Centene Corporation operates as a multi-national healthcare enterprise that provides programs and services to under-insured and uninsured individuals in the United States.
Share Price & News
How has Centene's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: CNC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: CNC's weekly volatility (4%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: CNC underperformed the US Healthcare industry which returned 33% over the past year.
Return vs Market: CNC underperformed the US Market which returned 33.8% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Centene's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StIs Centene (NYSE:CNC) A Risky Investment?
1 month ago | Simply Wall StA Centene Corporation (NYSE:CNC) insider increased their holdings by 0.03% last year
2 months ago | Simply Wall StDid Business Growth Power Centene's (NYSE:CNC) Share Price Gain of 108%?
Centene Fundamentals Summary
|CNC fundamental statistics|
Is CNC overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|CNC income statement (TTM)|
|Cost of Revenue||US$93.32b|
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
Oct 26, 2021
|Earnings per share (EPS)||1.24|
|Net Profit Margin||0.65%|
How did CNC perform over the long term?See historical performance and comparison
Is Centene undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: CNC ($64.35) is trading below our estimate of fair value ($177.67)
Significantly Below Fair Value: CNC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: CNC is poor value based on its PE Ratio (52.1x) compared to the US Healthcare industry average (22.6x).
PE vs Market: CNC is poor value based on its PE Ratio (52.1x) compared to the US market (17.8x).
Price to Earnings Growth Ratio
PEG Ratio: CNC is poor value based on its PEG Ratio (1.2x)
Price to Book Ratio
PB vs Industry: CNC is good value based on its PB Ratio (1.4x) compared to the US Healthcare industry average (3.4x).
How is Centene forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CNC's forecast earnings growth (42% per year) is above the savings rate (2%).
Earnings vs Market: CNC's earnings (42% per year) are forecast to grow faster than the US market (14.8% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: CNC's revenue (4.8% per year) is forecast to grow slower than the US market (9.8% per year).
High Growth Revenue: CNC's revenue (4.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: CNC's Return on Equity is forecast to be low in 3 years time (10.5%).
How has Centene performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CNC has a large one-off loss of $1.6B impacting its June 30 2021 financial results.
Growing Profit Margin: CNC's current net profit margins (0.6%) are lower than last year (1.8%).
Past Earnings Growth Analysis
Earnings Trend: CNC's earnings have grown significantly by 23.5% per year over the past 5 years.
Accelerating Growth: CNC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: CNC had negative earnings growth (-53.7%) over the past year, making it difficult to compare to the Healthcare industry average (32.2%).
Return on Equity
High ROE: CNC's Return on Equity (2.7%) is considered low.
How is Centene's financial position?
Financial Position Analysis
Short Term Liabilities: CNC's short term assets ($25.5B) exceed its short term liabilities ($23.6B).
Long Term Liabilities: CNC's short term assets ($25.5B) exceed its long term liabilities ($21.8B).
Debt to Equity History and Analysis
Debt Level: CNC's debt to equity ratio (63.6%) is considered high.
Reducing Debt: CNC's debt to equity ratio has reduced from 79% to 63.6% over the past 5 years.
Debt Coverage: CNC's debt is well covered by operating cash flow (22.6%).
Interest Coverage: CNC's interest payments on its debt are well covered by EBIT (4.9x coverage).
What is Centene current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate CNC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate CNC's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if CNC's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if CNC's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of CNC's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Michael Neidorff (78 yo)
Mr. Michael Frederic Neidorff has been Chairman of Centene Corporation since May 2004 and has been its Chief Executive Officer since May 4, 1996 and Director since May 1996 and served as its President unti...
CEO Compensation Analysis
Compensation vs Market: Michael's total compensation ($USD24.96M) is above average for companies of similar size in the US market ($USD11.33M).
Compensation vs Earnings: Michael's compensation has been consistent with company performance over the past year.
Experienced Management: CNC's management team is not considered experienced ( 1.2 years average tenure), which suggests a new team.
Experienced Board: CNC's board of directors are seasoned and experienced ( 15.1 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Centene Corporation's company bio, employee growth, exchange listings and data sources
- Name: Centene Corporation
- Ticker: CNC
- Exchange: NYSE
- Founded: 1984
- Industry: Managed Health Care
- Sector: Healthcare
- Market Cap: US$37.688b
- Shares outstanding: 583.04m
- Website: https://www.centene.com
Number of Employees
- Centene Corporation
- Centene Plaza
- 7700 Forsyth Boulevard
- St. Louis
- United States
Centene Corporation operates as a multi-national healthcare enterprise that provides programs and services to under-insured and uninsured individuals in the United States. Its Managed Care segment offers h...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/09/20 22:26|
|End of Day Share Price||2021/09/20 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.