CENTENE CORP (CNC) Fundamental Analysis & Valuation
NYSE:CNC • US15135B1017
Current stock price
39.14 USD
+0.83 (+2.17%)
At close:
39.2 USD
+0.06 (+0.15%)
Pre-Market:
This CNC fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. CNC Profitability Analysis
1.1 Basic Checks
- In the past year CNC was profitable.
- CNC had a positive operating cash flow in the past year.
- Of the past 5 years CNC 4 years were profitable.
- Each year in the past 5 years CNC had a positive operating cash flow.
1.2 Ratios
- CNC has a worse Return On Assets (-8.70%) than 73.00% of its industry peers.
- With a Return On Equity value of -33.45%, CNC is not doing good in the industry: 69.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -8.7% | ||
| ROE | -33.45% | ||
| ROIC | N/A |
ROA(3y)-0.5%
ROA(5y)0.36%
ROE(3y)-3.49%
ROE(5y)-0.09%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- CNC's Gross Margin of 7.12% is on the low side compared to the rest of the industry. CNC is outperformed by 76.00% of its industry peers.
- In the last couple of years the Gross Margin of CNC has declined.
- CNC does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 7.12% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-14.83%
GM growth 5YN/A
2. CNC Health Analysis
2.1 Basic Checks
- CNC does not have a ROIC to compare to the WACC, probably because it is not profitable.
- CNC has less shares outstanding than it did 1 year ago.
- The number of shares outstanding for CNC has been reduced compared to 5 years ago.
- Compared to 1 year ago, CNC has a worse debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 2.94 indicates that CNC is not a great score, but indicates only limited risk for bankruptcy at the moment.
- The Altman-Z score of CNC (2.94) is better than 66.00% of its industry peers.
- CNC has a debt to FCF ratio of 4.16. This is a neutral value as CNC would need 4.16 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 4.16, CNC is in the better half of the industry, outperforming 65.00% of the companies in the same industry.
- CNC has a Debt/Equity ratio of 0.87. This is a neutral value indicating CNC is somewhat dependend on debt financing.
- CNC has a Debt to Equity ratio (0.87) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.87 | ||
| Debt/FCF | 4.16 | ||
| Altman-Z | 2.94 |
ROIC/WACCN/A
WACC7.63%
2.3 Liquidity
- CNC has a Current Ratio of 1.10. This is a normal value and indicates that CNC is financially healthy and should not expect problems in meeting its short term obligations.
- CNC has a Current ratio of 1.10. This is in the lower half of the industry: CNC underperforms 62.00% of its industry peers.
- A Quick Ratio of 1.10 indicates that CNC should not have too much problems paying its short term obligations.
- CNC has a Quick ratio (1.10) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.1 | ||
| Quick Ratio | 1.1 |
3. CNC Growth Analysis
3.1 Past
- The earnings per share for CNC have decreased strongly by -71.13% in the last year.
- CNC shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -16.27% yearly.
- CNC shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 19.44%.
- The Revenue has been growing by 11.88% on average over the past years. This is quite good.
EPS 1Y (TTM)-71.13%
EPS 3Y-29.13%
EPS 5Y-16.27%
EPS Q2Q%-248.75%
Revenue 1Y (TTM)19.44%
Revenue growth 3Y10.45%
Revenue growth 5Y11.88%
Sales Q2Q%21.86%
3.2 Future
- Based on estimates for the next years, CNC will show a very strong growth in Earnings Per Share. The EPS will grow by 35.63% on average per year.
- CNC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.21% yearly.
EPS Next Y47.44%
EPS Next 2Y39.92%
EPS Next 3Y40.97%
EPS Next 5Y35.63%
Revenue Next Year-2.17%
Revenue Next 2Y-0.57%
Revenue Next 3Y0.93%
Revenue Next 5Y1.21%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. CNC Valuation Analysis
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 19.09, CNC is valued on the expensive side.
- CNC's Price/Earnings ratio is a bit cheaper when compared to the industry. CNC is cheaper than 71.00% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.66. CNC is valued slightly cheaper when compared to this.
- Based on the Price/Forward Earnings ratio of 12.95, the valuation of CNC can be described as correct.
- 81.00% of the companies in the same industry are more expensive than CNC, based on the Price/Forward Earnings ratio.
- Compared to an average S&P500 Price/Forward Earnings ratio of 38.00, CNC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.09 | ||
| Fwd PE | 12.95 |
4.2 Price Multiples
- CNC's Enterprise Value to EBITDA is on the same level as the industry average.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of CNC indicates a rather cheap valuation: CNC is cheaper than 96.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.6 | ||
| EV/EBITDA | 14.02 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- A more expensive valuation may be justified as CNC's earnings are expected to grow with 40.97% in the coming years.
PEG (NY)0.4
PEG (5Y)N/A
EPS Next 2Y39.92%
EPS Next 3Y40.97%
5. CNC Dividend Analysis
5.1 Amount
- No dividends for CNC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
CNC Fundamentals: All Metrics, Ratios and Statistics
39.14
+0.83 (+2.17%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)02-06 2026-02-06/bmo
Earnings (Next)04-28 2026-04-28/bmo
Inst Owners98.12%
Inst Owner Change0.16%
Ins Owners0.22%
Ins Owner Change-0.81%
Market Cap19.25B
Revenue(TTM)194.78B
Net Income(TTM)-6.67B
Analysts66.92
Price Target46.74 (19.42%)
Short Float %2.79%
Short Ratio2.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)229.27%
Min EPS beat(2)3.74%
Max EPS beat(2)454.8%
EPS beat(4)3
Avg EPS beat(4)88.24%
Min EPS beat(4)-118.47%
Max EPS beat(4)454.8%
EPS beat(8)7
Avg EPS beat(8)57.14%
EPS beat(12)10
Avg EPS beat(12)40.67%
EPS beat(16)14
Avg EPS beat(16)31.88%
Revenue beat(2)2
Avg Revenue beat(2)2.39%
Min Revenue beat(2)1.75%
Max Revenue beat(2)3.03%
Revenue beat(4)4
Avg Revenue beat(4)5.03%
Min Revenue beat(4)1.75%
Max Revenue beat(4)8.88%
Revenue beat(8)8
Avg Revenue beat(8)6.46%
Revenue beat(12)12
Avg Revenue beat(12)6.07%
Revenue beat(16)15
Avg Revenue beat(16)4.95%
PT rev (1m)-1.43%
PT rev (3m)2.69%
EPS NQ rev (1m)-1.43%
EPS NQ rev (3m)0.8%
EPS NY rev (1m)-0.53%
EPS NY rev (3m)5.74%
Revenue NQ rev (1m)-0.1%
Revenue NQ rev (3m)-1.74%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)-2.41%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.09 | ||
| Fwd PE | 12.95 | ||
| P/S | 0.1 | ||
| P/FCF | 4.6 | ||
| P/OCF | 3.89 | ||
| P/B | 0.96 | ||
| P/tB | 4.2 | ||
| EV/EBITDA | 14.02 |
EPS(TTM)2.05
EY5.24%
EPS(NY)3.02
Fwd EY7.72%
FCF(TTM)8.51
FCFY21.73%
OCF(TTM)10.07
OCFY25.72%
SpS396.07
BVpS40.57
TBVpS9.33
PEG (NY)0.4
PEG (5Y)N/A
Graham Number43.2605 (10.53%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -8.7% | ||
| ROE | -33.45% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 7.12% | ||
| FCFM | 2.15% |
ROA(3y)-0.5%
ROA(5y)0.36%
ROE(3y)-3.49%
ROE(5y)-0.09%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-14.83%
GM growth 5YN/A
F-Score4
Asset Turnover2.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.87 | ||
| Debt/FCF | 4.16 | ||
| Debt/EBITDA | 17.51 | ||
| Cap/Depr | 60.16% | ||
| Cap/Sales | 0.39% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 499.5% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.1 | ||
| Quick Ratio | 1.1 | ||
| Altman-Z | 2.94 |
F-Score4
WACC7.63%
ROIC/WACCN/A
Cap/Depr(3y)57.95%
Cap/Depr(5y)60.03%
Cap/Sales(3y)0.44%
Cap/Sales(5y)0.54%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-71.13%
EPS 3Y-29.13%
EPS 5Y-16.27%
EPS Q2Q%-248.75%
EPS Next Y47.44%
EPS Next 2Y39.92%
EPS Next 3Y40.97%
EPS Next 5Y35.63%
Revenue 1Y (TTM)19.44%
Revenue growth 3Y10.45%
Revenue growth 5Y11.88%
Sales Q2Q%21.86%
Revenue Next Year-2.17%
Revenue Next 2Y-0.57%
Revenue Next 3Y0.93%
Revenue Next 5Y1.21%
EBIT growth 1Y-108.65%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year642.89%
EBIT Next 3Y139.28%
EBIT Next 5YN/A
FCF growth 1Y953.67%
FCF growth 3Y-7.24%
FCF growth 5Y-2.03%
OCF growth 1Y3114.29%
OCF growth 3Y-7.45%
OCF growth 5Y-2.1%
CENTENE CORP / CNC Fundamental Analysis FAQ
Can you provide the ChartMill fundamental rating for CENTENE CORP?
ChartMill assigns a fundamental rating of 4 / 10 to CNC.
Can you provide the valuation status for CENTENE CORP?
ChartMill assigns a valuation rating of 7 / 10 to CENTENE CORP (CNC). This can be considered as Undervalued.
What is the profitability of CNC stock?
CENTENE CORP (CNC) has a profitability rating of 2 / 10.
Can you provide the PE and PB ratios for CNC stock?
The Price/Earnings (PE) ratio for CENTENE CORP (CNC) is 19.09 and the Price/Book (PB) ratio is 0.96.
What is the expected EPS growth for CENTENE CORP (CNC) stock?
The Earnings per Share (EPS) of CENTENE CORP (CNC) is expected to grow by 47.44% in the next year.