Elevance Health's 0.87% Rise Hits 110th in $760M Volume Amid Legal Loss

Elevance Health (ELV) rose 0.87% on 2025-08-19, with a trading volume of $760 million, ranking 110th in the market. The stock’s movement followed a legal setback involving its Medicare Advantage plans.

A Texas federal judge dismissed Elevance’s lawsuit challenging the U.S. Department of Health and Human Services’ (HHS) 2025 Medicare star ratings. The company argued improper rounding of its 3.749565 score to 3.5 stars cost it at least $375 million in bonus payments tied to higher-tier ratings. The court ruled HHS’s methodology valid, citing the complexity of the evaluation process and no material flaws in the calculations. This outcome aligns with broader industry scrutiny, as multiple insurers have contested CMS’s 2025 ratings through legal channels.

Elevance, a major provider of Medicare Advantage plans, administers programs funded by the government but managed by private insurers. Star ratings determine bonus payments for plans meeting cost targets, with higher ratings yielding greater financial incentives. The company’s legal challenge highlighted tensions between insurers and regulatory frameworks, though the ruling reinforces HHS’s authority in rating methodologies. Other insurers, including Humana, have faced similar legal hurdles in recent months.

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