Elevance Health Inc.

(New York Stock Exchange)
Back to all articles
Bullish +75

Elevance Health stock: Wells Fargo raises target to USD 492

Analyst upgrade AI-generated analysis

📈 Wells Fargo raised its price target for Elevance Health from USD 473 to USD 492 while retaining an Overweight rating.

💰 Elevance Health reported third-quarter adjusted diluted EPS of USD 6.99, significantly beating the consensus estimate of USD 4.70.

📊 Revenue reached USD 50.4 billion in Q3, surpassing the forecast of USD 49.32 billion.

🚀 Wells Fargo lifted its 2026 EPS estimate by USD 2.00 to a total of USD 30.28, which is 4.5% above consensus.

🔮 The bank projects future EPS of USD 31.75 for 2027 and USD 39.40 for 2028, both above market consensus.

🏥 Constructive trends were identified in Medicaid, Medicare Advantage, and health insurance exchange businesses.

🤝 Other analysts including Bernstein, BofA Securities, and Guggenheim also increased their price targets following the earnings update.

📈 Elevance Health raised its full-year outlook after reporting stronger-than-expected third-quarter results.

💡 Wells Fargo noted that 2027 growth remains possible even without support from the Medicaid business line.

⚖️ The valuation scenario analysis ranges from USD 369 to USD 586 depending on ACA margin assumptions and policy trends.

Bullish Signals
  • Wells Fargo raised its price target for Elevance Health from USD 473 to USD 492 while maintaining an Overweight rating.
  • The company reported third-quarter adjusted diluted EPS of USD 6.99, significantly beating the consensus estimate of USD 4.70.
  • Revenue reached USD 50.4 billion in Q3, surpassing the forecast of USD 49.32 billion.
  • Wells Fargo lifted its total 2026 EPS estimate by USD 2.00 to a total of USD 30.28, which is 4.5% above consensus.
  • The bank projects future EPS of USD 31.75 for 2027 and USD 39.40 for 2028, both significantly above market consensus.
  • Constructive trends were identified in Medicaid, Medicare Advantage, and health insurance exchange businesses driving core earnings.
  • Other analysts including Bernstein, BofA Securities, and Guggenheim also increased their price targets following the earnings update.
  • Elevance Health raised its full-year outlook after reporting stronger-than-expected third-quarter results.
Full Analysis
Elevance Health received a bullish analyst upgrade from Wells Fargo, which raised its price target to USD 492 and maintained an Overweight rating. The bank cited constructive trends in Medicaid, Medicare Advantage, and health insurance exchanges following the company's third-quarter performance. The report highlights that Elevance Health recently reported stronger-than-expected revenue of USD 50.4 billion and adjusted diluted EPS of USD 6.99, significantly beating consensus estimates. This robust core performance drove a substantial increase in Wells Fargo's full-year 2026 earnings-per-share estimate to USD 30.28. Analysts at other major firms including Bernstein, BofA Securities, and Guggenheim also increased their price targets following the earnings beat, indicating broad market confidence. The company subsequently raised its full-year outlook, reinforcing positive sentiment around its financial trajectory and operational momentum. Wells Fargo projects EPS of USD 31.75 for 2027 and USD 39.40 for 2028, noting that solid growth remains possible even without reliance on Medicaid. The valuation analysis suggests a sensitivity to health-plan margins and policy trends, with the current target based on a 12.5x multiple of estimated 2028 earnings.