Elevance Health (NYSE:ELV) Stock Price Down 5.8% Following Weak Earnings

Elevance Health, Inc. (NYSE:ELV) traded down 5.8% during mid-day trading on Friday after the company announced weaker than expected quarterly earnings. The stock traded as low as $285.00 and last traded at $285.03. 619,345 shares changed hands during mid-day trading, a decline of 62% from the average session volume of 1,647,853 shares. The stock had previously closed at $302.45.

The company reported $8.84 EPS for the quarter, missing the consensus estimate of $9.30 by ($0.46). Elevance Health had a net margin of 2.83% and a return on equity of 17.59%. The business had revenue of $49.42 billion for the quarter, compared to analysts’ expectations of $48.26 billion. During the same period in the previous year, the company earned $10.12 EPS. Elevance Health’s revenue for the quarter was up 14.3% compared to the same quarter last year.

Elevance Health Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 25th. Stockholders of record on Wednesday, September 10th will be given a dividend of $1.71 per share. This represents a $6.84 annualized dividend and a dividend yield of 2.47%. The ex-dividend date of this dividend is Wednesday, September 10th. Elevance Health’s payout ratio is currently 26.69%.

Wall Street Analyst Weigh In

Several equities research analysts recently issued reports on the stock. Robert W. Baird reissued a “neutral” rating and issued a $529.00 target price (down from $625.00) on shares of Elevance Health in a report on Tuesday, April 15th. Mizuho increased their target price on shares of Elevance Health from $455.00 to $505.00 and gave the stock an “outperform” rating in a report on Wednesday, April 9th. Wall Street Zen lowered shares of Elevance Health from a “buy” rating to a “hold” rating in a report on Friday. Truist Financial reduced their target price on shares of Elevance Health from $500.00 to $440.00 and set a “buy” rating for the company in a report on Wednesday. Finally, Sanford C. Bernstein reissued an “outperform” rating on shares of Elevance Health in a report on Friday, March 28th. Five research analysts have rated the stock with a hold rating and twelve have assigned a buy rating to the stock. According to MarketBeat, Elevance Health presently has a consensus rating of “Moderate Buy” and a consensus price target of $435.93.

Insider Buying and Selling

In other news, CFO Mark Kaye sold 4,588 shares of the stock in a transaction that occurred on Thursday, April 24th. The stock was sold at an average price of $424.82, for a total transaction of $1,949,074.16. Following the completion of the transaction, the chief financial officer directly owned 18,977 shares in the company, valued at approximately $8,061,809.14. This represents a 19.47% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Gail Boudreaux bought 8,500 shares of the stock in a transaction dated Friday, July 18th. The shares were purchased at an average price of $286.94 per share, with a total value of $2,438,990.00. Following the completion of the transaction, the chief executive officer directly owned 151,020 shares in the company, valued at approximately $43,333,678.80. The trade was a 5.96% increase in their position. The disclosure for this purchase can be found here. Company insiders own 0.29% of the company’s stock.

Institutional Trading of Elevance Health

Institutional investors have recently bought and sold shares of the stock. Accredited Wealth Management LLC bought a new stake in shares of Elevance Health during the fourth quarter worth $25,000. Private Wealth Management Group LLC lifted its position in shares of Elevance Health by 152.0% during the first quarter. Private Wealth Management Group LLC now owns 63 shares of the company’s stock worth $27,000 after purchasing an additional 38 shares during the last quarter. WealthTrak Capital Management LLC bought a new stake in shares of Elevance Health during the fourth quarter worth $29,000. WPG Advisers LLC bought a new stake in shares of Elevance Health during the first quarter worth $29,000. Finally, Lee Danner & Bass Inc. bought a new stake in shares of Elevance Health during the fourth quarter worth $30,000. 89.24% of the stock is currently owned by institutional investors.

Elevance Health Stock Performance

The firm has a market capitalization of $62.55 billion, a P/E ratio of 11.78, a P/E/G ratio of 0.88 and a beta of 0.60. The firm has a 50-day moving average price of $371.52 and a two-hundred day moving average price of $395.63. The company has a debt-to-equity ratio of 0.64, a current ratio of 1.44 and a quick ratio of 1.43.

Elevance Health Company Profile

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.