About Elevance Health, Inc.
Elevance Health, Inc., together with its subsidiaries, operates as a health benefits company in the United States. The company operates in four segments: Health Benefits, CarelonRx, Carelon Services, and Corporate & Other. It offers a variety of health plans and services to individual, employer group risk-based and fee-based, BlueCard, Medicare, Medicaid, and FEP members; health products; a broad array of fee-based administrative managed care services; and specialty and other insurance products and services, such as stop loss, dental, vision, and supplemental health insurance benefits. The company also operates in the pharmacy services business; and markets and offers pharmacy services, including home delivery and specialty pharmacies, claims adjudication, formulary management, pharmacy networks, rebate administration, a prescription drug database, and member services, as well as infusion services and injectable therapies through ambulatory infusion centers. In addition, it provides healthcare related services and capabilities, including specialty care enablement and utilization management support for specialized clinical domains; behavioral health and comprehensive care management services; palliative care services and management; virtual care; and payment integrity, subrogation, clinical data exchange through its HealthOS platform, research and data, reporting and clinical analytics, information technology, and business process support services, as well as manages home health, post-acute institutional management, and durable medical equipment costs; and supports plans in managing home and community-based services. The company provides its services under the Anthem Blue Cross and Blue Shield, Wellpoint, and Carelon brands. 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 based in Indianapolis, Indiana.
Elevance Health, Inc. (ELV) is a Healthcare company in the Healthcare Plans industry with a market capitalisation of $92B. The stock trades at 18.76x trailing earnings and yields 1.62%.
- Sector
- Healthcare
- Industry
- Healthcare Plans
- Market cap
- $92B
- P/E ratio
- 18.76
- Forward P/E
- 14.33
- EPS (TTM)
- $22.61
- Revenue (TTM)
- $201.1B
- Free cash flow
- $4.3B
- Profit margin
- 2.5%
- Dividend yield
- 1.62%
- Beta
- 0.70
- Shares outstanding
- 216.9M
Financial health: Fair5.9/10
4 strengths, 2 concerns. Weakest points: net margin, earnings growth.
- Debt to equity: 0.73 (Watch, benchmark < 0.5) — Debt of 0.73x equity is moderate against the 0.5x benchmark. It has deteriorated over the last 4 years.
- Net debt vs cash flow: 0.0y (Strong, benchmark < 4 years) — Holds more cash than debt ($3.5B net cash).
- Current ratio: 1.54 (Strong, benchmark > 1.5) — Short-term assets cover 1.54x short-term liabilities, against Graham's 1.5x floor. It has been broadly flat over the last 4 years.
- Return on equity: 11.1% (Watch, benchmark > 15%) — Earns 11.1% on shareholder equity, short of the > 15% mark.
- Gross margin: 26.0% (Watch, benchmark > 40%) — Keeps 26.0% of revenue after the direct cost of sales, short of the > 40% mark.
- Net margin: 2.5% (Concern, benchmark > 10%) — Turns 2.5% of revenue into profit, well short of the > 10% mark.
- Free cash flow: $3.2B (Strong, benchmark positive) — Generated $3.2B of free cash flow after capital spending. It has deteriorated over the last 4 years.
- Revenue growth: 1.4% (Watch, benchmark > 10%) — Revenue changed 1.4% year on year, short of the > 10% mark.
- Earnings growth: -13.1% (Concern, benchmark > 10%) — Earnings changed -13.1% year on year, well short of the > 10% mark.
- PEG ratio: 1.37 (Watch, benchmark < 1) — At 1.37, the price looks fair relative to expected growth — Lynch treated 1.0 as fair value.
- Payout ratio: 30.3% (Strong, benchmark < 60%) — Pays out 30.3% of earnings as dividends, leaving room to keep paying.