Centene Corporation
Centene Corporation operates as a managed care company that provides programs and services to under-insured families, and commercial organizations in the United States. It operates through four segments: Medicaid, Medicare, Commercial, and Other. The Medicaid segment offers the temporary assistance…
Centene Corporation operates as a managed care company that provides programs and services to under-insured families, and commercial organizations in the United States. It operates through four segments: Medicaid, Medicare, Commercial, and Other. The Medicaid segment offers the temporary assistance for needy families; medicaid expansion; aged, blind, or disabled; and children's health insurance programs, as well as long-term services and supports; foster care; and medicare-medicaid plans. This segment also provides healthcare products and services. The Medicare segment offers special needs and medicare supplement, and prescription drug plans. The Commercial segment provides health insurance marketplace product for individual and commercial group. The Other segment operates clinical healthcare and pharmacies, as well as offers vision and dental, behavioral health, and centralized services. It provides services through primary and specialty care physicians, hospitals, behavioral health practitioners, and ancillary providers. The company was founded in 1984 and is headquartered in Saint Louis, Missouri.After signing in, return here and select “Add to watchlist”. Saving companies requires a verified email address.
Looks overvalued
Why: Free cash flow is positive and in line with earnings, and the dividend is small, so a cash-flow DCF fits best.
Start with the price and fair value range, then review the data dates and assumptions below. Estimates are not predictions or investment advice.
Market price above modeled range
Showing the EPS-based Gordon proxy you selected on the company card, using 3.37% growth, 2.9% terminal growth and 10.5% discount. The range varies these assumptions slightly; it is illustrative, not investment advice.
Assumptions: growth 3.37%, discount rate 10.50%, terminal growth 2.90% (sector defaults). See a worked example.
Blended growth assumption: 3.4% (sector default 6.8%, own revenue history 11.5%, analyst revenue consensus -2.4%).
5-year outlook: relative outlook of about 4.6% a year (Medium confidence), anchored to a 7% market return and adjusted for how this company ranks against others. A ranking aid, not a prediction. See the full forecast.
Analyst consensus expects revenue growth of -2.4% a year; the growth assumption used is 3.4%.
Adjust assumptions
Show the recommended model instead
Why this model: Free cash flow is positive and in line with earnings, and the dividend is small, so a cash-flow DCF fits best.
Compare models- Recommended: Free-cash-flow DCF — USD 126.96 (+71.2%)
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EPS-based Gordon proxy
— USD 40.03 (-46.0%)
Not used: Treats all earnings as if paid out and ignores the cash kept for reinvestment, so it overstates value for companies that retain most profit.
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DCF (trailing free cash flow)
— USD 126.96 (+71.2%)
Not used: Free cash flow is 2.7x net income, which usually means costs such as lease payments sit outside operating cash flow, so it may be overstated.
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FCFF (steady state)
— USD 124.78 (+68.2%)
Not used: Free cash flow is 2.7x net income, which usually means costs such as lease payments sit outside operating cash flow, so it may be overstated.
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EV/EBITDA (12x)
— USD 108.12 (+45.8%)
Not used: Used only when free cash flow is far below earnings even after averaging three years; a fixed 12x multiple also ignores sector differences.
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Fade DCF (10-year growth fade)
— USD 126.87 (+71.1%)
Not used: Free cash flow is 2.7x net income, which usually means costs such as lease payments sit outside operating cash flow, so it may be overstated.
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EV/Sales (Rule of 40)
— USD 434.91 (+486.4%)
Not used: Used only for technology and communication companies whose cash-flow value is far below the price.
| Bear USD 31.38 | -136.3% |
| Base USD 40.03 | -85.3% |
| Bull USD 46.10 | -60.9% |
Margin = (value − price) / value, so it is measured against the value and reads lower than the upside to value, which is measured against the price. Positive means the price is below that case.
Track record: see the methodology page for how this model has performed historically, including its limits. Treat it as a screen, not a forecast.
Price history and fair value
5 years price change: +0.12% · USD 74.17 · Market data through 05 Nov 2026 ; dashed line is today’s model base value (USD 40.03). The fair value is today’s estimate, not what the model said in the past.
Saved price history is current through 05 Nov 2026; last refreshed 06 Nov 2026 18:14 (41 minutes ago).
08 Nov 2021Range USD 25.53 – 97.2205 Nov 2026
Latest news
Headlines provided by EODHD. Articles may mention multiple companies and are not investment recommendations.
More detail: quality, peers, price history, dividends and financials
Quality score: 72 / 100
Five equal checks on reported history: profitability, cash generation, revenue growth, balance sheet and margins. It describes business quality, not whether the price is attractive.
| Profitability | 4 of 5 years profitable | 16 / 20 |
| Cash generation | free cash flow positive in 4 of 5 years | 16 / 20 |
| Growth | revenue +7.7% a year | 20 / 20 |
| Balance sheet | net cash | 20 / 20 |
| Margins | EBITDA margin 2% | 0 / 20 |
Peers in Health Care
Same-sector companies with a valuation, most undervalued first. Compare the margin of safety, yield and quality score side by side.
| Company | Price | Margin of safety | P/E | P/B | Yield | Quality |
|---|---|---|---|---|---|---|
| CNC (this company) | USD 74.17 | -14.8% | 25.2 | 1.7 | – | 72 |
| ZEAL.CO Zealand Pharma A/S | DKK 232.90 | 36.5% | 6.0 | 0.9 | – | 72 |
| CI Cigna | USD 301.48 | 28.8% | 12.4 | 1.9 | 2.0% | 70 |
| CVS CVS Health | USD 81.33 | 12.4% | 9.5 | 1.3 | 3.3% | 70 |
| BAVA.CO Bavarian Nordic A/S | DKK 241.00 | 12.0% | 11.9 | 1.4 | – | 92 |
| AMP.MI Amplifon S.p.A. | EUR 11.17 | 8.7% | 41.1 | – | 2.6% | 72 |
| ZBH Zimmer Biomet | USD 106.85 | 0.5% | 26.6 | 1.6 | 0.9% | 90 |
| GSK.L GSK plc | GBP 18.90 | -5.4% | 17.7 | 4.1 | 3.5% | 92 |
| SAN.PA Sanofi | EUR 83.74 | -5.5% | 13.1 | – | 4.7% | 92 |
| Peer median | 12.7 | 1.5 | ||||
Trailing 12-month financials
TTM through 30 Sep 2026 · quarterly EODHD data · data downloaded 06 Nov 2026 18:51
| Revenue | USD 194,691,000,000 |
|---|---|
| EBITDA | USD 3,782,037,000 |
| EBIT | USD 2,554,037,000 |
| Net income | USD 1,461,000,000 |
| Free cash flow | USD 3,960,000,000 |
| Capital expenditures | USD 781,000,000 |
| Debt | USD 15,542,000,000 |
| Cash | USD 23,586,000,000 |
| Working capital | USD 6,393,000,000 |
| Shares outstanding | 494,143,000 |