Bear of the Day: Elevance Health (ELV)

Elevance Health ELV is a lifetime, trusted health partner whose purpose is to improve the health of humanity. The company supports consumers, families, and communities across the entire healthcare journey.Analysts have taken a bearish stance on the company’s outlook, landing the stock into a Zacks Rank #5 (Strong Sell).Image Source: Zacks Investment ResearchLet’s take a closer look at how the company stacks up.ELV Cuts GuidanceELV’s latest set of quarterly results came in weak, causing shares to plunge post-earnings. The company trimmed its current year outlook, with ELV also falling short of the Zacks Consensus EPS estimate by more than 3%.The stock has underperformed in a big way overall in 2025, losing roughly 15% compared to the S&P 500’s 14.6% gain.Image Source: Zacks Investment ResearchConcerning the above-mentioned release, adjusted EPS fell 13% year-over-year, whereas sales of $49.4 billion grew 14% from the same period last year. Due to the ongoing and industry-wide impact of elevated cost trends in ACA and Medicaid, ELV now expects 2025 adjusted EPS well lower than the announced (and reaffirmed) guidance range of $34.15 - $34.85 given near the beginning of June. The steep guidance cut after a reaffirmation just near the beginning of June is certainly notable. Below is a chart illustrating the company’s sales on a quarterly basis.Image Source: Zacks Investment ResearchBottom LineNegative earnings estimate revisions, stemming from trimmed guidance, paint a challenging picture for the company’s shares in the near term.Elevance Health ELV is a Zacks Rank #5 (Strong Sell), indicating that analysts have taken a bearish stance on the company’s earnings outlook.For those seeking strong stocks, the best idea would be to focus on stocks with a Zacks Rank #1 (Strong Buy) or a Zacks Rank #2 (Buy) – these stocks sport a notably stronger earnings outlook paired with the potential to deliver explosive gains in the near term.Radical New Technology Could Hand Investors Huge GainsQuantum Computing is the next technological revolution, and it could be even more advanced than AI.While some believed the technology was years away, it is already present and moving fast. Large hyperscalers, such as Microsoft, Google, Amazon, Oracle, and even Meta and Tesla, are scrambling to integrate quantum computing into their infrastructure.Senior Stock Strategist Kevin Cook reveals 7 carefully selected stocks poised to dominate the quantum computing landscape in his report, Beyond AI: The Quantum Leap in Computing Power.Kevin was among the early experts who recognized NVIDIA's enormous potential back in 2016. Now, he has keyed in on what could be "the next big thing" in quantum computing supremacy. Today, you have a rare chance to position your portfolio at the forefront of this opportunity.See Top Quantum Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Elevance Health, Inc. (ELV): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks