We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Elevance Health (ELV), CD&R to Unveil Primary Care Offering
Read MoreHide Full Article
Elevance Health Inc. (ELV - Free Report) inked an agreement with the private investment firm, Clayton, Dubilier & Rice (“CD&R”). The partnership aims to launch an enhanced primary care offering across several U.S. regions by incorporating specific care delivery and enablement assets from three care providers, ELV’s Carelon Health and two portfolio companies of CD&R, apree health and Millennium Physician Group (“MPG”).
Elevance Health’s investment in the recently announced tie-up will be a blend of cash and its stake in certain care delivery and enablement assets of Carelon Health, subject to customary regulatory approvals. However, the partnership will not inflict any material impact on the 2024 financial results of ELV. The 30-clinic network of Carelon Health will enable the new strategic collaboration to deliver care to individuals suffering from complex and chronic conditions.
By utilizing the unique capabilities of the three companies, the ulterior motive of the partnership remains to expedite innovation in primary care delivery and equip care providers to provide upgraded care and bring about improved health outcomes for patients.
The new offering will utilize data-driven insights, care coordination and referral management, and integrated health coaching thereby adding further strength to the patient-provider relationships. The partnership makes use of realigned incentives earned as part of value-based care agreements and assures to lower overall healthcare expenses. Under value-based care models, care providers are financially incentivized based on the quality of care they provide and the health outcomes of their patients.
In addition to this, users of the offering will have access to integrated care teams, personalized navigation, increased digital access and specialized services tailored for higher-need populations. Within the core of the new offering lies a holistic approach to cater to the physical, social and behavioral health needs of a person.
The latest tie-up reflects Elevance Health’s endeavor to provide increased access to high-quality primary care for its Commercial, Individual Exchange, Medicaid and Medicare health plan customers. And apree health and MPG seem to be the apt partner for complementing its endeavor. While apree health provides cutting-edge digital navigation and clinical advocacy capabilities that equip it to provide enhanced primary care, MPG operates as a leading primary care-centric platform and serves around 900 healthcare providers across several U.S. regions.
The payer-agnostic platform built as a result of the tie-up between Elevance Health and CD&R will be armed to cater to roughly 1 million consumers. The availability of such a lucrative primary care offering is expected to increase the uptake of ELV’s abovementioned plans by consumers and therefore, bolster its medical membership base. ELV served roughly 47 million medical members through its affiliated health plans as of Dec 31, 2023. An increase in membership count inevitably provides an impetus to premiums, the most significant contributor to any health insurer’s top line.
Elevance Health often resorts to similar efforts to boost membership growth. Recently, its brand, Anthem Blue Cross and Blue Shield, entered into a multi-year deal with the Georgia-based integrated healthcare system, Piedmont. As a result, Anthem Blue Cross and Blue Shield members, who are enrolled in employer-based, Health Insurance Exchange and Medicare Advantage plans, and reside across metro Atlanta, Athens, Augusta, Columbus, Macon and Rome regions of Georgia, can continue to enjoy affordable and enhanced access to quality care at the extensive provider network of Piedmont.
Shares of Elevance Health have gained 6% year to date compared with the industry’s 1.4% growth. ELV currently carries a Zacks Rank #3 (Hold).
Lantheus’ earnings outpaced estimates in each of the trailing four quarters, the average surprise being 14.84%. The Zacks Consensus Estimate for LNTH’s 2024 earnings indicates a rise of 5.6%, while the consensus mark for revenues suggests an improvement of 10.3% from the corresponding year-ago reported figures. The consensus mark for LNTH’s 2024 earnings has moved 4.9% north in the past 60 days.
The bottom line of Addus HomeCare beat estimates in each of the trailing four quarters, the average surprise being 9.52%. The Zacks Consensus Estimate for ADUS’ 2024 earnings indicates a rise of 6.1% while the consensus mark for revenues suggests an improvement of 7.9% from the corresponding year-ago reported figures. The consensus mark for ADUS’ 2024 earnings has moved 2.5% north in the past 60 days.
Encompass Health’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 20.06%. The Zacks Consensus Estimate for EHC’s 2024 earnings indicates a rise of 8.8% while the consensus mark for revenues suggests an improvement of 9.5% from the corresponding year-ago reported figures. The consensus mark for EHC’s 2024 earnings has moved 0.8% north in the past 60 days.
Shares of Addus HomeCare and Encompass Health have gained 6% and 19.3%. respectively, year to date. However, the Lantheus stock has declined 1.7% in the same time frame.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Shutterstock
Elevance Health (ELV), CD&R to Unveil Primary Care Offering
Elevance Health Inc. (ELV - Free Report) inked an agreement with the private investment firm, Clayton, Dubilier & Rice (“CD&R”). The partnership aims to launch an enhanced primary care offering across several U.S. regions by incorporating specific care delivery and enablement assets from three care providers, ELV’s Carelon Health and two portfolio companies of CD&R, apree health and Millennium Physician Group (“MPG”).
Elevance Health’s investment in the recently announced tie-up will be a blend of cash and its stake in certain care delivery and enablement assets of Carelon Health, subject to customary regulatory approvals. However, the partnership will not inflict any material impact on the 2024 financial results of ELV. The 30-clinic network of Carelon Health will enable the new strategic collaboration to deliver care to individuals suffering from complex and chronic conditions.
By utilizing the unique capabilities of the three companies, the ulterior motive of the partnership remains to expedite innovation in primary care delivery and equip care providers to provide upgraded care and bring about improved health outcomes for patients.
The new offering will utilize data-driven insights, care coordination and referral management, and integrated health coaching thereby adding further strength to the patient-provider relationships. The partnership makes use of realigned incentives earned as part of value-based care agreements and assures to lower overall healthcare expenses. Under value-based care models, care providers are financially incentivized based on the quality of care they provide and the health outcomes of their patients.
In addition to this, users of the offering will have access to integrated care teams, personalized navigation, increased digital access and specialized services tailored for higher-need populations. Within the core of the new offering lies a holistic approach to cater to the physical, social and behavioral health needs of a person.
The latest tie-up reflects Elevance Health’s endeavor to provide increased access to high-quality primary care for its Commercial, Individual Exchange, Medicaid and Medicare health plan customers. And apree health and MPG seem to be the apt partner for complementing its endeavor. While apree health provides cutting-edge digital navigation and clinical advocacy capabilities that equip it to provide enhanced primary care, MPG operates as a leading primary care-centric platform and serves around 900 healthcare providers across several U.S. regions.
The payer-agnostic platform built as a result of the tie-up between Elevance Health and CD&R will be armed to cater to roughly 1 million consumers. The availability of such a lucrative primary care offering is expected to increase the uptake of ELV’s abovementioned plans by consumers and therefore, bolster its medical membership base. ELV served roughly 47 million medical members through its affiliated health plans as of Dec 31, 2023. An increase in membership count inevitably provides an impetus to premiums, the most significant contributor to any health insurer’s top line.
Elevance Health often resorts to similar efforts to boost membership growth. Recently, its brand, Anthem Blue Cross and Blue Shield, entered into a multi-year deal with the Georgia-based integrated healthcare system, Piedmont. As a result, Anthem Blue Cross and Blue Shield members, who are enrolled in employer-based, Health Insurance Exchange and Medicare Advantage plans, and reside across metro Atlanta, Athens, Augusta, Columbus, Macon and Rome regions of Georgia, can continue to enjoy affordable and enhanced access to quality care at the extensive provider network of Piedmont.
Shares of Elevance Health have gained 6% year to date compared with the industry’s 1.4% growth. ELV currently carries a Zacks Rank #3 (Hold).
Image Source: Zacks Investment Research
Stocks to Consider
Some better-ranked stocks in the Medical space are Lantheus Holdings, Inc. (LNTH - Free Report) , Addus HomeCare Corporation (ADUS - Free Report) and Encompass Health Corporation (EHC - Free Report) . Lantheus currently sports a Zacks Rank #1 (Strong Buy), and Addus HomeCare and Encompass Health carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Lantheus’ earnings outpaced estimates in each of the trailing four quarters, the average surprise being 14.84%. The Zacks Consensus Estimate for LNTH’s 2024 earnings indicates a rise of 5.6%, while the consensus mark for revenues suggests an improvement of 10.3% from the corresponding year-ago reported figures. The consensus mark for LNTH’s 2024 earnings has moved 4.9% north in the past 60 days.
The bottom line of Addus HomeCare beat estimates in each of the trailing four quarters, the average surprise being 9.52%. The Zacks Consensus Estimate for ADUS’ 2024 earnings indicates a rise of 6.1% while the consensus mark for revenues suggests an improvement of 7.9% from the corresponding year-ago reported figures. The consensus mark for ADUS’ 2024 earnings has moved 2.5% north in the past 60 days.
Encompass Health’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 20.06%. The Zacks Consensus Estimate for EHC’s 2024 earnings indicates a rise of 8.8% while the consensus mark for revenues suggests an improvement of 9.5% from the corresponding year-ago reported figures. The consensus mark for EHC’s 2024 earnings has moved 0.8% north in the past 60 days.
Shares of Addus HomeCare and Encompass Health have gained 6% and 19.3%. respectively, year to date. However, the Lantheus stock has declined 1.7% in the same time frame.