Centene (NYSE:CNC) Trading 3.5% Higher – Should You Buy?

Centene Corporation (NYSE:CNC)’s share price shot up 3.5% during trading on Thursday . The company traded as high as $68.21 and last traded at $66.2960. Approximately 678,899 shares traded hands during mid-day trading, a decline of 88% from the average daily volume of 5,765,694 shares. The stock had previously closed at $64.06.

Wall Street Analyst Weigh In

CNC has been the topic of a number of research analyst reports. JPMorgan Chase & Co. lifted their price target on shares of Centene from $60.00 to $67.00 and gave the company a “neutral” rating in a research note on Tuesday, August 4th. Barclays reaffirmed an “overweight” rating and set a $80.00 price objective (up from $75.00) on shares of Centene in a report on Wednesday, July 29th. Morgan Stanley set a $66.00 target price on shares of Centene in a research note on Wednesday, July 29th. Argus upgraded shares of Centene from a “hold” rating to a “buy” rating and set a $80.00 price target for the company in a research report on Tuesday, August 11th. Finally, Deutsche Bank Aktiengesellschaft upgraded Centene from a “hold” rating to a “buy” rating and lifted their price objective for the stock from $53.00 to $80.00 in a report on Wednesday, May 20th. One equities research analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating, nine have given a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Centene currently has an average rating of “Hold” and a consensus price target of $70.05.

Centene Stock Up 3.2%

The company has a quick ratio of 1.15, a current ratio of 1.15 and a debt-to-equity ratio of 0.71. The firm has a market capitalization of $32.64 billion, a PE ratio of -6.33, a price-to-earnings-growth ratio of 0.41 and a beta of 1.10. The business has a 50-day moving average price of $65.53 and a 200-day moving average price of $54.76.

Centene (NYSE:CNC) last announced its quarterly earnings data on Monday, July 27th. The company reported $2.51 EPS for the quarter, topping analysts’ consensus estimates of $1.09 by $1.42. The firm had revenue of $53.58 billion for the quarter, compared to the consensus estimate of $47.64 billion. Centene had a positive return on equity of 12.12% and a negative net margin of 2.51%.The firm’s revenue was up 9.9% compared to the same quarter last year. During the same quarter last year, the business posted ($0.16) earnings per share. Equities research analysts forecast that Centene Corporation will post 4.89 earnings per share for the current fiscal year.

Insider Buying and Selling at Centene

In other news, General Counsel Christopher Koster sold 56,500 shares of the business’s stock in a transaction dated Wednesday, August 26th. The shares were sold at an average price of $66.90, for a total transaction of $3,779,850.00. Following the transaction, the general counsel owned 248,854 shares of the company’s stock, valued at approximately $16,648,332.60. The trade was a 18.50% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Insiders own 0.37% of the company’s stock.

Hedge Funds Weigh In On Centene

Several institutional investors and hedge funds have recently bought and sold shares of the company. California State Teachers Retirement System grew its stake in shares of Centene by 5,937.7% in the 2nd quarter. California State Teachers Retirement System now owns 46,149,208 shares of the company’s stock valued at $2,962,318,000 after buying an additional 45,384,854 shares during the period. BlackRock Inc. acquired a new position in Centene in the second quarter valued at approximately $2,660,422,000. AQR Capital Management LLC grew its position in Centene by 117.0% in the fourth quarter. AQR Capital Management LLC now owns 31,798,738 shares of the company’s stock worth $1,308,518,000 after acquiring an additional 17,143,904 shares during the period. Wellington Management Group LLP increased its stake in Centene by 423.0% during the second quarter. Wellington Management Group LLP now owns 13,301,215 shares of the company’s stock worth $853,805,000 after acquiring an additional 10,757,914 shares during the last quarter. Finally, Geode Capital Management LLC raised its position in Centene by 5.5% in the fourth quarter. Geode Capital Management LLC now owns 13,271,492 shares of the company’s stock valued at $554,338,000 after purchasing an additional 697,277 shares during the period. 93.63% of the stock is currently owned by institutional investors and hedge funds.

About Centene

Centene Corporation (NYSE: CNC) is a managed-care company that provides health insurance and related healthcare services, primarily through government-sponsored programs. Its offerings include Medicaid, Medicare Advantage and Medicare Prescription Drug plans, coverage for individuals and families through the health insurance marketplace, and health services for military families and veterans.

The company markets several healthcare brands, including Ambetter, which provides marketplace plans, and Wellcare, which offers Medicare products.