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Is ELV's Push Beyond Insurance a Blueprint for the Healthcare Future?

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Key Takeaways

  • Elevance Health is evolving from an insurer to a broad healthcare solutions provider.
  • ELV expands into primary care, digital health, pharmacy and preventive services.
  • Medicare Advantage membership rose 11% Y/Y in Q2 2025, driving 13.4% revenue growth.

Elevance Health, Inc. (ELV - Free Report) , a well-known health insurer in the United States, is continuously focusing on redefining itself beyond a traditional health insurer into a vast healthcare solutions provider. By forming strategic partnerships and alliances, the company is actively constructing relationships with care management organizations, technology platforms and value-based networks. It aims to develop a more patient-focused and integrated care model that meets the needs of individuals.

Elevance Health is expanding into areas like primary care, digital health and pharmacy services. This expansion aims to provide members with insurance coverage along with holistic models that give access to address the wider factors affecting health, including access to preventive services, behavioral health and social help.

These partnerships are designed to reduce expensive hospitalizations and emergency room visits. ELV is also utilizing AI-enabled platforms and telehealth services to provide direct care at members’ homes, making healthcare more accessible while reducing administrative costs. Recently, it integrated Food as Medicine into its care model to reduce food and nutrition insecurities while enhancing chronic disease management and preventive health outcomes.

With these initiatives, ELV can gain more members and retain customers. The company’s Medicare Advantage memberships improved 11% year over year in the second quarter of 2025, while individual membership grew 5.2%. In the same quarter, its total revenues rose 13.4% year over year.

Still, there will be challenges, as integrating various services into one place demands strong coordination. If the company can balance growth, trust and execution, it might indeed serve as a blueprint for the future of healthcare.

How Are Competitors Faring?

Some of ELV’s competitors in the value-based care space are UnitedHealth Group Incorporated (UNH - Free Report) and Humana Inc. (HUM - Free Report) .

With the help of its Optum division, UnitedHealth Group aims to reduce hospital admissions, enhance chronic condition management and improve patient satisfaction, which plays a crucial role in shaping outcomes and managing costs. In the first half of 2025, UnitedHealth Group reported 5.8% year-over-year growth in revenues in its Optum business.

Humana also delivers services like pharmacy, primary care and home health solutions, which are designed to improve the overall healthcare experience. Humana’s total adjusted revenues rose 9.9% year over year in the first half of 2025.

Elevance Health’s Price Performance, Valuation & Estimates

Shares of ELV have lost 14.9% in the year-to-date period compared with the industry’s decline of 0.2%.

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From a valuation standpoint, Elevance Health trades at a forward price-to-earnings ratio of 9.88, down from the industry average of 15.23. ELV has a Value Score of B at present.

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The Zacks Consensus Estimate for Elevance Health’s 2025 earnings is pegged at $29.88 per share, implying a 9.6% decline from the year-ago period.

Zacks Investment Research
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The stock currently carries a Zacks Rank #5 (Strong Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.


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