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Deutsche Bank Raises Centene (CNC) PT to $39 While Maintaining Hold Rating

Centene Corporation (NYSE:CNC) is one of the best stocks under $50 to invest in. On February 10, Deutsche Bank raised its price target for Centene from $32 to $39 while keeping a Hold rating on the shares. The firm noted that the shares had previously been caught in a downward trend affecting its industry peers.

Earlier on February 6, Centene Corporation (NYSE:CNC) reported its Q4 2025 earnings report, where the company’s diluted loss totaled $1.19 per share, though full-year adjusted EPS of $2.08 slightly exceeded expectations. Total premium and service revenue for 2025 reached $174.6 billion, supported by a Medicaid membership of 12.5 million and a year-end medical claims liability of $20.5 billion.

Looking ahead to 2026, Centene issued revenue guidance of $170 to $174 billion and expects adjusted EPS to grow by over 40% to more than $3. Management anticipates meaningful margin recovery in the ACA marketplace, where membership is projected to hit 3.5 million, and continues to move toward a breakeven point in Medicare Advantage. Despite a projected 5% to 6% decline in Medicaid membership and pressure on 2027 Medicare rates, the firm expressed confidence in its 2026 outlook.

Centene Corporation (NYSE:CNC) operates as a healthcare enterprise that provides programs and services to underinsured & uninsured families and commercial organizations in the US.

While we acknowledge the potential of CNC to grow, 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 CNC and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.

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At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

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  • 140 Metas
  • 84 Googles
  • 65 Microsofts
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  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
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