Recent News
On June 22, 2026 Centene appointed Lauren M. Tyler to its board of directors. On July 7, 2026 Cantor Fitzgerald raised its price target for Centene citing payor outlook. On July 23, 2026 director Kenneth Burdick notified the company of his resignation effective July 28, 2026.
Technical Analysis
ADX and Directional Indicators — ADX registers 21.19, indicating an emerging trend strength. DI+ shows a peak-and-reversal, which signals bearish directional pressure; DI- sits at 24.57 and trends decreasing, which signals a bullish directional shift. Together these readings produce offsetting directional cues that imply limited conviction until ADX moves decisively higher, so price action may trade in a range near current levels.
MACD — MACD stands at 0.41 with the signal line at 0.32 and the MACD trend increasing; the MACD line sits above its signal line, which represents a bullish momentum crossover. That bullish momentum supports upside continuation toward consensus analyst targets if momentum holds.
MRO (Momentum/Regression Oscillator) — MRO reads 13.66 (positive) and shows a peak-and-reversal. A positive MRO indicates the price sits above its target and faces potential downward pressure; the peak-and-reversal trend raises the near-term probability of a pullback or consolidation before any fresh advance.
RSI and Momentum — RSI sits at 55.24 and trends higher, indicating mild bullish momentum without overbought extremes. That level supports further upside but leaves room for mean-reversion if selling pressure appears.
Price Structure, Averages, and Bands — The last close at $67.07 sits above the 20-day average ($64.26), 50-day average ($64.65), and 200-day average ($47.79), confirming a bullish structural bias. Price trades slightly above the upper 1× Bollinger band ($66.37) and just below the super-trend upper level ($67.12), which places near-term resistance very close to the current market price and raises the chance of a short pause or pullback.
Volume and Volatility — Daily volume at ~3.24M runs below the 10-day average (~4.95M) and the 200-day average (~6.30M), while 42‑ and 52‑week volatilities sit low. The advance shows limited participation, which reduces conviction behind the move and increases sensitivity to negative momentum signals (MRO peak/reversal, DI+ peak).
Fundamental Analysis
Top-line and margins — Total revenue reached $53,579,000,000. Trailing revenue growth year-over-year measures 59.89%, with quarter-over-quarter acceleration recorded. Operating income stands at $1,198,000,000 and EBIT at $1,639,000,000, yielding an EBIT margin of 3.06%. EBIT margin contracted about 32.49% quarter-over-quarter and fell about 18.19% year-over-year, reflecting margin pressure despite strong revenue expansion.
Profitability and returns — Net income totaled $1,091,000,000. Return on equity registers 4.84% and return on assets 1.33%, both positive but modest given the company’s scale. Interest coverage remains healthy at roughly 10.71x, while debt-to-EBITDA sits near 8.31x, indicating elevated leverage relative to EBITDA though interest serviceability appears intact.
Cash flow and liquidity — Operating cash flow reached $3,590,000,000 with free cash flow of $3,416,000,000 and a free cash flow yield of 11.49%. Centene carries $24,151,000,000 in cash and $27,057,000,000 in cash and short-term investments, supporting near-term obligations; current ratio registers about 1.15.
EPS and surprises — Reported EPS equals $2.51 versus an estimate of $1.08, a $1.43 beat that represents a 132.41% surprise relative to the estimate. That earnings beat supports a near-term re-rating but does not remove operating-margin trends shown above.
Peer comparisons where available — The EBIT margin at 3.06% sits below the industry peer mean of 7.68% and below the industry peer median of 4.46% while remaining above the industry peer low. Receivables turnover of 2.86 sits below the industry peer mean but within the peer range provided. Use of the industry peer mean and median clarifies where operating margin and efficiency metrics lag or align.
Valuation note — WMDST values the stock as under-valued. Key valuation metrics: market capitalization about $29.73B, enterprise value about $18.77B, enterprise multiple ~9.68, and free cash flow yield ~11.49%. Those cash-flow and multiple metrics underlie the WMDST valuation stance while remaining subject to operating-margin trends and leverage dynamics.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2026-06-30 |
| REPORT DATE: | 2026-07-28 |
| NEXT REPORT DATE: | 2026-10-27 |
| CASH FLOW | Begin Period Cash Flow | $ 21.4 B |
| Operating Cash Flow | $ 3.6 B | |
| Capital Expenditures | $ -174.00 M | |
| Change In Working Capital | $ 2.1 B | |
| Dividends Paid | — | |
| Cash Flow Delta | $ 2.9 B | |
| End Period Cash Flow | $ 24.3 B | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 53.6 B | |
| Forward Revenue | $ 8.0 B | |
| COSTS | ||
| Cost Of Revenue | $ 49.0 B | |
| Depreciation | $ 139.0 M | |
| Depreciation and Amortization | $ 300.0 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 52.4 B | |
| PROFITABILITY | ||
| Gross Profit | $ 4.6 B | |
| EBITDA | $ 1.9 B | |
| EBIT | $ 1.6 B | |
| Operating Income | $ 1.2 B | |
| Interest Income | — | |
| Interest Expense | $ 153.0 M | |
| Net Interest Income | $ -153.00 M | |
| Income Before Tax | $ 1.5 B | |
| Tax Provision | $ 399.0 M | |
| Tax Rate | 26.9 % | |
| Net Income | $ 1.1 B | |
| Net Income From Continuing Operations | $ 1.1 B | |
| EARNINGS | ||
| EPS Estimate | $ 1.08 | |
| EPS Actual | $ 2.51 | |
| EPS Difference | $ 1.43 | |
| EPS Surprise | 132.407 % | |
| Forward EPS | $ 1.33 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 83.0 B | |
| Intangible Assets | $ 15.0 B | |
| Net Tangible Assets | $ 7.5 B | |
| Total Current Assets | $ 46.7 B | |
| Cash and Short-Term Investments | $ 27.1 B | |
| Cash | $ 24.2 B | |
| Net Receivables | $ 18.1 B | |
| Inventory | — | |
| Long-Term Investments | $ 2.9 B | |
| LIABILITIES | ||
| Accounts Payable | $ 18.0 B | |
| Short-Term Debt | $ 75.0 M | |
| Total Current Liabilities | $ 40.8 B | |
| Net Debt | — | |
| Total Debt | $ 16.1 B | |
| Total Liabilities | $ 60.4 B | |
| EQUITY | ||
| Total Equity | $ 22.6 B | |
| Retained Earnings | $ 11.3 B | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 45.67 | |
| Shares Outstanding | 493.987 M | |
| Revenue Per-Share | $ 108.46 | |
| VALUATION | Market Capitalization | $ 29.7 B |
| Enterprise Value | $ 18.8 B | |
| Enterprise Multiple | 9.682 | |
| Enterprise Multiple QoQ | 113.768 % | |
| Enterprise Multiple YoY | -87.636 % | |
| Enterprise Multiple IPRWA | high: 87.909 mean: 34.227 median: 32.178 CNC: 9.682 low: 9.161 |
|
| EV/R | 0.35 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 3.679 | |
| Asset To Liability | 1.375 | |
| Debt To Capital | 0.417 | |
| Debt To Assets | 0.194 | |
| Debt To Assets QoQ | -3.803 % | |
| Debt To Assets YoY | -4.64 % | |
| Debt To Assets IPRWA | high: 0.838 mean: 0.375 median: 0.301 CNC: 0.194 low: 0.006 |
|
| Debt To Equity | 0.714 | |
| Debt To Equity QoQ | -6.574 % | |
| Debt To Equity YoY | 11.296 % | |
| Debt To Equity IPRWA | high: 1.375 mean: 0.807 median: 0.748 CNC: 0.714 low: 0.011 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 1.318 | |
| Price To Book QoQ | 48.748 % | |
| Price To Book YoY | 105.646 % | |
| Price To Book IPRWA | high: 7.829 mean: 2.092 median: 1.767 CNC: 1.318 low: -0.321 |
|
| Price To Earnings (P/E) | 23.974 | |
| Price To Earnings QoQ | 109.344 % | |
| Price To Earnings YoY | -126.209 % | |
| Price To Earnings IPRWA | high: 133.945 mean: 48.954 median: 45.322 CNC: 23.974 low: -16.66 |
|
| PE/G Ratio | -0.939 | |
| Price To Sales (P/S) | 0.555 | |
| Price To Sales QoQ | 46.0 % | |
| Price To Sales YoY | 54.013 % | |
| Price To Sales IPRWA | high: 11.857 mean: 2.384 median: 1.655 CNC: 0.555 low: 0.158 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 42.333 | |
| Forward PE/G | -1.659 | |
| Forward P/S | 3.755 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | -3.789 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.653 | |
| Asset Turnover Ratio QoQ | 3.186 % | |
| Asset Turnover Ratio YoY | 16.117 % | |
| Asset Turnover Ratio IPRWA | high: 1.051 CNC: 0.653 median: 0.419 mean: 0.417 low: 0.156 |
|
| Receivables Turnover | 2.857 | |
| Receivables Turnover Ratio QoQ | 7.361 % | |
| Receivables Turnover Ratio YoY | 28.935 % | |
| Receivables Turnover Ratio IPRWA | high: 7.49 mean: 3.742 median: 3.723 CNC: 2.857 low: 0.6 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 31.935 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | -3.834 | |
| Cash Conversion Cycle Days QoQ | -178.591 % | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | high: 133.289 median: 17.698 mean: 13.096 CNC: -3.834 low: -56.959 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 9.041 | |
| CapEx To Revenue | -0.003 | |
| CapEx To Depreciation | -1.252 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 38.6 B | |
| Net Invested Capital | $ 38.7 B | |
| Invested Capital | $ 38.7 B | |
| Net Tangible Assets | $ 7.5 B | |
| Net Working Capital | $ 5.9 B | |
| LIQUIDITY | ||
| Cash Ratio | 0.664 | |
| Current Ratio | 1.145 | |
| Current Ratio QoQ | 1.952 % | |
| Current Ratio YoY | 4.322 % | |
| Current Ratio IPRWA | high: 2.421 CNC: 1.145 mean: 1.052 median: 0.866 low: 0.846 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 8.306 | |
| Cost Of Debt | 0.689 % | |
| Interest Coverage Ratio | 10.712 | |
| Interest Coverage Ratio QoQ | -22.367 % | |
| Interest Coverage Ratio YoY | -2193.251 % | |
| Interest Coverage Ratio IPRWA | high: 26.066 CNC: 10.712 mean: 6.327 median: 6.254 low: -4.266 |
|
| Operating Cash Flow Ratio | 0.095 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 35.768 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 2.263 % | |
| Revenue Growth | 7.278 % | |
| Revenue Growth QoQ | 1554.091 % | |
| Revenue Growth YoY | 59.886 % | |
| Revenue Growth IPRWA | high: 9.387 % CNC: 7.278 % median: 3.075 % mean: 1.519 % low: -4.983 % |
|
| Earnings Growth | -25.519 % | |
| Earnings Growth QoQ | -93.34 % | |
| Earnings Growth YoY | -78.298 % | |
| Earnings Growth IPRWA | high: 108.333 % median: 0.389 % mean: -4.425 % CNC: -25.519 % low: -112.5 % |
|
| MARGINS | ||
| Gross Margin | 8.587 % | |
| Gross Margin QoQ | -22.834 % | |
| Gross Margin YoY | 42.028 % | |
| Gross Margin IPRWA | high: 96.512 % mean: 28.905 % median: 14.844 % CNC: 8.587 % low: 7.168 % |
|
| EBIT Margin | 3.059 % | |
| EBIT Margin QoQ | -32.487 % | |
| EBIT Margin YoY | -1818.539 % | |
| EBIT Margin IPRWA | high: 25.559 % mean: 7.683 % median: 4.462 % CNC: 3.059 % low: -4.917 % |
|
| Return On Sales (ROS) | 2.236 % | |
| Return On Sales QoQ | -39.989 % | |
| Return On Sales YoY | -370.375 % | |
| Return On Sales IPRWA | high: 23.787 % mean: 8.646 % median: 4.433 % CNC: 2.236 % low: -2.862 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 3.4 B | |
| Free Cash Flow Yield | 11.492 % | |
| Free Cash Flow Yield QoQ | -47.647 % | |
| Free Cash Flow Yield YoY | 27.945 % | |
| Free Cash Flow Yield IPRWA | CNC: 11.492 % high: 6.209 % mean: 2.071 % median: 1.947 % low: -4.3 % |
|
| Free Cash Growth | -18.003 % | |
| Free Cash Growth QoQ | -101.023 % | |
| Free Cash Growth YoY | -222.544 % | |
| Free Cash Growth IPRWA | high: 293.51 % median: 23.352 % mean: -17.916 % CNC: -18.003 % low: -438.717 % |
|
| Free Cash To Net Income | 3.131 | |
| Cash Flow Margin | 7.23 % | |
| Cash Flow To Earnings | 3.551 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.03 | |
| Return On Assets (ROA) | 1.329 % | |
| Return On Assets QoQ | -31.916 % | |
| Return On Assets YoY | -555.137 % | |
| Return On Assets IPRWA | high: 4.836 % mean: 1.579 % CNC: 1.329 % median: 1.176 % low: 0.129 % |
|
| Return On Capital Employed (ROCE) | 3.879 % | |
| Return On Equity (ROE) | 0.048 | |
| Return On Equity QoQ | -32.759 % | |
| Return On Equity YoY | -623.944 % | |
| Return On Equity IPRWA | high: 0.177 CNC: 0.048 mean: 0.043 median: 0.037 low: -0.05 |
|
| DuPont ROE | 4.96 % | |
| Return On Invested Capital (ROIC) | 3.099 % | |
| Return On Invested Capital QoQ | -29.408 % | |
| Return On Invested Capital YoY | -2125.49 % | |
| Return On Invested Capital IPRWA | high: 7.881 % mean: 3.372 % CNC: 3.099 % median: 2.555 % low: -0.608 % |
|