (^BTCUSD) down nearly -1%. Riot Platforms (RIOT) is down more than -5%, and Circle Internet Group (CRCL) and MARA Holdings (MARA) are down more than -3%. Also, Coinbase Global (COIN), Galaxy Digital Holdings (GLXY), Strategy (MSTR), and Iren Ltd (IREN) are down more than -2%.
Defensive health insurance stocks are climbing today, with the slump in the broader market. Humana (HUM) and CVS Health Corp (CVS) are up more than +3%, and Elevance Health (ELV), Centene (CNC), Cardinal Health (CAH), the Cigna Group (CI), and Molina Healthcare (MOH) are up more than +2%. Also, UnitedHealth Group (UNH) and Universal Health Services (UHS) are up more than +1%.
Amazon.com (AMZN) is down more than -2% to lead losers in the Dow Jones Industrials after the US Federal Trade Commission and a group of US states sued the company over claims it overcharged advertisers by more than $20 billion since 2019.
Fervo Energy (FRVO) is up more than +23% on a Wall Street Journal report that said the company has signed a deal to sell power to Alphabet’s Google.
Duolingo (DUOL) is up more than +5% after Evercore ISI upgraded the stock to outperform from in line with a price target of $210.
Howmet Aerospace (HWM) is up more than +3% to lead gainers in the S&P 500 after Citigroup said Monday’s selloff in the stock was “overblown,” and maintains its buy rating on the stock.
Earnings Reports (9/1/2026)
Credo Technology Group Holding (CRDO), Dell Technologies Inc (DELL), Gitlab Inc (GTLB), Medtronic PLC (MDT), MongoDB Inc (MDB), Palo Alto Networks Inc (PANW).
On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
More news from Barchart

Global Bond Selloff Weighs on Stocks

The S&P 500 Index ($SPX) (SPY) is down by -0.66% today, the Dow Jones Industrial Average ($DOWI) (DIA) is down by -0.43%, and the Nasdaq 100 Index ($IUXX) (QQQ) is down by -1.30%. E-mini S&P futures (ESU26) are down -0.66%, and September E-mini Nasdaq futures (NQU26) are down -1.26%.
Stock indices are trading lower today, with the S&P 500 falling to a 4-week low and the Dow Jones Industrials and the Nasdaq 100 posting 1-week lows. Stocks are sliding as rising oil prices boost inflation expectations and ramp up expectations that global central banks will keep raising interest rates. Investors are demanding higher yields to hold bonds as concerns intensify about persistent inflation, government spending, and surging corporate borrowing to finance the AI buildout. The higher bond yields have sparked a retreat in chipmakers and AI-infrastructure stocks today.
Join 200K+ Subscribers: Find out why the midday Barchart Brief newsletter is a must-read for thousands daily.
Today’s global bond sell-off has pushed bond yields to multi-year highs and is undercutting stocks. The UK 10-year Gilt yield soared to an 18-year high of 5.25%, the German 10-year Bund yield jumped to a 15-year high of 3.36%, the Japanese 10-year JGB bond yield surged to a 30-year high of 3.00%, and the 10-year T-note yield rose to a 1.75-year high of 4.80%.
Oct WTI crude oil prices (CLV26) are up more than +2% today to a 6-week high as Middle East hostilities escalate. Late Monday, two oil supertankers were struck by projectiles while attempting to exit the Strait of Hormuz. Also on Monday, the US struck Iranian rocket launchers preparing to send mines into the Strait of Hormuz, and Iran retaliated by firing missiles and drones at US air bases in Jordan, while the United Arab Emirates said it intercepted drones from Iran. Axios reported that President Trump is weighing limited strikes against Iran to prevent it from reconstituting its radar and missile capabilities to attack ships in the Strait of Hormuz.
Q2 earnings results are a bullish factor for stocks. The S&P 500 is tracking for earnings growth of almost 32% in Q2, well above projections of +23%, and nearly four times the average earnings growth rate outside of the Covid period since Q4 of 2013, according to Bloomberg Intelligence. AI spending is expected to account for most of earnings, with AI infrastructure stocks set to contribute nearly 60% of the S&P 500's earnings-per-share growth in Q2. So far, earnings results have been positive, with 86% of the 486 S&P 500 companies that have reported Q2 earnings beating estimates, according to Bloomberg data.
The markets are discounting a 65% chance of a +25 bp rate hike at the next FOMC meeting on September 15-16.
Overseas stock markets are lower today. The Euro Stoxx 50 fell to a 1-month low and is down -0.61%. China's Shanghai Composite fell from a 7-week high and closed down -0.16%. Japan's Nikkei-225 Stock Average closed down -0.15%.
Interest Rates
December 10-year T-notes (ZNZ6) are down -7 ticks today. The 10-year T-note yield is up +3.2 bp to 4.782%. T-notes dropped to a 1.75-year nearest-futures low today, and the 10-year T-note yield rose to a 1.75-year high of 4.796%. T-notes are under pressure from today’s +2% jump in WTI crude oil prices to a 6-week high, which boosts inflation expectations and is hawkish for Fed policy. T-notes are also being pressured by negative carryover from last Friday, when hawkish comments from Fed Chair Warsh pushed the chances of a Fed rate hike at next month’s FOMC meeting up to 65% today from 36% before he spoke.
European government bond yields are moving higher today. The 10-year German bund yield rose to a 15-year high of 3.364% and is up +1.7 bp to 3.341%. The 10-year UK gilt yield surged to an 18-year high of 5.250% and is up +15.4 bp to 5.217%.
The Eurozone Aug CPI rose +3.3% y/y, in line with expectations and the largest increase in nearly 3 years. Aug core CPI rose +2.4% y/y, weaker than expectations of +2.5% y/y.
The Eurozone July unemployment rate was unchanged at 6.4%, showing a slightly weaker labor market than expectations of 6.3%.
The Eurozone Aug S&P manufacturing PMI was revised downward by -0.1 to 52.7 from the previously reported 52.8.
German July retail sales unexpectedly fell by -3.4% m/m, weaker than expectations of +0.5% m/m and the biggest decline in 5 years.
ECB Governing Council member Martin Kocher said, "Upside risks to inflation have increased again recently. If this picture is confirmed in the ECB's new forecast, I believe another interest rate hike will be necessary in the near future."
The UK Aug S&P manufacturing PMI was revised upward by +0.2 to 51.7 from the previously reported 51.5.
Markets are discounting a 98% chance of a +25 bp ECB rate hike at its next policy meeting on September 10.
US Stock Movers
Chipmakers and AI-infrastructure stocks are retreating today amid the surge in bond yields. Qualcomm (QCOM) is down more than -4%, and Marvel Technology (MRVL) and Intel (INTC) are down more than -3%. Also, Advanced Micro Devices (AMD), Applied Materials (AMAT), Analog Devices (ADI), Lam Research (LRCX), Microchip Technology (MCHP), NXP Semiconductors (NXPI), Broadcom (AVGO), KLA Corp (KLAC), Micron Technology (MU), and Texas Instruments (TXN) are down more than -2%. In addition, Nvidia (NVDA) is down more than -2% to lead losers in the Dow Jones Industrials.
Mining stocks are falling today, with the slump in gold, silver, and copper prices. Hecla Mining (HL) is down more than -4%, and Coeur Mining (CDE) is down more than -3%. Also, Newmont Corp (NEM), Anglogold Ashanti (AU), Barrick Mining (B), and Freeport-McMoRan (FCX) are down more than -2%, and Southern Copper (SCCO) is down more than -1%.
Cryptocurrency stocks are sliding today, with Bitcoin (^BTCUSD) down more than -1%. Circle Internet Group (CRCL) is down more than -69%, and Coinbase Global (COIN), Galaxy Digital Holdings (GLXY), Strategy (MSTR), Iren Ltd (IREN), MARA Holdings (MARA), and Riot Platforms (RIOT) are down more than -5%.
Cybersecurity stocks are weaker today, weighing on the broader market. Palo Alto Networks (PANW), SentinelOne (S), and Zscaler (ZS) are down more than -3%, and , CrowdStrike Holdings (CRWD) and Cloudflare (NET) are down more than +2%. Also, Okta (OKTA) and Fortinet (FTNT) are down more than -1%.
Defensive health insurance stocks are climbing today, with the slump in the broader market. Elevance Health (ELV), Centene (CNC), Humana (HUM), Cardinal Health (CAH), and CVS Health Corp (CVS) are up more than +2%. Also, UnitedHealth Group (UNH), the Cigna Group (CI), and Molina Healthcare (MOH) are up more than +1%.
Fervo Energy (FRVO) is up more than +10% on a Wall Street Journal report that said the company has signed a deal to sell power to Alphabet’s Google.
Duolingo (DUOL) is up more than +6% after Evercore ISI upgraded the stock to outperform from in line with a price target of $210.
Howmet Aerospace (HWM) is up more than +3% to lead gainers in the S&P 500 after Citigroup said Monday’s selloff in the stock was “overblown,” and maintains its buy rating on the stock.
Medtronic Plc (MDT) is up more than +2% after reporting Q1 revenue of $9.76 billion, stronger than the consensus of $9.54 billion, and raising its 2027 organic revenue forecast to +7.25% to +7.75% from a previous forecast of +6.75% to +7.25%.
Earnings Reports (9/1/2026)
Credo Technology Group Holding (CRDO), Dell Technologies Inc (DELL), Gitlab Inc (GTLB), Medtronic PLC (MDT), MongoDB Inc (MDB), Palo Alto Networks Inc (PANW).
On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
More news from Barchart

Stocks Retreat as Global Bond Yields Surge

Centene Corporation CNC is rebuilding its Marketplace business after a difficult 2025, with better pricing, moderating medical costs and improved underwriting dynamics supporting a sharp improvement in profitability. The recovery is becoming an important contributor to Centene’s broader margin-restoration strategy.
The Marketplace health benefits ratio improved to 79.2% in the second quarter of 2026 from 90.6% a year ago. The improvement reflected better medical cost trends and risk-adjustment dynamics. Centene also benefited from a $180 million favorable 2025 CMS risk-adjustment reconciliation during the quarter.
Importantly, the improvement is not dependent solely on membership expansion. Marketplace membership stood at around 3.5 million at the end of June 2026, down substantially from 5.9 million a year ago. However, the business is now expected to generate a 4.5%-5% pretax margin in 2026, compared with the previous 3% outlook. This suggests that tighter pricing and a more favorable risk profile are helping Centene prioritize profitability over volume.
The key challenge now is sustaining those gains as eligibility reviews could cause further membership attrition in the second half of 2026. Centene’s 6.9% adjusted SG&A expense ratio in the second quarter of 2026, which improved from 7.1% a year ago, and increased use of technology, automation and AI could provide another layer of support. If these trends hold, the Marketplace business could provide a more dependable earnings contribution and support Centene’s overall profit growth over time.
How Are Competitors Faring?
Some of CNC’s major competitors in the healthcare service provider space are UnitedHealth Group Incorporated UNH and Elevance Health, Inc. ELV.
UnitedHealth is taking a more selective approach to its individual exchange business, with pricing and benefit adjustments aimed at better aligning premiums with medical costs. UNH’s medical care ratio improved to 86.7% in the second quarter of 2026 from 89.4% a year ago.
Elevance is also working to improve Individual ACA profitability through tighter pricing and plan repositioning. ELV is also investing in clinical oversight, payment integrity and value-based care to improve cost management and support more consistent margins.
Centene’s Price Performance, Valuation & Estimates
Shares of CNC have surged 56.4% in the year-to-date period compared with the industry’s rise of 20%.
From a valuation standpoint, Centene trades at a forward price-to-earnings ratio of 12.39, below the industry average of 15.83. CNC carries a Value Score of A.
The Zacks Consensus Estimate for Centene’s 2026 earnings is pegged at $4.89 per share, implying 135.1% growth from the year-ago period.
CNC stock currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
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This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
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Indicator	TTM Median
P/E	17.38 21.70
Price/Sales	0.42 3.10
P/B	1.94 2.54
P/FCF	13.61 19.03

Indicator	TTM Median
ROE	11.20 19.44
ROA	4.26 7.04
ROI	7.06 9.42
Net Worth	81.90 0.24
Quick Ratio	0.00 1.71
Current Ratio	1.52 2.85

Indicator	TTM Median
Net Profit Margin	2.62 10.99
Operating Margin	3.63 14.14
Gross Margin	15.08 75.17
Return on tangible equity	103.96 41.48

Indicator	TTM Median
EPS	7.45 0.46
EPS Forecast	6.18 0.37
Revenue	50.47B 19.00M
Gross Profit	7.96B —
EBITDA	2.67B —

Elevance Health, Inc.

Recent quarterly and TTM performance

Valuation

Debts

Efficiency

Other ratios

Revenue