Anthem (NYSE:ANTM) - Share price, News & Analysis

ANTM fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	1/6
Past Performance	5/6
Financial Health	6/6
Dividends	4/6

ANTM Stock Overview

Anthem, Inc., through its subsidiaries, operates as a health benefits company in the United States.

Rewards

Trading at 46.4% below our estimate of its fair value

Earnings are forecast to grow 10.32% per year

Earnings grew by 32.5% over the past year

Risk Analysis

Significant insider selling over the past 3 months

Anthem Competitors

UnitedHealth Group

NYSE:UNH

US$459.0b

Humana

NYSE:HUM

US$55.8b

Centene

NYSE:CNC

US$49.6b

Molina Healthcare

NYSE:MOH

US$17.8b

Price History & Performance

Summary of all time highs, changes and price drops for Anthem
Historical stock prices
Current Share Price	US$497.19
52 Week High	US$533.68
52 Week Low	US$355.43
Beta	0.97
1 Month Change	-3.78%
3 Month Change	8.42%
1 Year Change	26.37%
3 Year Change	79.45%
5 Year Change	179.78%
Change since IPO	2,331.25%

Recent News & Updates

May 09

Is It Too Late To Consider Buying Anthem, Inc. (NYSE:ANTM)?

Anthem, Inc. ( NYSE:ANTM ) saw a decent share price growth in the teens level on the NYSE over the last few months. As...

Apr 25

Does Anthem (NYSE:ANTM) Have A Healthy Balance Sheet?

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

Shareholder Returns

	ANTM	US Healthcare	US Market
7D	1.6%	2.3%	2.7%
1Y	26.4%	5.6%	-8.1%

Return vs Industry: ANTM exceeded the US Healthcare industry which returned 4.8% over the past year.

Return vs Market: ANTM exceeded the US Market which returned -10.8% over the past year.

Price Volatility

Is ANTM's price volatile compared to industry and market?
ANTM volatility
ANTM Average Weekly Movement	3.7%
Healthcare Industry Average Movement	10.2%
Market Average Movement	7.8%
10% most volatile stocks in US Market	16.9%
10% least volatile stocks in US Market	2.9%

Stable Share Price: ANTM is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: ANTM's weekly volatility (4%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1944	98,200	Gail Boudreaux	https://www.antheminc.com

Anthem, Inc., through its subsidiaries, operates as a health benefits company in the United States. It operates through four segments: Commercial & Specialty Business, Government Business, IngenioRx, and Other. The company offers a spectrum of network-based managed care health benefit plans to large and small groups, individuals, Medicaid, and Medicare markets.

Anthem Fundamentals Summary

How do Anthem's earnings and revenue compare to its market cap?
ANTM fundamental statistics
Market Cap	US$119.00b
Earnings (TTM)	US$6.24b
Revenue (TTM)	US$144.35b

19.2x

P/E Ratio

0.8x

P/S Ratio

Is ANTM overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
ANTM income statement (TTM)
Revenue	US$144.35b
Cost of Revenue	US$107.16b
Gross Profit	US$37.19b
Other Expenses	US$30.95b
Earnings	US$6.24b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	25.90
Gross Margin	25.76%
Net Profit Margin	4.32%
Debt/Equity Ratio	64.5%

How did ANTM perform over the long term?

See historical performance and comparison

Dividends

1.0%

Current Dividend Yield

18%

Payout Ratio

Does ANTM pay a reliable dividends?

See ANTM dividend history and benchmarks

When do you need to buy ANTM by to receive an upcoming dividend?
Anthem dividend dates
Ex Dividend Date	Jun 09 2022
Dividend Pay Date	Jun 24 2022
Days until Ex dividend	21 days
Days until Dividend pay date	36 days

Does ANTM pay a reliable dividends?

See ANTM dividend history and benchmarks

Valuation

Is Anthem undervalued compared to its fair value and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

46.4%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: ANTM ($497.19) is trading below our estimate of fair value ($926.93)

Significantly Below Fair Value: ANTM is trading below fair value by more than 20%.

Price To Earnings Ratio

PE vs Industry: ANTM's PE Ratio (19.2x) is in line with the US Healthcare industry average.

PE vs Market: ANTM is poor value based on its PE Ratio (19.2x) compared to the US market (15.5x).

Price to Earnings Growth Ratio

PEG Ratio: ANTM is poor value based on its PEG Ratio (1.9x)

Price to Book Ratio

PB vs Industry: ANTM is overvalued based on its PB Ratio (3.3x) compared to the US Healthcare industry average (2.5x).

Future Growth

How is Anthem forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

10.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: ANTM's forecast earnings growth (10.3% per year) is above the savings rate (1.9%).

Earnings vs Market: ANTM's earnings (10.3% per year) are forecast to grow slower than the US market (12.5% per year).

High Growth Earnings: ANTM's earnings are forecast to grow, but not significantly.

Revenue vs Market: ANTM's revenue (6.8% per year) is forecast to grow slower than the US market (7.9% per year).

High Growth Revenue: ANTM's revenue (6.8% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: ANTM's Return on Equity is forecast to be low in 3 years time (18.6%).

Past Performance

How has Anthem performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

11.9%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: ANTM has high quality earnings.

Growing Profit Margin: ANTM's current net profit margins (4.3%) are higher than last year (3.8%).

Past Earnings Growth Analysis

Earnings Trend: ANTM's earnings have grown by 11.9% per year over the past 5 years.

Accelerating Growth: ANTM's earnings growth over the past year (32.5%) exceeds its 5-year average (11.9% per year).

Earnings vs Industry: ANTM earnings growth over the past year (32.5%) exceeded the Healthcare industry 9.6%.

Return on Equity

High ROE: ANTM's Return on Equity (17.3%) is considered low.

Financial Health

How is Anthem's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: ANTM's short term assets ($53.9B) exceed its short term liabilities ($39.7B).

Long Term Liabilities: ANTM's short term assets ($53.9B) exceed its long term liabilities ($24.7B).

Debt to Equity History and Analysis

Debt Level: ANTM has more cash than its total debt.

Reducing Debt: ANTM's debt to equity ratio has reduced from 70.4% to 64.5% over the past 5 years.

Debt Coverage: ANTM's debt is well covered by operating cash flow (36.1%).

Interest Coverage: ANTM's interest payments on its debt are well covered by EBIT (11.2x coverage).

Balance Sheet

Dividend

What is Anthem current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

1.03%

Current Dividend Yield

Upcoming Dividend Payment

Dividend Yield vs Market

Notable Dividend: ANTM's dividend (1.03%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.54%).

High Dividend: ANTM's dividend (1.03%) is low compared to the top 25% of dividend payers in the US market (4.06%).

Stability and Growth of Payments

Stable Dividend: ANTM's dividends per share have been stable in the past 10 years.

Growing Dividend: ANTM's dividend payments have increased over the past 10 years.

Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (18.2%), ANTM's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (17%), ANTM's dividend payments are well covered by cash flows.

Next Steps

Explore strong dividend paying companies in the Healthcare industry.

Management

How experienced are the management team and are they aligned to shareholders interests?

5.9yrs

Average management tenure

CEO

Gail Boudreaux (60 yo)

4.5yrs

Tenure

US$19,348,241

Compensation

Ms. Gail Koziara Boudreaux has been an Independent Director at Target Corporation since September 23, 2021. She has been President, Chief Executive Officer and Director of Anthem, Inc. since November 11, 2...

CEO Compensation Analysis

Compensation vs Market: Gail's total compensation ($USD19.35M) is above average for companies of similar size in the US market ($USD13.27M).

Compensation vs Earnings: Gail's compensation has been consistent with company performance over the past year.

Leadership Team

Experienced Management: ANTM's management team is seasoned and experienced (5.9 years average tenure).

Board Members

Experienced Board: ANTM's board of directors are considered experienced (8.8 years average tenure).

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: ANTM insiders have only sold shares in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/05/17 00:00
End of Day Share Price	2022/05/17 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31