Alignment Healthcare Faces Pressure Amid Medicare Payment Policy Updates
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 27 Jan 26
Source: Benzinga
Alignment Healthcare's stock fell by 12.89% as it crossed below the 5-day SMA, reflecting broader market trends. The recent proposed updates to Medicare Advantage payment policies by CMS, which forecast only a 0.09% growth for 2027, have raised concerns about profitability across the health insurance sector. This has led to significant declines in major health insurers, including a 13.13% drop in UnitedHealth Group, indicating a challenging environment for companies like Alignment Healthcare.
Analyst Views on ALHC
Wall Street analysts forecast ALHC stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for ALHC is 21.81 USD with a low forecast of 18.00 USD and a high forecast of 30.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
9 Analyst Rating
7 Buy
2 Hold
0 Sell
Strong Buy
Current: 22.080
Low
18.00
Averages
21.81
High
30.00
Current: 22.080
Low
18.00
Averages
21.81
High
30.00
About ALHC
Alignment Healthcare, Inc. is a consumer-centric platform designed to improve the healthcare experience for seniors. The Company’s operations primarily consist of Medicare Advantage Plans in the states of California, North Carolina, Nevada, Arizona, Florida and Texas. It partners with local providers to deliver coordinated care, powered by its customized care model, 24/7 concierge care team and purpose-built technology (AVA). AVA’s capabilities include consumer experience, internal care delivery, external providers, health plan operations and growth operations. AVA offers a digital ecosystem that enables its members and their support system to get the information and care they need, when and how they need it. With their AVA-powered member portal and mobile app, seniors have many self-service capabilities and can get 24/7 care, send secure messages to their concierge and care teams, check their rewards and ACCESS On-Demand Concierge Card balance, and view their health history.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
