RBC Capital Downgrades GoHealth to Sector Perform, PT Cut to $12.

RBC Capital Downgrades GoHealth to Sector Perform, PT Cut to $12.

RBC Capital Markets has downgraded GoHealth, Inc. to "Sector Perform" and reduced its price target to $12 from $18. The downgrade reflects a reassessment of the company's growth prospects and market conditions [1].

GoHealth, Inc. is a Medicare-focused digital health company that operates a health insurance marketplace. The company primarily offers Medicare plans, including Medicare Advantage, Medicare Supplement, and prescription drug plans. Its technology platform leverages modern machine-learning algorithms powered by insurance behavioral data to help consumers find the right health plan for their needs. The company's Medicare Advantage offerings include Special Needs Plans (SNPs), which cater to individuals with special healthcare or financial needs.

RBC Capital Markets cited several factors for the downgrade, including concerns about the company's ability to maintain its growth trajectory and the competitive landscape in the digital health sector. The firm also noted that the recent changes in healthcare policy and market dynamics may impact GoHealth's business model.

Investors should closely monitor the company's future earnings reports and any updates from RBC Capital Markets to gauge the potential impact of this downgrade on GoHealth's stock price. The downgrade comes amidst a broader trend of increased scrutiny on digital health companies and their ability to deliver on growth expectations.

References:
[1] https://www.marketscreener.com/news/rbc-cuts-price-target-on-gohealth-to-12-from-18-keeps-sector-perform-rating-ce7c50dfdf80f120