Can Elevance (ELV) Hike Prices to Accommodate Rising Costs?

Core Insights - Artisan Partners' "Artisan Value Fund" reported a positive performance in Q3 2025, with returns of 0.83%, 0.91%, and 0.90% for its Investor Class, Advisor Class, and Institutional Class, respectively, against a 5.33% return for the Russell 1000 Value Index [1] Company Analysis - Elevance Health, Inc. (NYSE:ELV) is highlighted as a key stock in the Artisan Value Fund's portfolio, with a one-month return of 5.28% and a 52-week loss of 5.56%, closing at $348.38 per share with a market capitalization of $77.42 billion on December 29, 2025 [2] - The fund made a strategic decision to purchase Elevance Health, swapping it for Cigna, as both companies operate in the health insurance sector but have different business mixes. Elevance is noted for its diverse offerings in commercial, Medicare Advantage, and Medicaid, while Cigna has a larger pharmacy benefits management (PBM) business [3] - The investment case for Elevance is based on the expectation that its currently depressed earnings will recover as pricing adjusts to rising costs, with shares trading under 10X expected earnings per share compared to a 10-year average of 16X [3]