Elevance Health: New Medicare Payment Rate A Gift, And The Chart Looks Good

Elevance Health, Inc. is rated a Buy, with valuation now compelling after significant underperformance versus the S&P 500. Despite fundamental headwinds—declining membership, higher benefit expense ratios, and muted guidance—ELV targets 12% annual adjusted EPS growth long-term. Shares are deeply discounted, trading below fair value on both P/E and price-to-sales metrics, with technicals suggesting a potential bottom.