Centene Plunges 16% as ACA Membership Falls Up to 35%, Costs Surge
Centene’s shares plunged 16% after enrollment in Affordable Care Act plans declined between the high-teens and mid-30% range. The health insurer maintained 2026 earnings guidance above $1.98 per share and adjusted EPS above $3, but falling Obamacare membership and surging costs threaten premium revenue.
1. Sharp Stock Decline
Centene’s shares tumbled 15.97% to close at $36.40, with an intraday high of $42.47 and a low of $36.28, marking one of its steepest single-day drops within a 52-week range of $25.08 to $66.03.
2. ACA Membership Attrition
Membership in Affordable Care Act plans is forecast to shrink in the high-teens to mid-30% range as soaring healthcare costs drive down Obamacare enrollment, eroding the insurer’s premium revenue base.
3. Earnings Guidance Reaffirmed
Despite the downturn, the company reaffirmed full-year 2026 earnings guidance above $1.98 per share and projected adjusted EPS over $3, warning that elevated costs and lower ACA membership could compress profit margins.