Elevance Health Expects Q1 Earnings Above Estimates, Retains Full-Year Guidance: But Retail’s Pessimistic

Shares of Elevance Health, Inc. (ELV) were in the spotlight on Thursday afternoon after the company said it expects to report first-quarter adjusted net income of $11.97 per diluted share.

The health insurer’s first-quarter (Q1) earnings per share guidance exceeded an analyst estimate of $11.38, as per FinChat data.

Its Q1 results reflect medical cost trends that developed in line with the company’s expectations, including in its Medicare Advantage business, the firm said.

While cost trends in Medicare Advantage remain elevated, the company’s Q1 experience was consistent with its expectations and pricing, it added.

Elevance Health also reaffirmed shareholders’ adjusted net income guidance for full year 2025 to be $34.15 to $34.85 per diluted share.

The company is expected to report its Q1 results on April 22, 2025.

Elevance stock slumped on Thursday morning after its peer UnitedHealth Group (UNH) reported downbeat quarterly earnings and lowered its full-year guidance in light of higher-than-expected costs.

UnitedHealth said that it expects an increase in costs from its Medicare Advantage businesses in 2025, higher than planned and consistent with the elevated levels in 2024.

It lowered its full-year adjusted earnings per share (EPS) guidance to between $26 and $26.50, down from its previous forecast of $29.50 to $30.

UNH stock traded nearly 23% lower at the time of writing.

ELV stock fell as low as $393 on Thursday before it pared some of its losses.

On Stocktwits, retail sentiment around Elevance fell from ‘bearish’ to ‘extremely bearish’ over the past 24 hours, coupled with an increase in message volume from ‘low’ to ‘high’ levels.

ELV stock is up over 16% year-to-date but down nearly 16% over the past 12 months.

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