UBS Affirms Elevance Health’s (ELV) ‘Buy’ Rating on Earning Stability and Growth Prospects

Elevance Health, Inc. (NYSE:ELV) is one of the best depressed stocks to buy in 2025. On July 28, UBS reiterated a ‘Buy’ rating on the stock and a $435 price target. The positive stance follows the healthcare company’s second-quarter results.

UBS Affirms Elevance Health’s (ELV) ‘Buy’ Rating on Earning Stability and Growth Prospects

15 States with the Best Healthcare in the US

The healthcare company delivered adjusted earnings per share of $8.84, in line with consensus estimates. It also delivered $49.8 billion in revenues, beating expectations by 2.8%. Nevertheless, the company reduced its earnings per share outlook by $4.50, resulting in a $1.3 billion decrease in pretax income. Elevance also increased its 2025 medical loss ratio expectations by 90 basis points.

Elevance attributes the higher medical loss expectations to worse-than-expected cost trends in the Affordable Care Act exchange and Medicaid businesses. UBS maintains a Buy rating on the stock, citing potential earnings stability and growth in the commercial and Carelon segments.

Elevance Health, Inc. (NYSE:ELV) is a healthcare company dedicated to enhancing the health of individuals and communities. It offers a range of services, including health plans, clinical solutions, behavioral health, pharmacy benefits, and complex care solutions.

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

READ NEXT: Top 10 Medical AI Companies to Buy According to Analysts and 10 Best Rare Earth Stocks to Buy Now.

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