| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 46 | — | 17.8x | Around median | |
Growth | 79 | 54.0% | 7.1% | Top tier | |
Quality | 20 | -5.1% | 4.5% | Bottom tier | |
Safety | 72 | — | 2.6x | Top tier | |
Capital Return | 24 | — | 2.12% | Bottom tier | |
Momentum | 90 | 51.6% | 2.9% | Top tier | |
Sentiment | 22 | 2 | 3 | Bottom tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Clover Health Investments operates through a broad-network, fully risk-bearing PPO Medicare Advantage insurance model and uses the Clover Assistant platform to help physicians detect diseases, manage chronic conditions, and make treatment decisions based on a more comprehensive view of the patient. The company links improved care to better member economics over time, while expanding the use of its technology beyond its insurance operations through Counterpart Health; however, the information did not disclose a separate financial contribution from this activity.
In Q2 FY2026, revenue reached $743.2 million, up 56% year over year according to the earnings call, and average Medicare Advantage membership was approximately 157 thousand members following 48% membership growth. The company recorded consolidated gross profit of $153 million, equivalent to a calculated gross margin of approximately 20.6% and annual growth of 54%, while GAAP net income was approximately $28 million, earnings per share were $0.05, and adjusted earnings before interest, taxes, depreciation, and amortization were $41 million.
During the first half of FY2026, revenue reached approximately $1.5 billion, adjusted earnings before interest, taxes, depreciation, and amortization reached $81 million, and GAAP net income reached $55 million. Adjusted selling, general, and administrative expenses declined in Q2 FY2026 to $112 million, or 15% of revenue, representing an improvement of approximately 220 basis points year over year; Clover Health also ended the quarter with $443 million in cash and investments and no outstanding debt.
Automated analysis for informational purposes only — not investment advice.
The analyst consensus on CLOV is Neutral, with an average price target of $5.25 and a narrow range of $5.00 to $5.50; the average is slightly below the 52-week range high of $5.59, while the stock's full range extends from $1.58 to $5.59. No price-to-earnings multiple is available because of the trailing twelve-month net loss of $56.9 million and negative earnings per share, so the valuation depends heavily on achieving FY2026 guidance and converting first-half profits into sustainable full-year profitability, balanced against the expected seasonal loss in Q4 and the risk associated with the star-rating appeal.
Figures in the text are as of 2026-09-01; the live price is shown at the top of the page.
Clover Health generates revenue primarily from broad-network PPO Medicare Advantage plans under a fully risk-bearing model. It uses Clover Assistant to provide physicians with a more comprehensive view of the patient, with the aim of detecting diseases early, managing chronic conditions, and improving treatment decisions. In Q2 FY2026, average membership was 157 thousand members and revenue was $743.2 million. The company is also expanding the technology into the healthcare market through Counterpart Health, but the information did not provide separate revenue for this activity.
In Q2 FY2026, the company recorded GAAP net income of $28 million and adjusted earnings before interest, taxes, depreciation, and amortization of $41 million. Consolidated gross profit was $153 million, up 54% annually, supported by favorable utilization trends and progress in member cohort economics. Adjusted selling, general, and administrative expenses also declined to 15% of revenue, an improvement of approximately 220 basis points compared with Q2 FY2025. Improved dental and Part D costs and moderating outpatient services after March 2026 also supported the results.
Clover Health's historical data indicate that gross profit improves by approximately $70 per month per member when a member moves from the first year to the second. In FY2026, the 2025 cohort represents approximately 21% of membership, while the 2026 cohort represents approximately 28%. The first cohort will move into its third year in 2027 and the second into its second year, which are stages during which the company says economics improve. Clover Assistant covers a low-sixties percentage of these two cohorts, compared with approximately two-thirds of the total member base.
Following the court order and CMS recalculation, all Medicare Advantage members are now in plans rated four and a half stars for payment year 2027. The company said the rating gives it greater flexibility to invest in member benefits, support growth, and improve profitability, and it submitted its 2027 offerings on this basis. Conversely, CMS filed notice of its intent to appeal the court decision, keeping the legal dispute ongoing. Management emphasizes that the primary earnings driver is the maturation of members under Clover Assistant-supported care, not the rating alone.
The company expects revenue of between $2.92 billion and $3.00 billion and average Medicare Advantage membership of between 156 thousand and 158 thousand members in FY2026. Consolidated gross profit guidance ranges from $525 million to $555 million, and adjusted earnings before interest, taxes, depreciation, and amortization guidance ranges from $70 million to $85 million. It also expects GAAP net income of between $20 million and $35 million, targeting its first full fiscal year of GAAP profitability. However, management expects stronger gross profit in Q3 FY2026 and an adjusted seasonal loss in Q4 as annual enrollment period investments increase.
Risks include continued elevated outpatient service utilization compared with prior years and the dependence of future profitability on improvement among member cohorts that are still in their early years. The growth strategy is also concentrated in New Jersey and Georgia, while CMS is appealing the four-and-a-half-star rating decision. The company recorded a net loss of $56.9 million during the trailing twelve months ended in FY2026, despite generating profits in Q1 and Q2. Insider net sales also totaled $3.1 million during the three months ended August 17, 2026, while acknowledging that these sales may have been prearranged and are not sufficient on their own to assess the business.
