Elevance Health Inc (NYSE:ELV) (previously known as Anthem) remains one of the leading health insurers in the U.S., providing medical benefits to roughly 45 million medical members. The company is also the largest single provider of Blue Cross Blue Shield branded coverage, operating as the licensee for the Blue Cross Blue Shield Association in 14 states, as of 2021.
According to BofA analysts, COVID spikes have led to lower core utilization costs for managed care organizations as the industry tries to return prices to normalizing trends. Fortunately, this can position firms such as Elevance for a multi-year tailwind of outperformance as it takes costs longer to normalize.
