Health Insurer Elevance's Q4 Earnings: Dividend Increase, Drop In Medicaid Enrollment, Upbeat 2024 Outlook
Portfolio Pulse from Vandana Singh
Elevance Health Inc (NYSE:ELV) reported Q4 2023 revenues of $42.45 billion, a 7% increase Y/Y, surpassing consensus estimates. Adjusted EPS was $5.62, slightly missing the $5.64 consensus. Profit declined 1% Y/Y to $856 million. Membership dropped by 570,000, with Medicaid enrollment down by over 1 million. The company increased its quarterly dividend by 10.1% to $1.63 per share and provided a 2024 outlook with flat-to-low-single digit revenue growth and adjusted EPS of over $37.10. ELV shares rose 2.53% to $484.13.
January 24, 2024 | 4:15 pm
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Elevance Health reported strong Q4 revenue growth and increased its dividend, but faced a slight profit decline and a drop in membership. The company provided positive EPS guidance for 2024.
The positive revenue growth and dividend increase, along with the upbeat 2024 EPS outlook, are likely to be viewed favorably by investors, despite the slight profit decline and membership loss. The stock price increase on the day of the announcement indicates a positive short-term impact.
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IMPORTANCE 80
RELEVANCE 100