What changed
$ELV — Health insurance and healthcare services provider.
🎯 Q1 FY26 | Rev $50B | EPS $12.58 vs $10.81 🟢
💡 Consensus expected EPS of $10.81 for Q1 2026; actual adjusted EPS was $12.58, a 16.4% beat. The market has not fully repriced the stock for this beat and the raised full-year guidance.
🏢 Business Quality: 8/10 | Valuation: cheap
📉 Reward/Risk: Upside: 20% to $485 (10x forward EPS of $55). Downside: 10% to $364 (7x forward EPS of $52). Ratio: 2:1.
🔮 Catalyst: Event: Q2 2026 earnings (late July 2026). Metric: Medical loss ratio (MLR) and membership growth. Timing: 2 months. Failure signal: MLR above 87% or membership decline >2%.
💰 Entry: Current price $404.56 is attractive. Ideal entry below $400, but given the beat and guidance raise, any pullback to $390-400 is a strong buy zone.
Also in play: $WCN $RSG $WM $ECL $CLH $CAT