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Wall Street Has a Mixed Opinion on GoodRx Holdings (GDRX)
Yahoo Finance· 2025-09-30 18:49
GoodRx Holdings, Inc. (NASDAQ:GDRX) is one of the Best Penny Stocks to Buy with the Highest Upside Potential. Wall Street has a mixed opinion on GoodRx Holdings, Inc. (NASDAQ:GDRX) since the company released its fiscal second quarter results on August 6, 2025. The company posted a revenue of $203.07 million, up slightly by 1.23% year-over-year, but below the consensus by $2.64 million. The EPS of $0.04 stayed in line with the expectations. Management noted that the prescription transaction revenue fell 3% ...
Analyst Favors Cigna, Alignment Healthcare, Cautious On Peers
Benzinga· 2025-09-02 18:00
Investment Overview - Cigna Group's Evernorth Health Services announced a $3.5 billion investment in Shields Health Solutions, a specialty pharmacy management company [1] - The investment coincided with Shields' establishment as a private, stand-alone company following its acquisition by Sycamore Partners, which previously acquired Walgreens Boots Alliance, Shields' former owner [1] Financial Impact - The investment in Shields was made in the form of preferred stock and is not expected to materially impact Cigna's previously issued 2025 adjusted EPS guidance of at least $29.60 [2] - BofA Securities noted that Cigna is a pure-play commercial insurer, maintaining a long-term EPS growth outlook [2] Market Position and Growth - Cigna's large pharmacy benefits and specialty drug businesses provide broad exposure to rising drug spending, including obesity treatments, biosimilars, and gene therapies, without reliance on individual products [3] - Analyst Kevin Fischbeck projects EPS growth of 10%–15% annually, with a 9% free cash flow yield, while avoiding regulatory risks faced by peers, supporting expected returns of 10–15% [3] Stock Performance - Cigna Group's stock was reported to be up 0.22% at $301.65 at the time of publication [6]
UnitedHealth Group Stock Just Hit a 5-Year Low. 5 Things Investors Need to Know.
The Motley Fool· 2025-05-20 08:42
Core Viewpoint - UnitedHealth Group has experienced significant stock decline despite being a leader in the health insurance and pharmacy benefits management sectors, with shares dropping over 50% from late 2024 peak levels [1] Financial Guidance - UnitedHealth Group recently withdrew its 2025 financial guidance, initially projecting net earnings of $24.65 to $25.15 per share and adjusted earnings of $26 to $26.50 per share, reflecting a modest year-over-year decline of around 5% [2][3] - The company cited higher-than-expected medical expenditures, particularly for new Medicare Advantage beneficiaries, as a reason for the weaker outlook, although it anticipates a return to growth in 2026 [3] Leadership Changes - The abrupt departure of CEO Andrew Witty for personal reasons coincided with the announcement of the suspended 2025 outlook [4] - Stephen J. Hemsley has been appointed as the new CEO, effective immediately, while also continuing as chairman of the board [5] Regulatory Scrutiny - The U.S. Department of Justice is reportedly investigating UnitedHealth Group for potential Medicare fraud, following earlier disclosures about the investigation into the company's Medicare billing practices [6] - UnitedHealth Group has denied being notified of any criminal investigation and defended the integrity of its Medicare Advantage program [7] PBM Challenges - UnitedHealth Group's Optum Rx pharmacy benefits management business faces pressure from political initiatives aimed at eliminating PBMs, as stated by President Trump [9] - In Q1 2025, Optum Rx generated over $13.9 billion in revenue, accounting for nearly 13% of UnitedHealth Group's total revenue, and contributed $1.3 billion in earnings before income taxes, representing 16% of the company's total [9] Market Sentiment - Despite recent challenges, Wall Street analysts remain largely bullish on UnitedHealth Group, with 22 out of 27 analysts rating the stock as a "buy" or "strong buy" [10][11] - The average 12-month price target suggests an upside potential of approximately 47% [11] - Concerns about leadership changes and regulatory investigations are viewed as manageable, with the stock trading at 11.5 times forward earnings, indicating a potential buying opportunity for aggressive investors [12][13]