Centene Corp Insider Sells Shares
On February 7, 2024, Kenneth Fasola, President of Centene Corp (NYSE:CNC), executed a sale of 12,000 shares of the company, according to a recent SEC Filing. This transaction has been part of a series of insider trades over the past year, where the insider has sold a total of 12,000 shares and has not made any purchases.
Centene Corp, a multinational healthcare enterprise, provides a portfolio of services to government-sponsored healthcare programs, focusing on under-insured and uninsured individuals. It operates in two segments: Managed Care and Specialty Services. The Managed Care segment provides health plan coverage to individuals through government-subsidized programs, including Medicaid, Medicare, and the Health Insurance Marketplace. The Specialty Services segment offers diversified healthcare services and products to Centene's own health plans and external customers.
The insider transaction history for Centene Corp reveals a trend of more insider sales than purchases over the past year, with 1 insider buy and 2 insider sells recorded.
On the valuation front, Centene Corp's shares were trading at $75.07 on the day of the insider's recent transaction. The company's market cap stood at $40.888 billion. The price-earnings ratio of 15.58 is below both the industry median of 18.625 and the company's historical median price-earnings ratio, suggesting a lower valuation relative to its peers and its own past.
Considering the stock's price of $75.07 against the GuruFocus Value (GF Value) of $92.64, Centene Corp's price-to-GF-Value ratio is 0.81, indicating that the stock is Modestly Undervalued according to GuruFocus's valuation model.
The GF Value is determined by considering historical trading multiples such as price-earnings ratio, price-sales ratio, price-book ratio, and price-to-free cash flow, along with a GuruFocus adjustment factor based on the company's past returns and growth, and future business performance estimates provided by Morningstar analysts.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
This article first appeared on GuruFocus.
