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

Clover Health Investments (NASDAQ:CLOV) announced its quarterly earnings results on Thursday. The company reported ($0.10) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.05) by ($0.05), Zacks reports. The business had revenue of $487.71 million for the quarter, compared to analyst estimates of $467.06 million. Clover Health Investments had a negative return on equity of 24.58% and a negative net margin of 4.45%.

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 Down 2.8%

Shares of CLOV traded down $0.06 during midday trading on Friday, reaching $2.09. 9,748,699 shares of the stock were exchanged, compared to its average volume of 5,573,564. The stock’s 50 day simple moving average is $2.34 and its 200 day simple moving average is $2.63. The company has a market cap of $1.08 billion, a P/E ratio of -12.29 and a beta of 2.09. Clover Health Investments has a twelve month low of $1.94 and a twelve month high of $4.05.

Trending Headlines about Clover Health Investments

Here are the key news stories impacting Clover Health Investments this week:

• Positive Sentiment: Company issued FY‑2026 revenue guidance of $2.8B–$2.9B vs. consensus ~$2.4B, signaling materially higher top‑line expectations for next year. Read More.
• Positive Sentiment: Q4 revenue jumped ~45% year‑over‑year and topped estimates, showing continued membership monetization and premium growth. Read More.
• Positive Sentiment: Management highlighted record membership, expects ~46% membership growth and reiterated a path to first full‑year GAAP profitability in 2026 — a key multi‑quarter catalyst if achieved. Read More.
• Neutral Sentiment: Company released the earnings press release, slide deck and full call transcript for investors to evaluate cohort and margin details. Read More.
• Neutral Sentiment: Short‑interest data reported is uninformative (zeros/NaN in the release), so it provides no clear signal about current bearish positioning.
• Negative Sentiment: Q4 EPS was a ($0.10) loss, missing the consensus of ($0.05), which pressured sentiment despite the revenue beat. Read More.
• Negative Sentiment: Profitability metrics remain negative (net margin and ROE); sell‑side still models a negative FY EPS, so market will watch whether raised revenue guidance converts to margin improvement. Read More.

Institutional Trading of Clover Health Investments

A number of institutional investors have recently bought and sold shares of CLOV. AQR Capital Management LLC acquired a new position in shares of Clover Health Investments during the 1st quarter worth approximately $49,000. Integrated Wealth Concepts LLC bought a new stake in shares of Clover Health Investments in the first quarter valued at approximately $37,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its position in Clover Health Investments by 3.0% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 855,264 shares of the company’s stock worth $3,070,000 after buying an additional 24,807 shares in the last quarter. Envestnet Asset Management Inc. acquired a new stake in Clover Health Investments during the second quarter worth approximately $31,000. Finally, JPMorgan Chase & Co. increased its stake in Clover Health Investments by 41.6% during the 2nd quarter. JPMorgan Chase & Co. now owns 633,700 shares of the company’s stock worth $1,768,000 after acquiring an additional 186,047 shares during the period. Institutional investors own 19.77% of the company’s stock.

Analyst Upgrades and Downgrades

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

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.