Financial writer recommends buying Elevance Health stock despite recent drop, citing strong industry trends and potential for significant upside.

After a dip in the wake of the release of UnitedHealth Group's Q4 2024 earnings figures, shares in the company and other managed care insurers have largely bounced back.

Elevance Health posted $418 million in profit for the fourth quarter of 2024, a figure that surpassed Wall Street's expectations despite decreasing 51% year-over-year. | Elevance Health posted $418 million in profit for the fourth quarter of 2024,

(Reuters) -Elevance Health on Thursday posted quarterly profit slightly above Wall Street expectations, helped by lower-than-expected spending on medical care for its members. The results lifted Elevance's shares more than 5% before the bell and also boosted peers such as Cigna and CVS Health.

U.S. stocks are drifting near a record as Wall Street’s recent rally loses some momentum. The S&P 500 slipped 0.1% in early trading Thursday, a day after after pulling to the edge of its all-time high set in early December.

The Indianapolis-based company said it had net income of $1.81 per share. Earnings, adjusted for one-time gains and costs, came to $3.84 per share. The results beat Wall Street expectations. The average estimate of 17 analysts surveyed by Zacks Investment Research was for earnings of $3.80 per share.

Elevance Health (ELV – Research Report), the Healthcare sector company, was revisited by a Wall Street analyst today. Analyst Scott Fidel from

Wall Street analysts forecast that Elevance Health (ELV) will report quarterly earnings of $3.82 per share in its upcoming release, pointing to a year-over-year decline of 32%. It is anticipated ...

Health-care companies rose sharply amid strong earnings.

Elevance Health led the insurance sector higher after it beat Wall Street’s sales and profit targets and raised its dividend. Elevance rose 5.5% before the bell, followed by Cigna, which rose 3.8% and UnitedHealth Group which gained 1.6%. CVS Health inched up 1.3%.

Analysts' evaluations of 12-month price targets offer additional insights, showcasing an average target of $492.5, with a high estimate of $512.00 and a low estimate of $478.00. A decline of 6.69% from the prior average price target is evident in the current average.

Flagship Harbor Advisors LLC increased its holdings in Elevance Health, Inc. (NYSE:ELV – Free Report) by 29.3% in the 4th quarter, according to the company in its most recent filing with the Securities and Exchange Commission.