Recent Acquisitions Are Positioning This Healthcare Stock to Shine
It's hard to believe that a Fortune 50-sized company can fly under the radar, but that is exactly where Missouri-based Centene Corporation (NYSE: CNC) finds itself. The health insurer has over 25 million members, operates in over 30 states, and forecasts about $115 billion in total revenues for 2021. Centene is the largest provider of government-sponsored Medicaid insurance in the country, and the top-ranked insurer on the health insurance exchange created under the Affordable Care Act (ACA).
Most importantly, a series of recent acquisitions has significantly expanded and diversified Centene's geographical reach and business mix. It is no longer simply the "one trick Medicaid pony" of years past. Yet its stock price continues to trade at a significantly lower valuation compared to its industry peers, notably Cigna (NYSE: CI), United Healthcare (NYSE: UNH), and Anthem (NYSE: ANTM).
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Source Fool.com