Claritev Upgraded to Overweight at Piper Sandler with a $44 Price Target

Piper Sandler has upgraded Claritev Corporation (NYSE:CTEV) shares, impressed by the company’s first quarter 2025 results. On May 28, the firm upgraded the stock to an Overweight from a Neutral. Additionally, it hiked the price target to $44 from $19. The significant price hike underscores expectations of stronger performance.

Claritev Upgraded to Overweight at Piper Sandler with a $44 Price Target

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The adjustment follows the technology data and insights company delivering a 1.4% year-over-year decrease in revenue to $231.3 million in Q1. Amid the total revenue decrease, the Claritev Payment and Revenue Integrity segment posted a 9.7% year-over-year growth. In addition, Claritev reaffirmed its full-year revenue guidance, indicating a potential bounce back to growth.

Additionally, Piper Sandler upgraded Claritev, impressed by the signing of a three-year contract renewal with ELV. Establishing commercial partnerships backed by a growing project pipeline is expected to address customer concentration risks. Piper Sandler has echoed the strategic moves, reiterating they position Claritev to meet its 2025 guidance and continue growing in 2026.

Claritev also achieved significant milestones in the quarter. It inked a deal with Burjeel Holdings to enhance its revenue cycle management in the Middle East and North Africa. The partnership will also streamline the reimbursement process and reduce unnecessary denials, enabling workforce efficiency in business operations.

Claritev Corporation provides data analytics and cost management solutions for the U.S. healthcare industry. Using data-driven insights, it helps reduce medical costs by detecting claim overcharges, optimizing reimbursements, and managing provider networks. Its payment integrity services eliminate unnecessary charges and recover underpaid premiums, while its decision science tools improve benefit plans, clinical outcomes, and cost efficiency. Claritev serves insurance companies, health plans, TPAs, and other claim adjudication entities.

While we acknowledge the potential of Claritev Corporation (NYSE:CTEV) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than CTEV and that has 100x upside potential, check out our report about the cheapest AI stock.

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