Alphabet Inc. Adjusts Stake in Oscar Health Inc.
Alphabet Inc. (Trades, Portfolio), a renowned investment firm, recently made a significant adjustment to its holdings in Oscar Health Inc. This article provides an in-depth analysis of the transaction, the profiles of both Alphabet Inc. (Trades, Portfolio) and Oscar Health Inc., and the potential implications of this move on the broader market.
Transaction Details
On August 17, 2023, Alphabet Inc. (Trades, Portfolio) reduced its stake in Oscar Health Inc. by 6,500,000 shares, representing a 27.04% decrease in its holdings. The shares were traded at a price of $8.08 each. Following this transaction, Alphabet Inc. (Trades, Portfolio) now holds 17,542,864 shares in Oscar Health Inc., accounting for 7.84% of its portfolio. This move also represents a 7.91% stake in Oscar Health Inc., indicating Alphabet Inc. (Trades, Portfolio)'s significant influence in the company.
Profile of Alphabet Inc. (Trades, Portfolio)
Alphabet Inc. (Trades, Portfolio), located at 1600 Amphitheatre Parkway, Mountain View, CA, is a prominent investment firm with a diverse portfolio. The firm currently holds stocks in 47 companies, with a total equity of $1.86 billion. Its top holdings include CrowdStrike Holdings Inc(NASDAQ:CRWD), Oscar Health Inc(NYSE:OSCR), UiPath Inc(NYSE:PATH), Verve Therapeutics Inc(NASDAQ:VERV), and Prime Medicine Inc(NASDAQ:PRME). The firm's investments are primarily concentrated in the healthcare and technology sectors.
Overview of Oscar Health Inc.
Oscar Health Inc., a U.S.-based health insurance company, offers a range of insurance plans for individuals, families, and employees. The company also provides virtual care, doctor support, scheduling appointments, and other related services. Oscar Health Inc. operates in the Medicare Advantage program, offering coverage to adults aged 65 and older. As of August 22, 2023, the company has a market capitalization of $1.56 billion and a stock price of $7.01. However, the company's financial performance has been challenging, with a PE percentage of 0.00, indicating that it is currently operating at a loss.
Analysis of Oscar Health Inc.'s Stock Performance
Since its IPO on March 3, 2021, Oscar Health Inc.'s stock has experienced a significant decline, with a price change ratio of -80.53%. The company's GF Score is 21/100, suggesting poor future performance potential. Its Financial Strength and Profitability Rank are 5/10 and 2/10 respectively, while its Growth Rank stands at 0/10. The company's Piotroski F-Score is 6, indicating a moderate financial situation.
Other Major Investors in Oscar Health Inc.
Southeastern Asset Management is the largest guru holding Oscar Health Inc. shares. Other notable investors include Joel Greenblatt (Trades, Portfolio), further demonstrating the interest of prominent investors in the company despite its challenging financial performance.
Conclusion
Alphabet Inc. (Trades, Portfolio)'s recent transaction in Oscar Health Inc. represents a significant adjustment in its investment strategy. Despite Oscar Health Inc.'s challenging financial performance, the company remains a notable component of Alphabet Inc. (Trades, Portfolio)'s portfolio. This move may have significant implications for both Oscar Health Inc. and the broader market, warranting close monitoring in the future.
This article first appeared on GuruFocus.
