12:55 PM EDT, 07/10/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We reduce our 12-month target to $204 from $253 on 9.3x our 2025 EPS estimate, a discount to historical due to cost pressures and Medicaid cuts. We cut our 2025 EPS to $21.98 from $24.48 and 2026's to $27.68 from $28.20. MOH issued a press release on July 7, prior to its earnings release scheduled for July 24, reducing its 2025 EPS guidance to a range of $21.50-$22.50, down from its forecast of over $24.50 per diluted share provided during the Q1 earnings release. MOH looked at its preliminary Q2 results and saw medical cost pressures in all three lines of business. We think these pressures will continue into 2H 2025. This pre-release follows one on July 1 from Centene Corporation (CNC 33 ***), which also reduced its EPS guidance due to lower market growth than expected and higher aggregate market morbidity. We also expect cuts to Medicaid passed on July 4 in the One Big Beautiful Bill Act will result in a shrinking Medicaid business, which contributed 79% of MOH's premium revenue in 2024.