ELV

Elevance Health Inc. trades at a P/E ratio of 16.15, representing a notable discount within the managed care sector where premium peers typically command higher multiples. The company demonstrates substantial scale with an $85.3 billion market cap, while the current price of $394.07 positions the stock near the upper end of its 52-week range of $273.71 to $412.96. The defensive characteristics emerge through a beta of 0.69, suggesting lower volatility relative to broader market movements.

The fundamental screening highlights several operational metrics worthy of examination:

• Revenue expansion of 9.44% year-over-year demonstrates continued top-line momentum in a consolidating healthcare services landscape
• Return on equity stands at 11.95%, indicating moderate capital efficiency given the asset-intensive nature of insurance operations
• The P/S ratio of 0.42 reflects industry-typical compression, as managed care organizations operate on volume with constrained margins
• Operating margin of 3.81% aligns with sector norms where medical loss ratios limit profitability potential

Risk factors emerge in the financial structure and earnings trajectory. The debt-to-equity ratio of 0.73 remains manageable but warrants monitoring amid rising interest rate environments. More concerning, EPS declined 8.29% year-over-year despite revenue growth, suggesting margin pressure or elevated medical costs. The current ratio of 0.19 reflects timing mismatches inherent to insurance claims processing rather than liquidity distress.

Relative to peers UnitedHealth Group (UNH), Humana (HUM), and Centene (CNC), systematic models position ELV as moderately valued with defensive characteristics but facing near-term earnings headwinds that differentiate its fundamental profile from category leaders.