Centene Corp. (CNC) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+72.9%

$114.14

vs $66.02 price

Levered DCF

$278.01

After debt service

Piotroski score

8 / 9

Strong

Altman Z-score

3.2

Safe zone

Rating

B+

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	-3.02×	9.57×	14.93×	39.24×	35.67×	18.94×	19.71×	24.96×
P/B	1.01×	1.2×	1.56×	1.96×	1.79×	1.33×	2.07×	2.06×
P/S	0.1×	0.19×	0.26×	0.33×	0.38×	0.31×	0.35×	0.37×
EV / EBITDA	-4.1×	5.96×	7.48×	13.5×	14.56×	8.78×	10×	10.81×
Gross margin	12.2%	10.3%	11.2%	11.5%	11.3%	13.7%	11.8%	14.0%
Operating margin	-3.9%	1.9%	1.9%	0.9%	1.4%	2.8%	2.4%	2.4%
Net margin	-3.4%	2.0%	1.8%	0.8%	1.1%	1.6%	1.8%	1.5%
Current ratio	1.68×	1.11×	1.11×	1.06×	1.11×	1.08×	1.57×	1×
Debt / equity	0.94×	0.74×	0.73×	0.89×	0.85×	0.71×	1.16×	0.61×
Interest coverage	-11.24×	4.52×	4.04×	1.98×	2.68×	4.23×	4.32×	4.25×
Dividend yield	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%
Payout ratio	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	-33.4%	12.5%	10.5%	5.0%	5.0%	7.0%	10.5%	8.2%
Return on invested capital	-13.4%	5.1%	4.6%	1.7%	2.5%	4.2%	4.6%	5.0%
Return on assets	-8.6%	4.0%	3.2%	1.6%	1.7%	2.6%	3.2%	2.9%
Free cash flow yield	21.4%	-1.6%	18.0%	11.1%	6.9%	13.5%	2.9%	2.5%
Earnings yield	-33.0%	10.5%	6.7%	2.5%	2.8%	5.3%	5.1%	4.0%
Enterprise value	$21.1B	$37B	$42B	$56.4B	$57.6B	$41.8B	$28.4B	$23.8B
Net debt / EBITDA	-0.17×	0.87×	0.3×	2.22×	2.41×	1.58×	0.84×	0.61×
Cash conversion cycle (days)	-10	12	-7	7	8	5	8	3