Baird Analyst Maintains Neutral Rating for Centene Amid Significant Price Target Adjustment

Centene's (CNC) price target has been lowered to $28.00 from $68.00 by Baird, a 58.82% decrease. The analyst maintains a "Neutral" rating on the stock. The average one-year price target is $53.22, indicating a 98.87% upside from the current price. The estimated GF Value is $96.54, suggesting a 260.76% upside from the current price.

Centene Corporation (CNC) reported a significant second-quarter 2025 loss of $0.16 per share, driven by a notable $2.4 billion revenue shortfall. This shortfall has been attributed to changes within the Marketplace risk pool, prompting the company to plan pricing adjustments for 2026 [1]. Additionally, concerns have been raised about the company's Medicaid health benefits ratio, which stands at 94.9% [1].

Analysts have provided varying price targets for Centene. The average one-year price target from 16 analysts is $53.22, with a high estimate of $91.50 and a low estimate of $28.00. This indicates an 89.19% upside potential from the current price of $28.13 [1]. The average brokerage recommendation from 21 firms is 2.7, indicating a "Hold" status [1].

Baird, a prominent analyst firm, has recently lowered its price target for Centene from $68.00 to $28.00, representing a 58.82% decrease. The analyst maintains a "Neutral" rating on the stock [1]. Despite the lowered price target, the estimated GF Value for Centene in one year is $96.54, suggesting a 260.76% upside from the current price of $28.13 [1].

Investors should approach Centene with caution, considering the company's recent challenges and the cautious outlook from analysts. While the stock presents an attractive investment opportunity due to its low valuation, it is essential to conduct thorough research and consider the potential risks before making an investment decision.

References:
[1] https://www.gurufocus.com/news/3006335/centene-cnc-faces-challenges-with-q2-2025-loss-and-revenue-headwinds