Clover Health Receives 'Buy' Rating from Deutsche Bank, Shares Rise Over 8%
Shares of Clover Health (NASDAQ:CLOV) rose by 8.53% to $4.71 on Thursday following a new 'buy' recommendation and an increased price target from Deutsche Bank. The investment firm set a price target of $6 per share, representing a potential upside of over 27%. This positive outlook is based on Clover Health's growth in Medicare Advantage plans and the promise of its technology platform. Clover Health reported strong second-quarter results, turning a net income of $28 million compared to a $10.6 million loss last year. Revenue surged by 55.6% to $743.2 million with significant membership growth in Medicare Advantage plans reaching 157,309 members. The company also raised its full-year guidance for net income and revenue following the strong Q2 performance. Institutional investor interest has increased significantly, with hedge fund holdings rising by 375% quarter-on-quarter to $79.06 million.
Topics: earnings report guidance update stock recommendation