Centene Corp (CNC) is slightly undervalued and Elevance Health Inc (ELV) is undervalued.
Against our estimates of intrinsic value, ELV trades at the wider discount: a margin of safety of +33%, against +20% for CNC.
Values as of the 22 Sept 2026 close.
Its through-the-cycle earnings (2.2% median margin), capitalised at 8.5% with no growth, values the shares at $78.72; the price of $63.30 is 20% below that value.
Leak Score 34/100 on 8 of 12 signals
Discounting its cash flows at 8.0% (average of 3 methods) values the shares at $602.54; the price of $402.43 is 33% below that value, and 80% of that value comes from beyond year five.
Leak Score 61/100 on 10 of 12 signals
| Metric | CNC | ELV |
|---|---|---|
| Verdict | Slightly undervalued | Undervalued |
| Price | $63.30 | $402.43 |
| Intrinsic value | $78.72 | $602.54 |
| Margin of safety | +20% | +33% |
| Leak Score | 34/100 (8/12) | 61/100 (10/12) |
| Market cap | $31.3B | $87.3B |
| Revenue growth, 5 years | 11.9% | 10.3% |
| Operating margin | 0.8% | 3.6% |
| Net margin | -2.5% | 2.5% |
| Return on equity | -20.4% | 11.2% |
| Debt to equity | 0.71 | 0.69 |
| P/E | — | 17.9x |
| Forward P/E | 11.9x | 13.6x |
| P/B | 1.4x | 1.9x |
| Dividend yield | — | 1.7% |