On August 7, Oscar Health, Inc. rose 5.33% in regular trading, trading at $27.935/share, with turnover of $232 million. The rebound was driven by UBS raising its target price on the stock and a technical recovery from oversold conditions following the prior session's sharp selloff.
UBS adjusted its price target on Oscar Health, Inc. from $20 to $26 while maintaining a Neutral rating. The upgrade came one day after the stock plunged nearly 12% despite reporting strong Q2 results. The company posted EPS of $1.10, significantly beating the consensus estimate of $0.42-$0.49, while revenue of $4.88 billion surged 70.6% year-over-year, also exceeding expectations. Total membership reached 2.963 million, up 46% year-over-year.
However, the company merely reaffirmed its full-year revenue guidance of $18.7 billion to $19.0 billion without raising the outlook, and warned that ACA membership churn would accelerate in the second half. Pre-market gains of over 16% on earnings day quickly reversed into heavy selling. Today's recovery reflects a combination of the UBS upgrade and technical repair following the steep decline.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
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