How Does Centene Stock Stack Up Against Its Peers?
Centene‘s stock has navigated a challenging year, yet how does it truly measure up against managed care peers adapting to a turbulent market and leveraging AI for efficiency? A closer look reveals robust revenue growth and moderate free cash flow generation. However, notably low operating margins and a negative P/E ratio suggest a complex valuation and raise questions about sustained profitability and upside amid intense sector competition and evolving regulatory shifts, including pressures in Medicare Advantage.
- CNC’s near-zero operating margin, lowest among peers (UNH: 6.1%), signals intense medical cost pressures, especially within government-subsidized plans.
- CNC’s 14.9% revenue growth, outpacing UNH, CVS, MOH, is driven by strategic marketplace expansion and increased government program enrollment.
- CNC’s 32.1% stock decline and -3.8 PE, underperforming CVS, reflect investor concerns over elevated medical costs in government programs and recent losses.
Here’s how Centene stacks up across size, valuation, and profitability versus key peers.
| CNC | UNH | CVS | MOH | |
|---|---|---|---|---|
| Market Cap ($ Bil) | 20.2 | 299.1 | 100.7 | 9.1 |
| Revenue ($ Bil) | 185.9 | 435.2 | 394.1 | 44.5 |
| PE Ratio | -3.8 | 17.0 | 214.7 | 10.3 |
| LTM Revenue Growth | 14.9% | 10.5% | 6.8% | 13.7% |
| LTM Operating Margin | 0.6% | 6.1% | 2.7% | 3.0% |
| LTM FCF Margin | 1.8% | 4.0% | 1.6% | -1.3% |
| 12M Market Return | -32.1% | -33.1% | 84.3% | -40.4% |
For more details on Centene, read Buy or Sell CNC Stock. Below we compare CNC’s growth, margin, and valuation with peers across years
Revenue Growth Comparison
| LTM | 2024 | 2023 | 2022 | |
|---|---|---|---|---|
| CNC | 14.9% | 5.9% | 6.5% | 14.7% |
| UNH | 10.5% | 7.7% | 14.6% | 12.7% |
| CVS | 6.8% | 4.2% | 10.9% | 10.4% |
| MOH | 13.7% | 19.3% | 6.6% | 15.1% |
Operating Margin Comparison
| LTM | 2024 | 2023 | 2022 | |
|---|---|---|---|---|
| CNC | 0.6% | 2.0% | 2.2% | 2.5% |
| UNH | 6.1% | 8.1% | 8.7% | 8.8% |
| CVS | 2.7% | 2.6% | 4.1% | 5.1% |
| MOH | 3.0% | 4.2% | 4.6% | 4.3% |
PE Ratio Comparison
| LTM | 2024 | 2023 | 2022 | |
|---|---|---|---|---|
| CNC | -3.8 | 9.6 | 14.9 | 39.2 |
| UNH | 17.0 | 32.3 | 21.8 | 24.7 |
| CVS | 214.7 | 12.2 | 12.2 | 28.4 |
| MOH | 10.3 | 14.2 | 19.1 | 24.1 |
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