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Elevance Health (ELV) Dips More Than Broader Market: What You Should Know

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Elevance Health (ELV - Free Report) ended the recent trading session at $513.85, demonstrating a -0.16% swing from the preceding day's closing price. This change lagged the S&P 500's daily loss of 0.14%. On the other hand, the Dow registered a loss of 0.77%, and the technology-centric Nasdaq increased by 0.17%.

Coming into today, shares of the health insurer had gained 0.49% in the past month. In that same time, the Medical sector gained 0.88%, while the S&P 500 gained 5.34%.

Investors will be eagerly watching for the performance of Elevance Health in its upcoming earnings disclosure. The company is expected to report EPS of $10.52, up 11.21% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $42.46 billion, up 1.35% from the year-ago period.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $37.14 per share and a revenue of $172.38 billion, signifying shifts of +12.07% and +1.27%, respectively, from the last year.

Investors should also pay attention to any latest changes in analyst estimates for Elevance Health. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.01% upward. Elevance Health is currently a Zacks Rank #2 (Buy).

In terms of valuation, Elevance Health is presently being traded at a Forward P/E ratio of 13.86. This signifies a discount in comparison to the average Forward P/E of 20.92 for its industry.

Also, we should mention that ELV has a PEG ratio of 1.15. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Medical Services industry had an average PEG ratio of 1.63 as trading concluded yesterday.

The Medical Services industry is part of the Medical sector. Currently, this industry holds a Zacks Industry Rank of 68, positioning it in the top 27% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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