Why Cano Health's Shares Dropped 46.9% in November
Cano Health (NYSE: CANO) saw its shares drop 46.9% last month. The company operates primary care and connected medical practices for seniors in Florida, Texas, Nevada and Puerto Rico. The company's stock closed October at $3.58 and opened November at $3.64. Cano's shares fell steadily throughout the month and hit a 52-week low of $1.48 on Nov. 22 before closing the month at $1.90 a share. The stock is down more than 77% this year.
Investors were concerned when Cano, in its third-quarter report, lowered annual guidance and had a net loss of $112 million in the quarter, compared with a $64.8 million loss in the same quarter a year ago
The company said it was reducing its annual revenue forecast range to between $2.7 billion and $2.75 billion, down from earlier estimates of between $2.85 billion and $2.90 billion, citing lower anticipated fixed advanced payments from state or health plans per member per month from new members, in addition to higher costs to deliver Cano's services. The company also said in a presentation that it now expected to have a total of 170 primary care centers across the country this year, down from earlier estimates of between 184 and 189 medical centers.
Source Fool.com
