Alignment Healthcare (ALHC) Soars 16% on Medicare Reimbursement Hike

Alignment Healthcare Inc. (NASDAQ:ALHC) is one of the 10 Stocks With Effortless Gains.

Alignment Healthcare soared by 16.01 percent on Tuesday to close at $21.66 apiece, as investors cheered the higher reimbursement rates for Medicare Advantage plans next year.

In an updated report, the Centers for Medicare & Medicaid Services (CMS) said that it approved a net average increase of 2.48 percent in the said policies, markedly higher than the 0.09 percent announced in January this year, translating to more than $13 billion in additional payments for 2027.

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“This expected increase includes consideration of the various elements that impact MA payments, such as growth rates of underlying costs, 2026 Star Ratings for 2027 quality bonus payments, and risk adjustment updates,” the CMS said.

Following the news, Alignment Healthcare Inc. (NASDAQ:ALHC) rallied alongside its counterparts, namely UnitedHealth, CVS Health, and Humana, among others.

Alignment Healthcare Inc. (NASDAQ:ALHC) is among the companies offering government services such as Medicare and Medicaid. It is expected to report its earnings performance in the first quarter of the year as early as the last week of April.

For the period, Alignment Healthcare Inc. (NASDAQ:ALHC) is targeting revenues of $5.135 billion to $5.190 billion, as well as health plan membership of 292,000 to 298,000.

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