Clover Health Investments (NASDAQ:CLOV) Announces Earnings Results, Misses Estimates By $0.05 EPS

Clover Health Investments (NASDAQ:CLOV) announced its quarterly earnings data on Thursday. The company reported ($0.10) earnings per share for the quarter, missing the consensus estimate of ($0.05) by ($0.05), Zacks reports. Clover Health Investments had a negative net margin of 3.29% and a negative return on equity of 16.79%. The firm had revenue of $487.71 million during the quarter, compared to the consensus estimate of $467.06 million.

Here are the key takeaways from Clover Health Investments’ conference call:

• Clover achieved full-year Adjusted EBITDA profitability in 2025 despite heavy new-member dilution and is guiding to its first full-year GAAP net income in 2026 (breakeven to $20M), a clear near-term earnings milestone.
• Membership momentum is strong—year-end MA membership up ~38% to ~114k, AEP growth +53% YoY, >95% retention, and 2026 average membership guidance of 154k–158k (≈46% growth), concentrated in core New Jersey markets with high Clover Assistant penetration.
• Management introduced Consolidated Gross Profit as the primary operating metric (2025 = $356M) and guides to $470M–$510M Consolidated Gross Profit and $50M–$70M Adjusted EBITDA for 2026, signaling expected operating leverage as they scale.
• Cohort economics show improvement—returning member contribution profit ~$200 PNPM and new-member loss improved to ~$145 PNPM—with underlying medical cost trend (ex-pharmacy) ~5% YoY; company expects these metrics to strengthen as cohorts mature and Clover Assistant adoption deepens.
• Management views CMS risk-adjustment and encounter-linking policy changes as long-term tailwinds for its encounter-based model but flagged a potential data gap for switchers; expansion of Counterpart Health (AI/assistant rollout) is a strategic growth priority but not yet materially reflected in 2026 guidance.

Clover Health Investments Stock Performance

Shares of NASDAQ:CLOV traded down $0.04 during trading hours on Friday, hitting $2.12. The stock had a trading volume of 4,463,592 shares, compared to its average volume of 5,979,101. The stock’s fifty day simple moving average is $2.35 and its 200 day simple moving average is $2.64. The firm has a market capitalization of $1.09 billion, a price-to-earnings ratio of -19.32 and a beta of 2.09. Clover Health Investments has a 1-year low of $1.94 and a 1-year high of $4.05.

Analyst Ratings Changes

Several equities research analysts recently issued reports on the company. Canaccord Genuity Group reissued a “buy” rating and set a $3.70 price target on shares of Clover Health Investments in a research report on Tuesday, January 20th. Zacks Research cut shares of Clover Health Investments from a “strong-buy” rating to a “hold” rating in a report on Monday, November 24th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Clover Health Investments in a report on Monday, December 29th. Finally, Wall Street Zen upgraded shares of Clover Health Investments from a “sell” rating to a “hold” rating in a research note on Sunday, February 15th. One research analyst has rated the stock with a Buy rating, three have issued a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has an average rating of “Hold” and an average price target of $3.23.

Institutional Trading of Clover Health Investments

Several hedge funds have recently added to or reduced their stakes in the business. Bank of America Corp DE grew its stake in shares of Clover Health Investments by 217.5% in the second quarter. Bank of America Corp DE now owns 4,012,744 shares of the company’s stock worth $11,196,000 after purchasing an additional 2,748,783 shares in the last quarter. Dimensional Fund Advisors LP lifted its holdings in Clover Health Investments by 69.8% in the fourth quarter. Dimensional Fund Advisors LP now owns 3,634,325 shares of the company’s stock worth $8,542,000 after purchasing an additional 1,494,043 shares during the period. First Trust Advisors LP acquired a new position in Clover Health Investments during the 2nd quarter valued at about $4,149,000. UBS Group AG raised its position in shares of Clover Health Investments by 155.5% during the 3rd quarter. UBS Group AG now owns 2,282,113 shares of the company’s stock worth $6,983,000 after buying an additional 1,388,761 shares in the last quarter. Finally, Goldman Sachs Group Inc. lifted its stake in shares of Clover Health Investments by 105.6% in the 4th quarter. Goldman Sachs Group Inc. now owns 1,781,239 shares of the company’s stock worth $4,186,000 after acquiring an additional 914,829 shares during the period. Institutional investors own 19.77% of the company’s stock.

Clover Health Investments Company Profile

Clover Health Investments is a technology-driven healthcare company specializing in Medicare Advantage plans for senior populations. The company combines insurance coverage with a proprietary software platform to improve care coordination, outcomes tracking and cost management. By leveraging data analytics, Clover Health aims to deliver personalized care pathways and preventive interventions for its members.

At the core of Clover’s offering is its Clover Assistant platform, which aggregates clinical and claims data from multiple sources to create real-time insights for physicians and care teams.