Core Viewpoint - A class action lawsuit has been filed against Centene Corporation for alleged violations of federal securities laws, claiming that the company made materially false and misleading statements regarding its business and operations [1][2]. Group 1: Class Definition - The lawsuit seeks damages on behalf of all individuals and entities that purchased Centene securities between December 12, 2024, and June 30, 2025, inclusive [2]. Group 2: Case Details - The complaint alleges that Centene made false and misleading statements while concealing adverse facts about its enrollment and morbidity rates [3]. - It is claimed that Centene's internal analysis indicated that its 2025 Health Insurance Marketplace growth across 22 states, which represents 72% of its marketplace membership, was significantly below expectations [3]. - As a result of these issues, Centene withdrew its 2025 guidance, reducing projected earnings to approximately $1.8 billion or an adjusted diluted EPS of $2.75 [3]. - Following these disclosures, Centene's stock price fell dramatically by 40.4%, from $56.65 per share on July 1, 2025, to $33.78 per share on July 2, 2025 [3]. Group 3: Next Steps - Investors who suffered losses in Centene have until September 8, 2025, to request to be appointed as lead plaintiff in the class action lawsuit [4].

Core Viewpoint - A lawsuit has been filed against Centene Corporation and its senior executives for potential violations of federal securities laws, following significant discrepancies between the company's financial guidance and actual market conditions [1][2]. Group 1: Lawsuit Details - The lawsuit is pending in the U.S. District Court for the Southern District of New York, titled Lunstrum v. Centene Corporation, et al., No. 25-cv-05659, with investors having until September 8, 2025, to seek lead plaintiff status [2]. - The complaint alleges violations under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 on behalf of investors who purchased Centene securities [2]. Group 2: Company Background - Centene Corporation is a healthcare company that provides services to consumers enrolled in government-sponsored healthcare programs such as Medicaid and Medicare, as well as those purchasing insurance under the Affordable Care Act [3]. Group 3: Financial Guidance and Market Conditions - On December 12, 2024, Centene announced financial guidance for fiscal year 2025, claiming stability in earnings despite challenges [4]. - The company subsequently increased its 2025 guidance on February 4, 2025, citing enrollment overperformance, and again on April 25, 2025, due to strong growth in enrollment and retention [4]. - However, the actual market conditions revealed lower than expected enrollment growth and increased morbidity rates in the majority of the states Centene serves [4]. Group 4: Stock Performance - On July 1, 2025, Centene withdrew its previous guidance after an independent actuarial report indicated that market growth in 22 of the 29 states was lower than expected, leading to a significant stock price drop of $22.87 per share, or over 40%, from $56.65 to $33.78 [5].

Core Viewpoint - A shareholder has filed a securities class action lawsuit against Centene Corporation for alleged misrepresentations regarding the company's enrollment and morbidity rates during a specified period [1][2]. Group 1: Lawsuit Details - The lawsuit is on behalf of investors who purchased or acquired Centene's securities between December 12, 2024, and June 30, 2025 [1]. - Defendants are accused of making misrepresentations about the state of Centene's enrollment and morbidity rates [2]. Group 2: Lead Plaintiff Information - Interested parties wishing to serve as lead plaintiff must file papers by September 8, 2025 [3]. - Serving as lead plaintiff is not a requirement for sharing in any potential recovery, and shareholders can remain absent class members if they choose not to take action [3]. Group 3: Law Firm Background - Bernstein Liebhard LLP has recovered over $3.5 billion for clients since 1993 and has represented large public and private pension funds [4]. - The firm has been recognized multiple times for its success in litigating class actions, being named to The National Law Journal's "Plaintiffs' Hot List" thirteen times and listed in The Legal 500 for sixteen consecutive years [4].

Centene Corporation (NYSE: CNC ) offers a variety of healthcare insurance products, including Medicare, Medicaid, and more. A few days ago, shares of this company plunged after the company withdrew guidance for 2025, with much of this being driven byLong-time stock market investor focused on strategic buying opportunities with dividend and value stocks. This investment strategy has resulted in a near 5 star rating on Tipranks.com and over 9,000 followers on Seeking Alpha. Follow me on Twitter for my latest ...

Core Viewpoint - A class action lawsuit has been filed against Centene Corporation for allegedly misleading investors about its revenue outlook and growth projections during the class period from December 12, 2024, to June 30, 2025 [1][3]. Summary by Relevant Sections Lawsuit Details - The lawsuit was initiated by Bragar Eagel & Squire, P.C. on behalf of individuals and entities that acquired Centene securities during the specified class period [1]. - Investors have until September 8, 2025, to apply to be appointed as lead plaintiff in the lawsuit [1]. Allegations Against Centene - The complaint claims that Centene misrepresented its revenue outlook and growth potential, while promoting favorable enrollment rates and low morbidity [3]. - A preliminary analysis indicated that over two-thirds of Centene's marketplace share experienced lower-than-expected enrollment and increased morbidity [3]. Impact of Guidance Withdrawal - On July 1, 2025, Centene withdrew its 2025 guidance, revealing that its market growth across 22 states (72% of its marketplace membership) was below expectations [4]. - The revised guidance indicated a reduction to approximately $1.8 billion in revenue and an adjusted diluted EPS of $2.75 [4]. - Following this announcement, Centene's stock price plummeted from $56.65 per share to $44.78 per share, marking a decline of over 40% [4].

Core Viewpoint - The Centene class action lawsuit alleges that Centene Corporation and its executives misled investors regarding the company's revenue outlook and growth potential during the specified class period, leading to significant financial losses for shareholders [1][3][4]. Group 1: Lawsuit Details - The class action lawsuit is titled Lunstrum v. Centene Corporation and covers the period from December 12, 2024, to June 30, 2025 [1]. - The lawsuit claims that Centene provided false information about its projected revenue and growth, particularly regarding enrollment rates and morbidity [3]. - On July 1, 2025, Centene withdrew its 2025 guidance, revealing that its market growth across 22 states was lower than expected, resulting in a significant stock price drop of over 40% [4]. Group 2: Financial Impact - The preliminary analysis indicated that over two-thirds of Centene's marketplace share showed lower-than-anticipated enrollment and increased morbidity, contradicting the company's optimistic reports [3]. - Following the withdrawal of guidance, Centene's adjusted diluted EPS was reduced to approximately $2.75, with a total guidance reduction to about $1.8 billion [4]. Group 3: Legal Process - Investors who suffered losses during the class period can seek to become the lead plaintiff in the lawsuit, representing the interests of all class members [5]. - The lead plaintiff has the authority to select a law firm for litigation and does not need to be the lead plaintiff to share in any potential recovery [5]. Group 4: Law Firm Background - Robbins Geller Rudman & Dowd LLP is a prominent law firm specializing in securities fraud and shareholder litigation, having recovered over $2.5 billion for investors in 2024 alone [6]. - The firm has been recognized for securing significant monetary relief for investors and has a strong track record in handling large securities class action recoveries [6].

Stock Performance - Centene 股票下跌 40% [1] Potential Risks - 可能因 1 万亿美元的 Medicaid 削减而下滑 [1]

Core Insights - The Big Beautiful Bill Act (BBBA) is projected to cut $1 trillion from Medicaid, which constitutes 62% of Centene's 2024 revenue [2][4] - Centene's stock experienced a 40% decline following the withdrawal of its 2025 revenue guidance due to an independent actuary's report indicating overly optimistic revenue assumptions [2][3] - S&P Global Ratings is contemplating downgrading Centene's credit rating to junk status, which could increase the company's cost of capital [4][14] Financial Performance - Centene's revenue from Medicaid was $101.4 billion, representing 62% of total revenue for 2024, while Medicare contributed 14% and the Commercial Marketplace business unit accounted for 21% [7] - In Q1 2025, Centene reported a 15.4% increase in revenue to $46.6 billion, exceeding analyst expectations [16] - The company’s adjusted earnings per share (EPS) for Q1 2025 was $2.90, which was 22.9% higher than consensus estimates [16] Market Impact - The BBBA's Medicaid cuts could reduce Centene's revenue growth rate by one percentage point annually over the next five years, from 5% to 4% [13] - Analysts have expressed concerns about the potential for Centene's EPS forecast to be significantly lowered, with estimates suggesting a possible reduction of $2.75 [11][12] - Despite the negative outlook, some analysts believe Centene is significantly undervalued, with a 12-month price target averaging $63.08, indicating a potential upside of nearly 91% [20] Strategic Concerns - The withdrawal of revenue guidance has raised questions about Centene's future profitability and capital adequacy, leading to increased scrutiny from credit rating agencies [15] - The company faces challenges in offsetting potential revenue losses from Medicaid cuts with other business lines [8] - The healthcare sector, particularly managed care, is viewed as increasingly risky by some analysts, with concerns that conditions may worsen before improving [19]

Stock Performance - Centene 股票下跌 40% [1] Potential Risks - Medicaid 削减 1 万亿美元可能导致股价下跌 [1]

Core Viewpoint - A class action lawsuit has been filed against Centene Corporation for allegedly providing misleading statements regarding its enrollment and morbidity rates, leading to a significant drop in stock price after the company withdrew its 2025 guidance [3][4]. Company Overview - Centene Corporation is facing legal action for allegedly disseminating materially false and misleading statements about its business performance during the period from December 12, 2024, to June 30, 2025 [1]. - The lawsuit claims that Centene's positive public statements were contradicted by the actual lower-than-expected market growth across 22 states, which constitutes 72% of the company's marketplace membership [3]. Financial Impact - Following the announcement of the withdrawal of 2025 guidance, Centene's stock price plummeted from $56.65 per share on July 1, 2025, to $33.78 per share on July 2, 2025, marking a decline of 40.4% [4]. - The company revised its guidance to approximately $1.8 billion, with an adjusted diluted EPS of $2.75, indicating a significant downward adjustment in expectations [3].