Oscar Health's Q1 Earnings: Revenue Up 42% YoY, Net Income $275M

Oscar Health (OSCR) stock price has dropped 72 cents to $14.80 per share amid significant options activity, with a put/call ratio of 1.79. Implied volatility has increased by 7.4 points, and a flattening put-call skew hints at a slightly more optimistic tone. Analysts forecast an average target price of $14.74, with a high estimate of $21.00 and a low estimate of $8.00. The company reported Q1 2025 revenue of $3 billion, a 42% increase YoY, and net income of approximately $275 million, a $98 million improvement over the prior year period.

Oscar Health Inc. (OSCR) stock price has dropped by 72 cents to $14.80 per share amid significant options activity. The company's put/call ratio has reached 1.79, indicating a strong bearish sentiment among investors. Implied volatility has increased by 7.4 points, suggesting heightened market uncertainty. Additionally, a flattening put-call skew hints at a slightly more optimistic tone.

Analysts forecast an average target price of $14.74, with a high estimate of $21.00 and a low estimate of $8.00. The company reported Q1 2025 revenue of $3 billion, a 42% increase year-over-year (YoY), and net income of approximately $275 million, a $98 million improvement over the prior year period.

The options activity suggests that a significant number of investors are positioning themselves for a potential decline in OSCR's stock price. The put/call ratio of 1.79 indicates that there are more put options (bearish bets) than call options (bullish bets) being traded. This ratio is an important indicator of market sentiment and can provide insights into how investors expect the stock price to move.

The increase in implied volatility by 7.4 points indicates that the market is more uncertain about OSCR's future performance. This uncertainty can lead to more significant price movements and increased trading activity. The flattening put-call skew suggests that the market is less concerned about extreme downside risk, which could indicate a slightly more optimistic view on the stock's future prospects.

Analysts' target prices for OSCR range from $8.00 to $21.00, with an average target of $14.74. The wide range of estimates highlights the differing opinions among analysts regarding OSCR's future performance. Some analysts are more optimistic about the stock's potential, while others are more cautious.

The company's strong Q1 2025 financial results, including a 42% YoY increase in revenue and a $98 million improvement in net income, may have contributed to the recent options activity. However, the bearish sentiment among investors, as indicated by the put/call ratio and implied volatility, suggests that many traders believe the stock price will continue to decline.

Investors should closely monitor OSCR's stock price and options activity, as well as any upcoming earnings reports and analyst ratings, to stay informed about the company's future prospects. The recent unusual options activity and analyst ratings provide valuable insights into the market's expectations for OSCR's stock price.

References:
[1] https://www.nasdaq.com/articles/oscar-health-unusual-options-activity-july-11
[2] https://www.marketbeat.com/instant-alerts/oscar-health-target-of-unusually-large-options-trading-nyseoscr-2025-07-11/