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Will Health Benefits Weakness Drag Elevance's Q1 Earnings?
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Key Takeaways
Elevance Health will report Q1 2026 results on April 22, with EPS expected to fall 11.4% year over year.
Health Benefits segment operating income is projected to plunge 13.7%, clouding an earnings beat.
Elevance Health's benefit expense ratio is expected to be 87.5, up from 86.4 a year ago.
Elevance Health, Inc. (ELV - Free Report) is set to report its first-quarter 2026 results on April 22, 2026, before the opening bell. The Zacks Consensus Estimate for the to-be-reported quarter’s earnings is currently pegged at $10.61 per shareon revenues of $48.37 billion.
The first-quarter earnings estimate witnessed one downward revision and three upward revisions over the past 60 days. The bottom-line projection indicates a year-over-year decline of 11.4%. Also, the Zacks Consensus Estimate for quarterly revenues implies a year-over-year decrease of 0.8%.
Image Source: Zacks Investment Research
For 2026, the Zacks Consensus Estimate for Elevance’s revenues is pegged at $194.76 billion, implying a fall of 1.4% year over year. The consensus mark for 2026 EPS is pegged at $25.92, indicating a 14.4% year-over-year decrease.
Elevance’s earnings beat the consensus estimate in three of the trailing four quarters and missed once, with the average surprise being 7.9%. This is depicted in the figure below.
Our proven model does not conclusively predict an earnings beat for the company this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. That is not the case here.
ELV currently has an Earnings ESP of 0.00% and a Zacks Rank #4 (Sell). You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
What’s Shaping Elevance’s Q1 Results?
The Zacks Consensus Estimate for product revenues indicates 4.9% growth from the year-ago period’s $5.8 billion. The consensus estimate for premiums indicates a 1.8% decrease from the year-ago period.
The consensus mark for Commercial Individual membership implies 25.7% fall from a year ago, while our model estimate indicates a 23.7% decline. Also, declining memberships in Medicaid (-8.4%) are likely to have kept first-quarter performance in check. However, the consensus estimate for Commercial Fee-based memberships indicates 0.6% year-over-year growth.
Meanwhile, the Zacks Consensus Estimate for Carelon brand’s operating income for the first quarter indicates a 1.7% year-over-year decrease. The consensus estimate for the Health Benefits segment’s operating income for the first quarter indicates a 13.7% year-over-year plunge, making an earnings beat uncertain.
The Zacks Consensus Estimate for the benefit expense ratio is pegged at 87.5, higher than the year-ago level of 86.4.
Stocks That Warrant a Look
While an earnings beat looks uncertain for Elevance, here are some companies from the broader Medical space that you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat this time around:
The Zacks Consensus Estimate for Ensign’s bottom line for the to-be-reported quarter of $1.79 indicates 17.8% year-over-year growth. It has witnessed one upward revision against no downward movement over the past 60 days. The consensus mark for Ensign’s revenues is pegged at $1.39 billion, an 18.5% increase from a year ago.
Janux Therapeutics, Inc. (JANX - Free Report) has an Earnings ESP of +26.03% and a Zacks Rank of 3.
The Zacks Consensus Estimate for Janux Therapeutics’ bottom line for the to-be-reported quarter has improved by 3 cents over the past month. The company’s earnings beat estimates in three of the trailing four quarters and missed once, with an average surprise of 13.4%. The consensus estimate for JANX’s revenues is pegged at $15 million.
Cullinan Therapeutics, Inc. (CGEM - Free Report) has an Earnings ESP of +28.36% and a Zacks Rank of 3.
The Zacks Consensus Estimate for Cullinan Therapeutics’ bottom line for the to-be-reported quarter improved by 11 cents over the past 60 days. Its earnings beat estimates in three of the past four quarters and missed once. Cullinan Therapeutics’ revenues for the to be reported quarter are pegged at $17.34 million.
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Will Health Benefits Weakness Drag Elevance's Q1 Earnings?
Key Takeaways
Elevance Health, Inc. (ELV - Free Report) is set to report its first-quarter 2026 results on April 22, 2026, before the opening bell. The Zacks Consensus Estimate for the to-be-reported quarter’s earnings is currently pegged at $10.61 per shareon revenues of $48.37 billion.
The first-quarter earnings estimate witnessed one downward revision and three upward revisions over the past 60 days. The bottom-line projection indicates a year-over-year decline of 11.4%. Also, the Zacks Consensus Estimate for quarterly revenues implies a year-over-year decrease of 0.8%.
For 2026, the Zacks Consensus Estimate for Elevance’s revenues is pegged at $194.76 billion, implying a fall of 1.4% year over year. The consensus mark for 2026 EPS is pegged at $25.92, indicating a 14.4% year-over-year decrease.
Elevance’s earnings beat the consensus estimate in three of the trailing four quarters and missed once, with the average surprise being 7.9%. This is depicted in the figure below.
Elevance Health, Inc. Price and EPS Surprise
Elevance Health, Inc. price-eps-surprise | Elevance Health, Inc. Quote
Q1 Earnings Whispers for Elevance
Our proven model does not conclusively predict an earnings beat for the company this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. That is not the case here.
ELV currently has an Earnings ESP of 0.00% and a Zacks Rank #4 (Sell). You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
What’s Shaping Elevance’s Q1 Results?
The Zacks Consensus Estimate for product revenues indicates 4.9% growth from the year-ago period’s $5.8 billion. The consensus estimate for premiums indicates a 1.8% decrease from the year-ago period.
The consensus mark for Commercial Individual membership implies 25.7% fall from a year ago, while our model estimate indicates a 23.7% decline. Also, declining memberships in Medicaid (-8.4%) are likely to have kept first-quarter performance in check. However, the consensus estimate for Commercial Fee-based memberships indicates 0.6% year-over-year growth.
Meanwhile, the Zacks Consensus Estimate for Carelon brand’s operating income for the first quarter indicates a 1.7% year-over-year decrease. The consensus estimate for the Health Benefits segment’s operating income for the first quarter indicates a 13.7% year-over-year plunge, making an earnings beat uncertain.
The Zacks Consensus Estimate for the benefit expense ratio is pegged at 87.5, higher than the year-ago level of 86.4.
Stocks That Warrant a Look
While an earnings beat looks uncertain for Elevance, here are some companies from the broader Medical space that you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat this time around:
The Ensign Group, Inc. (ENSG - Free Report) has an Earnings ESP of +1.12% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Ensign’s bottom line for the to-be-reported quarter of $1.79 indicates 17.8% year-over-year growth. It has witnessed one upward revision against no downward movement over the past 60 days. The consensus mark for Ensign’s revenues is pegged at $1.39 billion, an 18.5% increase from a year ago.
Janux Therapeutics, Inc. (JANX - Free Report) has an Earnings ESP of +26.03% and a Zacks Rank of 3.
The Zacks Consensus Estimate for Janux Therapeutics’ bottom line for the to-be-reported quarter has improved by 3 cents over the past month. The company’s earnings beat estimates in three of the trailing four quarters and missed once, with an average surprise of 13.4%. The consensus estimate for JANX’s revenues is pegged at $15 million.
Cullinan Therapeutics, Inc. (CGEM - Free Report) has an Earnings ESP of +28.36% and a Zacks Rank of 3.
The Zacks Consensus Estimate for Cullinan Therapeutics’ bottom line for the to-be-reported quarter improved by 11 cents over the past 60 days. Its earnings beat estimates in three of the past four quarters and missed once. Cullinan Therapeutics’ revenues for the to be reported quarter are pegged at $17.34 million.