ELV Valuation

Elevance Health Inc

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275.320

-7.76(-2.741%)1D

Overview
Forecast
Valuation
Earnings

ELV Relative Valuation

ELV's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, ELV is overvalued; if below, it's undervalued.

Historical Valuation

Elevance Health Inc (ELV) is now in the Undervalued zone, suggesting that its current forward PE ratio of 9.10 is considered Undervalued compared with the five-year average of 13.90. The fair price of Elevance Health Inc (ELV) is between 979.13 to 1061.73 according to relative valuation methord. Compared to the current price of 283.08 USD , Elevance Health Inc is Undervalued By 71.09%.

Relative Value

Fair Zone

979.13-1061.73

Current Price：283.08

71.09%

Undervalued

9.10

Trailing

Forward

7.64

EV/EBITDA

Elevance Health Inc. (ELV) has a current EV/EBITDA of 7.64. The 5-year average EV/EBITDA is 10.40. The thresholds are as follows: Strongly Undervalued below 8.47, Undervalued between 8.47 and 9.43, Fairly Valued between 11.36 and 9.43, Overvalued between 11.36 and 12.32, and Strongly Overvalued above 12.32. The current Forward EV/EBITDA of 7.64 falls within the Strongly Undervalued range.

8.75

EV/EBIT

Elevance Health Inc. (ELV) has a current EV/EBIT of 8.75. The 5-year average EV/EBIT is 11.50. The thresholds are as follows: Strongly Undervalued below 9.28, Undervalued between 9.28 and 10.39, Fairly Valued between 12.61 and 10.39, Overvalued between 12.61 and 13.71, and Strongly Overvalued above 13.71. The current Forward EV/EBIT of 8.75 falls within the Strongly Undervalued range.

0.32

Elevance Health Inc. (ELV) has a current PS of 0.32. The 5-year average PS is 0.64. The thresholds are as follows: Strongly Undervalued below 0.45, Undervalued between 0.45 and 0.54, Fairly Valued between 0.73 and 0.54, Overvalued between 0.73 and 0.82, and Strongly Overvalued above 0.82. The current Forward PS of 0.32 falls within the Strongly Undervalued range.

8.34

P/OCF

Elevance Health Inc. (ELV) has a current P/OCF of 8.34. The 5-year average P/OCF is 14.00. The thresholds are as follows: Strongly Undervalued below 9.17, Undervalued between 9.17 and 11.59, Fairly Valued between 16.42 and 11.59, Overvalued between 16.42 and 18.83, and Strongly Overvalued above 18.83. The current Forward P/OCF of 8.34 falls within the Strongly Undervalued range.

9.11

P/FCF

Elevance Health Inc. (ELV) has a current P/FCF of 9.11. The 5-year average P/FCF is 14.51. The thresholds are as follows: Strongly Undervalued below 9.25, Undervalued between 9.25 and 11.88, Fairly Valued between 17.14 and 11.88, Overvalued between 17.14 and 19.77, and Strongly Overvalued above 19.77. The current Forward P/FCF of 9.11 falls within the Strongly Undervalued range.

Elevance Health Inc (ELV) has a current Price-to-Book (P/B) ratio of 1.46. Compared to its 3-year average P/B ratio of 2.77 , the current P/B ratio is approximately -47.54% higher. Relative to its 5-year average P/B ratio of 2.75, the current P/B ratio is about -47.02% higher. Elevance Health Inc (ELV) has a Forward Free Cash Flow (FCF) yield of approximately 8.07%. Compared to its 3-year average FCF yield of 5.63%, the current FCF yield is approximately 43.49% lower. Relative to its 5-year average FCF yield of 6.99% , the current FCF yield is about 15.50% lower.

1.46

P/B

Median3y

2.77

Median5y

2.75

8.07

FCF Yield

Median3y

5.63

Median5y

6.99

Competitors Valuation Multiple

The average P/S ratio for ELV's competitors is 0.35, providing a benchmark for relative valuation. Elevance Health Inc Corp (ELV) exhibits a P/S ratio of 0.32, which is -8.60% above the industry average. Given its robust revenue growth of 14.04%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Molina Healthcare Inc

Alignment Healthcare Inc

Performance Decomposition

Market capitalization of ELV decreased by 49.17% over the past 1 year. The primary factor behind the change was an increase in Revenue Growth from 43.65B to 49.78B.

The secondary factor is the P/E Change, contributed -29.62%to the performance.

Overall, the performance of ELV in the past 1 year is driven by Revenue Growth. Which is more sustainable.

14.04%

43.65B → 49.78B

Revenue Growth

-33.59%

5.27 → 3.50

Margin Expansion

-29.62%

17.20 → 12.11

P/E Change

-49.17%