Claritev (NYSE:CTEV) Issues Quarterly Earnings Results, Misses Estimates By $0.92 EPS

Claritev (NYSE:CTEV) released its earnings results on Monday. The company reported ($4.88) earnings per share for the quarter, missing the consensus estimate of ($3.96) by ($0.92), FiscalAI reports. The business had revenue of $246.55 million for the quarter. Claritev had a negative return on equity of 245.89% and a negative net margin of 29.45%.

Here are the key takeaways from Claritev’s conference call:

• Q4 and FY results beat earlier guidance — Q4 revenue was $246.6M (+6.2% YoY) and full‑year revenue was $965.4M (+3.7%); Q4 adjusted EBITDA was $151.3M (61.4% margin). Management guided 2026 revenue to $980M–$1.0B (2%–4%), or 4%–6% excluding $18M of 2025 one‑time revenue, with adjusted EBITDA of $605M–$615M and targeted free cash flow of $0–$10M.
• Sales momentum and booking strength — management cited record bookings and pipeline health (about $67M ACV closed in 2025, strong Q4 bookings), >650 opportunities worked, >100 deals >$100K ACV (up 30%) and expects double‑digit ACV bookings growth in 2026.
• Product and AI strategy accelerating — the company highlighted its 1.4M‑provider Claritev Network and a new Network Builder that creates bespoke networks in minutes, plus a focus on embedding AI into workflows (Investor Day on March 16 to provide more detail).
• Near‑term margin pressure from cloud migration and investments — Claritev expects $10M–$15M of costs to shift from CapEx to OpEx (no cash impact) which will lower adjusted EBITDA in 2026, and plans $20M–$25M of incremental go‑to‑market and delivery spend this year.

Claritev Stock Down 39.5%

CTEV opened at $14.06 on Wednesday. Claritev has a 52-week low of $12.78 and a 52-week high of $74.07. The company has a 50 day moving average of $30.51 and a two-hundred day moving average of $47.68. The company has a market cap of $232.12 million, a P/E ratio of -0.81 and a beta of 0.51.

Institutional Trading of Claritev

Institutional investors have recently added to or reduced their stakes in the business. H&F Corporate Investors VIII Ltd. acquired a new stake in Claritev in the 3rd quarter valued at $285,988,000. AustralianSuper Pty Ltd purchased a new stake in shares of Claritev in the third quarter worth about $169,605,000. Arini Captial Management Ltd acquired a new stake in shares of Claritev in the fourth quarter valued at about $64,291,000. Public Investment Fund purchased a new stake in shares of Claritev during the 3rd quarter valued at about $68,009,000. Finally, Beach Point Capital Management LP raised its holdings in shares of Claritev by 77.4% during the 4th quarter. Beach Point Capital Management LP now owns 755,002 shares of the company’s stock valued at $32,276,000 after buying an additional 329,424 shares during the period. 87.15% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Several research analysts have recently weighed in on CTEV shares. Citigroup cut their price objective on shares of Claritev from $80.00 to $63.00 and set a “buy” rating on the stock in a report on Friday, January 9th. Guggenheim reaffirmed a “buy” rating on shares of Claritev in a research note on Tuesday. Wells Fargo & Company set a $30.00 price target on shares of Claritev and gave the company an “equal weight” rating in a report on Tuesday. Weiss Ratings restated a “sell (d-)” rating on shares of Claritev in a report on Monday, December 29th. Finally, UBS Group reaffirmed a “buy” rating on shares of Claritev in a research report on Tuesday. Three investment analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has a consensus rating of “Hold” and an average price target of $43.67.

Claritev Company Profile

Claritev is a healthcare technology, data and insights company focused on improving affordability,  transparency and quality. Led by deeply experienced associates, data scientists, and innovators, Claritev provides tech-enabled solutions and services fueled by multiple data sources from over 40 years of claims repricing. Claritev utilizes world-class technology and AI solutions to power a robust enterprise platform that delivers meaningful insights to drive affordability in healthcare, brings price transparency and optimizes networks and benefits design.