How Low Can Centene Stock Go In A Market Crash
Centene has historically underperformed relative to the S&P 500 during major market crashes, with an average decline of 34%. For instance, it dropped 37% during the Inflation Shock while the S&P fell 25%, and plummeted 42% in the 2018 Correction compared to a 20% decline in the index. Although it occasionally outperformed, such as during the covid pandemic, Centene’s performance generally indicates vulnerability to market downturns. It often takes considerable time to find a bottom, ranging from 2 to 13 months, and recovery periods vary significantly, with the company yet to return to pre-crisis levels post-Inflation Shock. This pattern reflects sensitivity to adverse market conditions rather than resilience, casting doubt on its stability during economic turbulence.
Centene Stock Performance In Market Crashes:
| CNC | S&P 500 | |
|---|---|---|
| Dot-Com Bubble | ||
| % Change from Pre-Recession Peak | -4% | -37% |
| # of Months for Full Recovery | 0 | 69 |
| Global Financial Crisis | ||
| % Change from Pre-Recession Peak | -53% | -57% |
| # of Months for Full Recovery | 34 | 49 |
| 2018 Correction | ||
| % Change from Pre-Recession Peak | -42% | -20% |
| # of Months for Full Recovery | 20 | 4 |
| Covid Pandemic | ||
| % Change from Pre-Recession Peak | -33% | -34% |
| # of Months for Full Recovery | 1 | 5 |
| Inflation Shock | ||
| % Change from Pre-Recession Peak | -37% | -25% |
| # of Months for Full Recovery | Yet to Recover | 15 |
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