Is Centene Corp. overvalued or undervalued?

Jun 25 2025 08:39 AM IST
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As of October 1, 2023, Centene Corp. is considered an attractive investment due to its undervalued status, with a price-to-earnings ratio of 12.5, a price-to-book ratio of 1.2, and a return on equity of 15%, especially when compared to peers like UnitedHealth Group and Anthem Inc.
As of 1 October 2023, Centene Corp. moved from fair to attractive based on the latest analysis. The company appears to be undervalued, with a price-to-earnings ratio of 12.5, a price-to-book ratio of 1.2, and a return on equity of 15%. In comparison, peers such as UnitedHealth Group have a price-to-earnings ratio of 20.3, while Anthem Inc. stands at a price-to-earnings ratio of 18.7, highlighting Centene's relative attractiveness in the market.

Additionally, Centene's stock has shown resilience, outperforming the Sensex in recent months, which reinforces the notion of its undervaluation. Overall, the combination of favorable ratios and competitive positioning suggests that Centene Corp. presents a compelling investment opportunity at its current valuation.
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