Group 1 - Centene Corporation's stock has rebounded significantly, rising 6% on September 24 and nearly 20% over the last month after a period of underperformance [2] - The stock's recent rally suggests it may have been undervalued, attracting investors who were waiting for a pullback [3] - Molina Healthcare appears to be a more attractive investment opportunity compared to Centene, demonstrating stronger revenue growth and profitability [3][6] Group 2 - Molina Healthcare's revenue growth over the last 12 months was 16.1%, while Centene's was 13.0% [6] - Over the last three years, Molina's average revenue growth was 12.8%, surpassing Centene's 8.9% [6] - Molina Healthcare has a last twelve months (LTM) margin of 3.8% and a three-year average margin of 4.2%, outperforming Centene in profitability [6] Group 3 - Centene provides health plan coverage and services to under-insured and uninsured individuals through government programs and commercial healthcare products [4] - Molina Healthcare offers managed healthcare services to low-income families and individuals, catering to 5.2 million members across 18 states [4]

Core Insights - Molina Healthcare, Inc. is a significant player in the managed healthcare services sector, focusing on low-income families and individuals through Medicaid and Medicare programs, with a market cap of $9.6 billion [1][2] Financial Performance - Molina's stock has experienced a significant decline, dropping 50.1% from its 52-week high of $359.97 on April 4, and 39.2% over the past three months, underperforming the Nasdaq Composite's 15% increase during the same period [3] - Year-to-date, Molina's stock is down 38.3%, and it has decreased 49.4% over the past 52 weeks, contrasting with the Nasdaq's 16.4% rise in 2025 and 27.9% increase over the past year [4] - Following the release of mixed Q2 results on July 23, Molina's stock plummeted 16.8%, despite premium collections rising 15.1% year-over-year, leading to a topline of $11.4 billion, which was up 15.7% year-over-year and 5.4% above expectations [5] - The company's adjusted EPS fell by 6.5% to $5.48, missing consensus estimates due to rising medical costs, prompting a reduction in the full-year outlook [6] Competitive Position - Compared to its peer Centene Corporation, Molina has fared better, with Centene experiencing a 46.9% decline in 2025 and a 57.9% drop over the past 52 weeks [6]

Deep-pocketed investors have adopted a bearish approach towards Molina Healthcare MOH, and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in MOH usually suggests something big is about to happen.We gleaned this information from our observations today when Benzinga's options scanner highlighted 9 extraordinary options activities for Molina Heal ...

Core Viewpoint - Molina Healthcare's recent earnings report indicates a mixed performance, with adjusted EPS slightly missing estimates and total revenues showing significant year-over-year growth, but challenges remain due to rising medical care costs and operational expenses [3][4][7]. Financial Performance - Molina reported Q2 2025 adjusted EPS of $5.48, missing the Zacks Consensus Estimate of $5.50, and reflecting a 6.5% decline from the previous year [3]. - Total revenues reached $11.4 billion, marking a 15.7% increase year-over-year and exceeding the consensus estimate by 5.4% [3]. - Premium revenues of $10.9 billion increased by 15% year-over-year, driven by contract wins and rate hikes, surpassing the consensus estimate of $10.4 billion [5]. Operational Metrics - Total membership grew by 3% year-over-year to approximately 5.7 million, although it fell short of the Zacks Consensus Estimate by 0.8% [6]. - The consolidated medical care ratio (MCR) was 90.4%, up from 88.6% a year ago, indicating higher medical costs relative to premium revenues [8]. Expense Analysis - Total operating expenses increased by 17% year-over-year to $11.1 billion, exceeding model estimates due to rising medical care costs and administrative expenses [7]. - Interest expenses rose to $48 million from $28 million in the prior year, reflecting increased financial costs [7]. Guidance and Future Outlook - Management projects premium revenues to reach around $42 billion in 2025, a 9% increase from 2024, but adjusted EPS guidance has been lowered to at least $19 from a previous estimate of $24.50 [11]. - Adjusted net income is now expected to be $1.028 billion, with total membership projected at 5.9 million by the end of 2025 [12]. Market Sentiment - Recent estimates have shown a downward trend, with a significant shift of -35.62% in consensus estimates over the past month [13]. - Molina currently holds a Zacks Rank 5 (Strong Sell), indicating expectations of below-average returns in the near term [15].

Core Viewpoint - The healthcare and pharmaceutical sectors experienced gains on Monday, driven by notable stock movements following Warren Buffett's disclosure of holding shares in UnitedHealth [1] Group 1: Stock Performance - UnitedHealth (UNH.US) rose over 2.5% following the news of Buffett's investment [1] - Molina Health (MOH.US) increased by more than 2% [1] - Cigna (CI.US) saw a rise of over 1.5% [1] - Novo Nordisk (NVO.US) surged by 4.7% [1] - Johnson & Johnson (JNJ.US) experienced a slight increase of 0.22% [1] - Eli Lilly (LLY.US) rose by 0.4% [1]

Core Viewpoint - Pomerantz LLP is investigating potential securities fraud or unlawful business practices involving Molina Healthcare, Inc. and its officers or directors [1] Financial Performance - On July 7, 2025, Molina reported preliminary adjusted earnings of approximately $5.50 per share and lowered its full-year 2025 adjusted earnings guidance by over 10% to a range of $21.50 to $22.50 per share [3] - Following this announcement, Molina's stock price decreased by $6.97 per share, approximately 2.9%, closing at $232.61 per share [3] - On July 23, 2025, Molina released finalized second-quarter results, reporting adjusted earnings per diluted share of $5.48, which missed both analyst consensus estimates and prior company guidance [4] - The earnings shortfall was attributed to elevated medical cost pressures, including increased utilization of behavioral health, pharmacy, and inpatient/outpatient services [4] - Molina again lowered its full-year guidance due to updated information and revised assumptions regarding medical cost trends [4] - Following this news, Molina's stock price fell by $32.03 per share, approximately 16.8%, closing at $158.22 per share [5]

Group 1 - Centene Corp (CNC) and Molina Healthcare Inc (MOH) are experiencing stock price increases following Berkshire Hathaway's investment in UnitedHealth Group (UNH) [1] - CNC shares rose by 4.4% to $28.11, marking its third gain in four sessions, after previously hitting a low of $24 due to a negative outlook for 2025 [2] - MOH shares increased by 3.4% to $165.03, recovering from a low of $150 after a significant drop post-earnings [3] Group 2 - Despite recent challenges, options traders are showing a bullish sentiment towards both CNC and MOH, with CNC's put/call open interest ratio in the 10th percentile of its annual range and MOH's ratio higher than only 19% of readings from the past year [4]

Core Viewpoint - Molina Healthcare, Inc. is under investigation for potential securities fraud and unlawful business practices following disappointing financial results and guidance revisions [1][4]. Financial Performance - On July 7, 2025, Molina reported preliminary adjusted earnings of approximately $5.50 per share and lowered its full-year 2025 adjusted earnings guidance by over 10% to a range of $21.50 to $22.50 per share [3]. - Following this announcement, Molina's stock price decreased by $6.97, or about 2.9%, closing at $232.61 per share [3]. - On July 23, 2025, Molina released finalized second-quarter results, reporting adjusted earnings per diluted share of $5.48, which missed both analyst estimates and prior guidance [4]. - The earnings shortfall was attributed to increased medical cost pressures, including higher utilization of behavioral health, pharmacy, and inpatient/outpatient services [4]. - Molina again revised its full-year guidance downward due to updated information and revised assumptions regarding medical cost trends [4]. - Following the finalized results, Molina's stock price fell by $32.03, or approximately 16.8%, closing at $158.22 per share [5].

Core Viewpoint - Molina Healthcare, Inc. is under investigation for potential securities fraud and unlawful business practices following disappointing financial results and guidance revisions [1][4]. Financial Performance - On July 7, 2025, Molina reported preliminary adjusted earnings of approximately $5.50 per share and lowered its full-year 2025 adjusted earnings guidance by over 10% to a range of $21.50 to $22.50 per share [3]. - Following this announcement, Molina's stock price decreased by $6.97, or about 2.9%, closing at $232.61 per share [3]. - On July 23, 2025, Molina released finalized second-quarter results, reporting adjusted earnings per diluted share of $5.48, which missed both analyst estimates and prior guidance [4]. - The earnings shortfall was attributed to increased medical cost pressures, including higher utilization of behavioral health, pharmacy, and inpatient/outpatient services [4]. - Molina again revised its full-year guidance downward due to updated information and revised assumptions regarding medical cost trends [4]. - Following the finalized results, Molina's stock price fell by $32.03, or approximately 16.8%, closing at $158.22 per share [5].

NEW YORK, July 31, 2025 /PRNewswire/ -- Pomerantz LLP is investigating claims on behalf of investors of Molina Healthcare, Inc. ("Molina" or the "Company") (NYSE: MOH). Such investors are advised to contact Danielle Peyton at [email protected] or 646-581-9980, ext. 7980. On July 7, 2025, Molina issued preliminary financial results for the second quarter of 2025, reporting adjusted earnings of approximately $5.50 per share. In the same announcement, the Company lowered its full-year 2025 adjusted earnings gu ...