Elevance Health Inc.·Healthcare

Elevance Health (NYSE:ELV) stock surged this week after the Centers for Medicare & Medicaid Services finalized a 2.48% Medicare Advantage payment rate increase for 2027, coming in above the high end of the 1% to 2% improvement the market was expecting.

Asio Capital LLC grew its position in shares of Elevance Health, Inc. (NYSE: ELV) by 16.1% during the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 21,457 shares of the company's stock after buying an additional 2,979 shares during the quarter.

CMS confirmed that Medicare Advantage and Part D plans will receive a 2.48% average rate increase for 2027, according to Reuters. Officials also noted that insurers will see an additional 2.5% boost tied to changes in risk‑adjustment calculations, pushing the effective increase closer to 5%.

The Centers for Medicare & Medicaid Services (CMS) finalized the 2027 Medicare Advantage payment rate at a +2.48% net average increase, well above the +0.09% proposed in January and above the roughly 1% street expectation.

Elevance Health, Inc. is rated a Buy, with valuation now compelling after significant underperformance versus the S&P 500. Despite fundamental headwinds—declining membership, higher benefit expense ratios, and muted guidance—ELV targets 12% annual adjusted EPS growth long-term. Shares are deeply discounted, trading below fair value on both P/E and price-to-sales metrics, with technicals suggesting a potential bottom.

The April 2026 Top 25 High Growth Dividend Stocks list targets quality companies trading below intrinsic value, averaging a 1.52% yield and 17.7% five-year dividend growth. Screened stocks appear ~34% undervalued by dividend yield theory, with an estimated +21% annualized long-term return potential. MSCI, WING, ZTS, INTU, and MSFT stand out for attractive valuations, robust dividend growth, and strong projected EPS growth.
Elevance Health Inc. operates as a health benefits company. It supports consumers, families, and communities across the entire care journey connecting to the care, support, and resources to lead healthier lives. It serves approximately 118 million people through a portfolio of medical, digital, pharmacy, behavioral, clinical, and care solutions. The company was formerly known as Anthem, Inc. and changed its name to Elevance Health Inc. in June 2022. Elevance Health Inc. was founded in 1944 and is headquartered in Indianapolis, Indiana.
Healthcare
Medical - Healthcare Plans
104,200
2001-10-30
0.50