NEW YORK, June 16, 2025 (GLOBE NEWSWIRE) -- Leading securities law firm Bleichmar Fonti & Auld LLP announces that a lawsuit has been filed against Elevance Health, Inc. (NYSE: ELV) and certain of the Company’s senior executives for potential violations of the federal securities laws. If you invested in Elevance you are encouraged to obtain additional information by visiting https://www.bfalaw.com/cases-investigations/elevance-health-inc. Investors have until July 11, 2025, to ask the Court to be appointed t ...

Core Viewpoint - A class action lawsuit has been filed against Elevance Health, Inc. for allegedly failing to disclose the impact of Medicaid redetermination on its business prospects, leading to significant financial misrepresentation [1][2]. Group 1: Allegations and Impact - The lawsuit claims that Elevance Health misled investors by stating they were monitoring Medicaid cost trends and that their premium negotiations were sufficient, despite rising Medicaid expenses [2]. - The company acknowledged rising Medicaid expenses but assured investors that these were adequately reflected in their financial guidance, which was later proven inaccurate as the acuity and utilization of Medicaid members increased significantly [2]. - Following the company's admission of increased Medicaid utilization on July 17, 2024, Elevance's stock price dropped by $32.21 per share, or 5.8%, indicating a negative market reaction to the news [3]. Group 2: Class Action Participation - Shareholders interested in participating in the class action must file their papers by July 11, 2025, to serve as lead plaintiff, representing the interests of other class members [4]. - Shareholders are not required to participate in the case to be eligible for recovery, allowing them to remain absent class members if they choose [4]. Group 3: Legal Representation - Robbins LLP operates on a contingency fee basis, meaning shareholders incur no fees or expenses for representation in the lawsuit [5].

Group 1 - The focus is on growth and dividend income, with a strategy aimed at creating a portfolio that emphasizes compounding dividend income and growth [1] - The portfolio is structured to provide monthly dividend income that increases through dividend reinvestment and annual raises [1] Group 2 - There is an intention to potentially start a position in OSCR in the near future [2] - The article serves as personal opinion and is not intended as a recommendation for stock purchase or sale [2] Group 3 - Past performance is not indicative of future results, and no specific investment advice is provided [3] - The views expressed may not represent those of Seeking Alpha as a whole, and the analysts may not be licensed or certified [3]

Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against Elevance Health, Inc. due to allegations of false and misleading statements regarding the company's financial health and Medicaid cost management [2][4]. Group 1: Legal Investigation - The law firm is encouraging investors who suffered losses exceeding $100,000 in Elevance between April 18, 2024, and October 16, 2024, to discuss their legal rights [1]. - A federal securities class action has been filed against Elevance, with a deadline of July 11, 2025, for investors to seek the role of lead plaintiff [2]. Group 2: Allegations Against Elevance - The complaint alleges that Elevance and its executives violated federal securities laws by making false statements and failing to disclose the true nature of rising Medicaid costs [4]. - On July 17, 2024, Elevance disclosed an expectation of increased second-half utilization in Medicaid, leading to a stock price decline of $32.21 per share, or 5.8% [5]. - Further revelations on October 17, 2024, indicated that Elevance missed consensus EPS expectations by $1.33, or 13.7%, due to elevated medical costs in its Medicaid business, resulting in a stock price drop of $52.61 per share, or 10.6% [6]. Group 3: Class Action Details - The lead plaintiff in a class action is the investor with the largest financial interest who directs the litigation on behalf of the class [7]. - Any member of the class can move to serve as lead plaintiff or remain an absent class member without affecting their ability to share in any recovery [7]. Group 4: Whistleblower Encouragement - Faruqi & Faruqi encourages individuals with information regarding Elevance's conduct, including whistleblowers and former employees, to come forward [8].

Industry Overview - The Zacks Accident and Health Insurance industry is expected to benefit from increased underwriting exposure and prudent underwriting standards among key players like Aflac, Unum Group, Trupanion, Globe Life, and AMERISAFE [1] - The industry has maintained profitability due to solid reserves, prudent claims management, and stable loss trends, although a softer performance is predicted for 2025 [2] - The global workers' compensation insurance market is projected to grow significantly between 2024 and 2032, driven by rising awareness of the benefits of coverage [3] Trends Impacting the Industry - Pricing pressure is anticipated to continue due to inflation, rising medical costs, and demographic changes, with workers' compensation insurance pricing expected to increase at a CAGR of 5.3% from 2022 to 2026 [4] - Claims frequency is improving due to better safety measures and working conditions, with a notable increase in the number of workers aged 75 and older expected to rise by 96.5% over the next decade [5] - The adoption of technology, including AI and data analytics, is accelerating in the industry, potentially reducing workers' compensation claim expenses by about 45% [6] Industry Performance - The Zacks Accident and Health Insurance industry ranks 95, placing it in the top 39% of 251 Zacks industries, indicating positive near-term prospects [7][8] - The industry has outperformed the Finance sector and the Zacks S&P 500 composite, with a collective gain of 29.6% over the past year compared to 5.8% and 2.2% respectively [10] Current Valuation - The industry is currently trading at a trailing 12-month price-to-book (P/B) ratio of 1.84X, significantly lower than the Zacks S&P 500 composite's 7.89X and the sector's 4.17X [13] Company Highlights - **Trupanion**: Positioned for growth in the underpenetrated pet insurance market, with a projected earnings increase of 130.4% in 2025 [19][20] - **Aflac**: Focused on strategic growth investments and digital solutions, with a long-term earnings growth rate of 4.8% [23][24] - **Unum Group**: Expected to see sales growth of 5-10% in 2025, with a long-term earnings growth rate of 7.2% [27][29] - **Globe Life**: Positive revenue trends driven by premium growth, with expected earnings increases of 10% and 9.8% in 2025 and 2026 respectively [32][34] - **AMERISAFE**: Benefits from a niche focus and a strong balance sheet, with a consistent record of dividend payments since 2013 [36][37]

Key Takeaways For 2025, Unum U.S. expects sales growth of 5-10% and an adjusted operating ROE of 23-25%. For 2025, Colonial Life projects 5-10% sales growth and 18-20% ROE. Favorable sales trends, risk experience, persistency, and capital strength position UNM for long-term growth.Unum Group (UNM) shares are trading at a discount compared to the Zacks Accident and Health Insurance industry. Its forward price-to-book value of 1.23X is lower than the industry average of 1.82X, the Finance sector’s 4.16X and ...

Core Viewpoint - UnitedHealth Group is positioned as a strong investment opportunity within the healthcare sector, especially given its recent stock price decline, which may provide a favorable entry point for value-oriented investors [1][2][15] Group 1: Financial Performance and Valuation - UnitedHealth Group's stock has decreased approximately 39% year-to-date as of mid-June, making it an attractive option for long-term investors [1] - The company reported substantial annual revenues of $400.3 billion in 2024, reflecting a 7.5% increase from the previous year [7] - The forward price-to-earnings (P/E) ratio is approximately 10.5 to 11, which is significantly lower than its historical 5-year average P/E in the higher teens to low twenties, indicating potential for capital appreciation [11][12] Group 2: Dividend and Shareholder Returns - UnitedHealth Group recently increased its quarterly dividend from $2.10 to $2.21 per share, resulting in an annual dividend of $8.84 and a current yield of 2.85% [8] - The company has a strong track record of dividend increases, with 15 consecutive years of raising dividends, and a payout ratio of 37.02% [6][8] Group 3: Strategic Initiatives - The company is divesting its Latin American operations, specifically its unit Banmedica in Colombia and Chile, with potential bids valued around $1 billion, aimed at focusing on more profitable U.S. markets [9][8] - UnitedHealth Group's business model is supported by two main segments: UnitedHealthcare, which serves millions as a major U.S. health insurer, and Optum, which drives growth through technology-enabled health services [4][6] Group 4: Leadership and Insider Confidence - The return of Stephen Hemsley as CEO is seen as a stabilizing factor, given his extensive experience in guiding the company through various industry cycles [13] - Significant insider purchases, including Hemsley's investment of approximately $25 million and CFO John Rex's $5 million purchase, reflect strong internal confidence in the company's strategic direction [14]

Key Takeaways CVS reported Q1 MBR of 87.3%, up 310 bps year over year, aided by Medicare gains and reserve development. CVS booked a $431M reserve for expected losses related to individual exchange exit, adding 130 bps to MBR. CVS now expects full-year MBR of 91.3%, slightly better than its prior forecast of 91.5%.CVS Health (CVS) , through its Aetna business, uses the medical benefit ratio (MBR) to track the portion of premium revenues it spends on medical benefits for insured members. In the first quart ...

I grant Molina Healthcare (NYSE: MOH ) a Strong Buy rating. Some readers might think this rating is absurd due to the U.S. plan to cut Medicaid expenses by $880 billion over the next ten years. This planDaniel Mellado is an economist from Carabobo University with a Master's Degree in Statistics from Simon Bolivar University, both obtained in Venezuela.Daniel worked analyzing the agricultural commodity market and the financial investment portfolio for an agribusiness group. Then, he managed two teams, one in ...

New features blend innovation, responsible AI, and human interactions to better support customers in their health care journeys As new data show 4 out of 5 U.S. adults don't feel confident in their knowledge of health insurance benefits, new digital tools use clear, conversational language to boost understanding and help customers get more out of their coverage BLOOMFIELD, Conn., June 12, 2025 /PRNewswire/ -- Cigna Healthcare, the health benefits division of The Cigna Group (NYSE: CI), is introducing a ser ...