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Evolent Health (EVH) Reports Earnings Tomorrow: What To Expect

EVH Cover Image

Healthcare solutions company Evolent Health (NYSE: EVH) will be reporting results this Thursday after market close. Here’s what to expect.

Evolent Health missed analysts’ revenue expectations by 3.3% last quarter, reporting revenues of $444.3 million, down 31.3% year on year. It was a softer quarter for the company, with full-year revenue guidance missing analysts’ expectations significantly and revenue guidance for next quarter missing analysts’ expectations significantly.

Is Evolent Health a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, analysts are expecting Evolent Health’s revenue to decline 24.8% year on year to $467.3 million, a reversal from the 21.6% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.11 per share.

Evolent Health Total Revenue

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Evolent Health has missed Wall Street’s revenue estimates three times over the last two years.

Looking at Evolent Health’s peers in the healthcare technology segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Omnicell delivered year-on-year revenue growth of 10%, beating analysts’ expectations by 5%, and Premier reported a revenue decline of 3.3%, falling short of estimates by 1%. Omnicell traded up 13.6% following the results.

Read our full analysis of Omnicell’s results here and Premier’s results here.

Investors in the healthcare technology segment have had steady hands going into earnings, with share prices flat over the last month. Evolent Health is down 20.6% during the same time and is heading into earnings with an average analyst price target of $15.46 (compared to the current share price of $6.55).

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