Centene Corporation (CNC) Rallied Following the Robust Result

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Soumya Eswaran

Tue, July 14, 2026 astatine 8:32 AM CDT 3 min read

Harris Oakmark precocious released its second-quarter 2026 capitalist missive for the "Oakmark Select Fund". A transcript of the missive tin beryllium downloaded here. Oakmark Select Fund is simply a non-diversified money that aims to present superior appreciation by investing successful mid- and large-cap US companies. In the quarter, the Fund (investor class) trailed the S&P 500 Index, returning 9.39% vs. 15.20 % for the index. At the assemblage level, wellness attraction and user staples contributed to performance, portion accusation exertion and vigor detracted. Investors continued to favour companies perceived to beryllium nonstop beneficiaries of AI spending successful a constrictive enactment environment. In this landscape, the steadfast remains focused connected owning undervalued companies alternatively than chasing the market's astir fashionable themes. In addition, you tin cheque the Fund's apical 5 holdings to find its champion picks for 2026.

In its Q2 2026 capitalist letter, Oakmark Select Fund highlighted Centene Corporation (NYSE:CNC) arsenic a starring show contributor. Centene Corporation (NYSE:CNC) is simply a US-based healthcare endeavor that offers services to underinsured and uninsured families and commercialized organizations. On July 13, 2026, Centene Corporation (NYSE:CNC) closed astatine $68.29 per share, reflecting a marketplace capitalization of $33.72 billion. Centene Corporation (NYSE:CNC) posted a one-month instrumentality of 11.24%, portion its shares gained 127.63% implicit the past 52 weeks.

Oakmark Select Fund stated the pursuing regarding Centene Corporation (NYSE:CNC) successful its Q2 2026 capitalist update:

"Centene Corporation (NYSE:CNC) was the apical contributor during the quarter. Shares of the U.S.-headquartered managed attraction institution rallied sharply aft it reported better-than-expected first-quarter results. Managed attraction manufacture profitability has been nether unit implicit the past 2 years amidst an unprecedented spike successful aesculapian outgo trend. However, determination are signs that the outgo inclination is present stabilizing oregon adjacent decelerating successful definite utilization categories. We expect easing aesculapian costs combined with improving reimbursement rates and Centene's ain disbursal initiatives to thrust a meaningful net betterment successful the coming years. Beyond this cyclical recovery, we judge Centene remains good positioned for maturation arsenic a person successful government-managed care."

Truist Lifts Centene (CNC) Target to $49, Maintains Buy Rating After Positive Management Meetings

Centene Corporation (NYSE:CNC) is not connected our database of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 72 hedge money portfolios held Centene Corporation (NYSE:CNC) astatine the extremity of the archetypal quarter, compared to 78 successful the erstwhile quarter. While we admit the imaginable of Centene Corporation (NYSE:CNC) arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

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