| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 26 | 30.8x | 17.8x | Bottom tier | |
Growth | 80 | 12.7% | 7.1% | Top tier | |
Quality | 97 | — | — | Top tier | |
Safety | 74 | — | — | Top tier | |
Capital Return | 52 | — | 2.12% | Around median | |
Momentum | 53 | -32.6% | 2.9% | Around median | |
Sentiment | 19 | — | 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.
CorVel Corporation provides technology and administrative solutions to healthcare payers, workers' compensation programs, and risk management programs. Its business is divided between Network Solutions, which includes CERIS services for prepayment payment accuracy and post-payment recovery, and Patient Management, which combines claims management with clinical, pharmacy, and network data services; the company generates revenue from enterprise programs and contracts, many of them multi-year, designed to reduce claim costs and improve clinical and financial outcomes.
In Q4 of fiscal 2026, revenue increased 7% to $249 million from $232 million in the comparable period, and net income reached $31 million, representing a net margin of approximately 12.4%, while earnings per share rose to $0.61 from $0.51. General and administrative expenses declined by $1.3 million, and their share of revenue fell to 9.4% from 10.6%, supporting improved quarterly profitability.
In fiscal 2026, CorVel recorded revenue of $958.5 million and gross profit of $232.9 million, equivalent to a gross margin of approximately 24.3%, net income of $110.3 million, and earnings per share of $2.14. According to the earnings call, annual revenue grew 7% and earnings per share increased 17%, while operating margin improved by 1.4 percentage points to 15%; the strongest momentum came from Network Solutions, with double-digit growth in revenue and profit, while Patient Management delivered low-single-digit growth.
Automated analysis for informational purposes only — not investment advice.
The stock's 52-week range extends from $44.83 to $93.45, a wide spread that reflects significant sensitivity to repricing even without relying on a real-time price. The fundamental picture is supported by the 17% increase in earnings per share in fiscal 2026 and the improvement in operating margin to 15%, but the nonrecurring CERIS benefit of $0.02 per share and low growth in Patient Management warrant caution when estimating the sustainability of the earnings pace.
Figures in the text are as of 2026-08-31; the live price is shown at the top of the page.
Revenue in Q4 of fiscal 2026 reached approximately $249 million, up 7% from $232 million in the comparable period. Net income reached $31 million, an increase of $5 million, while earnings per share rose to $0.61 from $0.51. General and administrative expenses also declined by $1.3 million, and their share of revenue fell to 9.4% from 10.6%.
CERIS is launching four major programs during 2026, including two new multi-year partnerships with two of the top ten national healthcare payers. New bookings in the March 2026 quarter increased 56% year over year, while request-for-proposal activity rose 20%. Management expects these bookings to contribute meaningfully to revenue and profit during the second half of 2026 as implementation activity expands.
The revenue realization cycle for prepayment auditing solutions typically takes one or two months, compared with six months or more for post-payment recovery services. Management said profit margins are comparable between the two models, allowing the revenue cycle to be shortened without an expected sacrifice in margin. CERIS combines both solutions, enabling earlier intervention while preserving recovery capabilities when needed.
The CorVel Connected platform combines claims, clinical, pharmacy, and network data in a unified operating model. The company uses artificial intelligence and automation to identify risks early, provide predictions and next-action guidance, and reduce reliance on manual processing. Management expects sustained productivity gains as these tools are deployed during the remainder of 2026 and into 2027, but it is simultaneously increasing governance and security investments to address artificial intelligence-enabled vulnerabilities.
The cash balance reached $233 million at the end of fiscal 2026, and the balance sheet was debt-free according to management. Free cash flow reached $66 million, up $7 million from fiscal 2025, while days sales outstanding improved to 37 days, a reduction of four days. During fiscal 2026, the company repurchased 872,744 shares for $56 million, funded by operating cash flow.
The nonrecurring acceleration of CERIS recoveries added $0.02 to earnings per share in fiscal 2026, making part of the performance timing-related. In Patient Management, revenue and profit growth were limited to a low-single-digit rate, while headcount increased to support services and implementation. The business also faces rising claim severity, medical costs, regulatory complexity, and cybersecurity risks, while subsequent productivity improvements depend on the successful use of automation and artificial intelligence during 2026 and 2027.
