Centene Stock Buy Hold or Sell Recommendation

CNC -  USA Stock  

USD 81.77  2.33  2.77%

Considering the 90-day investment horizon and your conservative risk appetite, our recommendation regarding Centene Corp is 'Cautious Hold'. Macroaxis provides Centene Corp buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding CNC positions. The advice algorithm takes into account all of Centene Corp's available fundamental, technical, and predictive indicators you will find on this site.
  
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The advice is provided from Centene Corp's buy-and-hold perspective. Continue to Centene Corp Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. We conduct extensive research on individual companies such as Centene and provide practical buy, sell, or hold advice based on selected investing horizon and risk tolerance towards Centene Corp.

Execute Centene Corp Buy or Sell Advice

The Centene recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Centene Corp. Macroaxis does not own or have any residual interests in Centene Corp or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Centene Corp's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell Centene CorpBuy Centene Corp
Cautious Hold

Volatility

Very steadyDetails

Hype Condition

StaleDetails

Current Valuation

UndervaluedDetails

Odds of Distress

Very LowDetails

Economic Sensitivity

Follows the market closelyDetails

Analyst Consensus

BuyDetails

Financial Strenth (F Score)

StrongDetails

Financial Leverage

InapplicableDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails
For the selected time horizon Centene Corp has a Mean Deviation of 1.6, Semi Deviation of 2.29, Standard Deviation of 2.01, Variance of 4.03, Downside Variance of 5.47 and Semi Variance of 5.26
Macroaxis provides advice on Centene Corp to complement and cross-verify current analyst consensus on Centene Corp. Our investment recommendation engine determines the company's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon. To make sure Centene Corp is not overpriced, please confirm all Centene Corp fundamentals, including its number of shares shorted, ebitda, current ratio, as well as the relationship between the price to sales and cash per share . Given that Centene Corp has a number of shares shorted of 7.15 M, we suggest you to validate Centene Corp market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

Centene Corp Trading Alerts and Improvement Suggestions

Centene Corp was previously known as ALPHA METALLURGICAL RESOURCES and was traded on New York Stock Exchange under the symbol CNTE.
Centene Corp has a strong financial position based on the latest SEC filings
Over 95.0% of the company shares are held by institutions such as insurance companies
Latest headline from MacroaxisInsider: Centene Corp exotic insider transaction detected

Centene Corp current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Centene analyst recommendations are determined by taking all analyst recommendations and averaging them as Strong Buy, Buy, Hold, Strong Sell or Sell. There is no one specific way to measure analysis performance other than comparing it to the past results via a very sophisticated attribution analysis. Centene analyst consensus and target price projections should be used in combination with other traditional techniques such as stock price forecasting, technical analysis, earnings estimate, and various momentum models.
Target Mean Price90.55
Target Median Price91.00
Target High Price109.00
Recommendation Mean2.00
Number Of Analyst Opinions20
Target Low Price78.00
Average Consensus Buy
The consensus estimates and target price estimation comprises individual analyst assessments, and may or may not mutch the Macroaxis buy or sell advice. It is determined by taking an average of all analyst recommendations and classifying them as Strong Buy, Buy, Hold, or Sell.

Centene Corp Returns Distribution Density

The distribution of Centene Corp's historical returns is an attempt to chart the future uncertainty of Centene Corp's future price movements. The chart of the probability distribution of Centene Corp stock daily returns describes the distribution of returns around its average expected value. We use Centene Corp price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Centene Corp returns is essential to provide solid investment advice for Centene Corp stock.
Mean Return0.0156Value At Risk-3.51
Potential Upside2.92Standard Deviation2.01
 Return Density 
      Distribution 
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Centene Corp historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Centene Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Centene Corp is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Centene Corp backward and forwards among themselves. Centene Corp's institutional investor refers to the entity that pools money to purchase Centene Corp's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Security TypeSharesValue
Vanguard Group IncCommon Shares63.6 M5.4 B
Capital World InvestorsCommon Shares50.5 M4.3 B
Blackrock IncCommon Shares41.8 M3.5 B
Fmr LlcCommon Shares34.3 M2.9 B
Price T Rowe Associates IncCommon Shares30.4 M2.6 B
Jpmorgan Chase CoCommon Shares26.7 M2.2 B
State Street CorpCommon Shares24.2 MB
Note, although Centene Corp's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Centene Corp Cash Flow Accounts

201720182019202020212022 (projected)
Capital Expenditure(422 M)(675 M)(730 M)(869 M)(910 M)(933.95 M)
Depreciation Amortization and Accretion361 M495 M643 M1.26 B1.48 B1.59 B
Net Cash Flow or Change in Cash and Cash Equivalents153 M1.26 B6.78 B(1.17 B)2.26 B1.86 B
Net Cash Flow Business Acquisitions and Disposals(50 M)(2.06 B)(36 M)(3.58 B)(466 M)(502.79 M)
Issuance Purchase of Equity Shares(65 M)2.71 B(75 M)(626 M)(297 M)(304.82 M)
Issuance Repayment of Debt Securities44 M1.97 B6.87 B839 M1.6 B1.63 B
Net Cash Flow from Financing(82 M)4.61 B6.83 B260 M1.36 B1.59 B
Net Cash Flow from Investing(1.25 B)(4.58 B)(1.53 B)(6.96 B)(3.3 B)(3.39 B)
Net Cash Flow Investment Acquisitions and Disposals(794 M)(1.85 B)(766 M)(2.48 B)(1.94 B)(1.99 B)
Net Cash Flow from Operations1.49 B1.23 B1.48 B5.5 B4.21 B4.54 B
Share Based Compensation135 M145 M177 M281 M203 M174.64 M

Centene Corp Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Centene Corp or Healthcare sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Centene Corp stock's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Centene stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over DOW
0.13
β
Beta against DOW0.90
σ
Overall volatility
2.02
Ir
Information ratio 0.07

Centene Corp Volatility Alert

Centene Corp currently demonstrates below-average downside deviation. It has Information Ratio of 0.07 and Jensen Alpha of 0.13. However, we advise investors to further question Centene Corp expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Centene Corp's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Centene Corp's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Centene Corp Implied Volatility

Centene Corp's implied volatility exposes the market's sentiment of Centene Corp stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Centene Corp's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Centene Corp stock will not fluctuate a lot when Centene Corp's options are near their expiration.

Centene Corp Fundamentals Vs Peers

Comparing Centene Corp's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Centene Corp's direct or indirect competition across all of the common fundamentals between Centene Corp and the related equities. This way, we can detect undervalued stocks with similar characteristics as Centene Corp or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Centene Corp's fundamental indicators could also be used in its relative valuation, which is a method of valuing Centene Corp by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Centene Corp to competition
FundamentalsCentene CorpPeer Average
Return On Equity5.04 %(0.31) %
Return On Asset3.13 %(0.14) %
Profit Margin1.14 %(1.27) %
Operating Margin3.12 %(5.51) %
Current Valuation56.89 B16.62 B
Shares Outstanding583.5 M571.82 M
Shares Owned by Insiders1.16 %10.09 %
Shares Owned by Institutions95.47 %39.21 %
Number of Shares Shorted7.15 M4.71 M
Price to Earning65.91 X28.72 X
Price to Book1.81 X9.51 X
Price to Sales0.41 X11.42 X
Revenue118.18 B9.43 B
Gross Profit19.57 B27.38 B
EBITDA5.16 B3.9 B
Net Income1.35 B570.98 M
Cash and Equivalents14.66 B2.7 B
Cash per Share25.15 X5.01 X
Total Debt22.66 B5.32 B
Debt to Equity0.84 %48.70 %
Current Ratio1.11 X2.16 X
Book Value Per Share45.36 X1.93 K
Cash Flow from Operations4.2 B971.22 M
Short Ratio2.29 X4.00 X
Earnings Per Share1.25 X3.12 X
Price to Earnings To Growth1.47 X4.89 X
Number of Employees72.5 K18.84 K
Beta0.52-0.15
Market Capitalization48.03 B19.03 B
Total Asset7.34 B29.47 B
Retained Earnings5.38 B9.33 B
Working Capital(24 M)1.48 B
Current Asset3.6 B9.34 B
   Centene Corp exotic insider transaction detected [view details]

Centene Corp Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Centene . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
Accumulation Distribution68828.82
Daily Balance Of Power(0.80)
Rate Of Daily Change0.97
Day Median Price82.51
Day Typical Price82.26
Market Facilitation Index0.0
Price Action Indicator(1.91)

About Centene Corp Buy or Sell Advice

When is the right time to buy or sell Centene Corp? Buying financial instruments such as Centene Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the stock market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Although Centene Corp investors may find it confusing at the beginning, most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2019 2020 2021 2022 (projected)
Accounts Payable4.16 B7.07 B6.36 B6.86 B
Receivables6.25 B9.7 B8.73 B9.42 B

Use Investing Ideas to Build Portfolios

In addition to having Centene Corp in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Petroleum and Natural
Petroleum and Natural Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Petroleum and Natural theme has 61 constituents.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Petroleum and Natural Theme or any other thematic opportunities.
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Continue to Centene Corp Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note that the Centene Corp information on this page should be used as a complementary analysis to other Centene Corp's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Portfolio Holdings module to check your current holdings and cash postion to detemine if your portfolio needs rebalancing.

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Is Centene Corp's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Centene Corp. If investors know Centene will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Centene Corp listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Centene Corp is measured differently than its book value, which is the value of Centene that is recorded on the company's balance sheet. Investors also form their own opinion of Centene Corp's value that differs from its market value or its book value, called intrinsic value, which is Centene Corp's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Centene Corp's market value can be influenced by many factors that don't directly affect Centene Corp's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Centene Corp's value and its price as these two are different measures arrived at by different means. Investors typically determine Centene Corp value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Centene Corp's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.