Oscar Health Inc (OSCR, Financial) has recently experienced a notable uptick in its stock performance, with a 17.24% gain over the past week and an impressive 22.83% gain over the past three months. The company's market capitalization now stands at $1.94 billion, and the current stock price is $8.58. When compared to the GF Value of $10.88, Oscar Health is considered modestly undervalued, indicating potential room for growth. It's worth noting that there was no GF Value data available from three months ago, which suggests a recent development in the company's valuation metrics.
Introduction to Oscar Health Inc
Oscar Health Inc, operating within the healthcare plans industry, is a provider of health insurance plans and related services. The company's offerings include virtual care, doctor support, and appointment scheduling, catering to individuals, families, and employees. Additionally, Oscar Health provides Medicare Advantage plans to the senior demographic. With a focus on innovation and customer service, the company is positioning itself as a modern alternative in the traditional health insurance landscape.
Assessing Oscar Health's Profitability
Oscar Health's Profitability Rank is currently at 2 out of 10, which indicates challenges in this area. The company's Return on Equity (ROE) is at -36.34%, which, while negative, is better than 21.05% of the companies in the industry. The Return on Assets (ROA) stands at -8.17%, and the Return on Invested Capital (ROIC) is at a concerning -64.42%. These figures suggest that Oscar Health is struggling with profitability when compared to its peers, but it's not at the bottom of the pack.
Oscar Health's Growth Trajectory
Despite profitability concerns, Oscar Health's growth metrics tell a more positive story. The company's 3-Year Revenue Growth Rate per Share is an impressive 92.40%, outperforming 88.89% of its industry peers. Looking ahead, the Total Revenue Growth Rate (Future 3Y To 5Y Est) is projected at 52.16%, which is better than 90.91% of the companies in the same space. However, the 3-Year EPS without NRI Growth Rate is at -30.40%, which, although negative, still fares better than 17.65% of the industry. These growth figures suggest that Oscar Health has significant potential for expansion and revenue increase in the coming years.
Key Shareholders in Oscar Health
Notable investors have taken positions in Oscar Health, demonstrating confidence in the company's future. Mason Hawkins (Trades, Portfolio) is the leading holder with 7,407,281 shares, representing a 3.28% share percentage. Following him is Jim Simons (Trades, Portfolio), holding 3,066,500 shares, which equates to a 1.36% stake. Steven Cohen (Trades, Portfolio) also has a significant investment with 1,608,530 shares, accounting for 0.71% of the company's shares.
Competitive Landscape
Oscar Health operates in a competitive industry, with several key players vying for market share. Alignment Healthcare Inc (ALHC, Financial) has a market cap of $1.38 billion, Clover Health Investments Corp (CLOV, Financial) is valued at $507.150 million, and Bright Health Group Inc (BHG, Financial) stands at $61.861 million. These companies, along with Oscar Health, are part of a dynamic sector that is constantly evolving to meet the healthcare needs of consumers.
Conclusion
In summary, Oscar Health Inc's recent stock performance has been strong, with significant gains over the past week and three months. The company's valuation suggests it is modestly undervalued, presenting potential for investors. While profitability remains a challenge, the company's growth rates in revenue and projected future earnings are promising. The involvement of notable shareholders further underscores the potential that investors see in Oscar Health. When compared to its competitors, Oscar Health holds a competitive position in the market, with a market cap that reflects its standing within the industry. As the healthcare plans sector continues to grow and adapt, Oscar Health Inc may well be a company to watch for those interested in value investment opportunities.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
