Mizuho Updates Centene (CNC) Valuation as Physician Survey Suggests Cooling Healthcare Utilization
Centene Corporation (NYSE:CNC) is one of the most undervalued large cap stocks to invest in now. On January 9, Mizuho increased its price target for Centene from $40 to $47 while maintaining a Neutral rating. This sentiment was posted as part of the firm’s broader Q4 2025 preview for the healthcare facilities and managed care sector. The firm’s recent physician survey suggested that healthcare utilization growth decelerated sequentially, even when accounting for easier year-over-year comparisons. This cooling growth may indicate that the utilization trend is currently peaking, providing a cautious backdrop for the firm’s updated valuation.
On January 7, Wells Fargo increased its price target for Centene to $43 from $35 with an Equal Weight rating while expressing a preference for Medicare Advantage within the managed care sector. The firm noted high uncertainty regarding Medicaid and Exchanges and warned of a more challenging environment for hospitals in 2026 as post-COVID tailwinds diminish and legislative risks increase.
A medical technician holding the instruments in her hands
A day before that, Bernstein analyst Lance Wilkes also raised the firm’s price target for Centene to $59 from $45 with an Outperform rating based on the expectation of a sector-wide turnaround in government managed care starting in 2026. While the firm anticipates a non-linear recovery with some potential volatility, it views current levels across all managed care organization sectors as attractive entry points for investors.
Centene Corporation (NYSE:CNC) operates as a healthcare enterprise that provides programs and services to under-insured and uninsured families and commercial organizations in the US. The company operates through four segments: Medicaid, Medicare, Commercial, and Other.
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Disclosure: None. This article is originally published at Insider Monkey.
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