Oscar Health Q4 revenue misses analyst expectations

Overview

• Healthcare technology firm's Q4 revenue missed analyst expectations

• Q4 adjusted EBITDA missed analyst expectations

• Company entered $475 mln revolving credit facility to enhance balance sheet

Outlook

• Oscar Health forecasts 2026 revenue between $18.7 bln and $19.0 bln

• Company expects 2026 medical loss ratio between 82.4% and 83.4%

• Oscar Health projects 2026 SG&A expense ratio of 15.8% to 16.3%

Result Drivers

• MEMBERSHIP GROWTH - Higher membership drove total revenue increase for full year 2025, despite rise in net risk adjustment transfer accrual

• HIGHER UTILIZATION - Medical loss ratio increased due to higher market morbidity and utilization not fully offset by risk adjustment

• COST MANAGEMENT - SG&A expense ratio decreased due to fixed cost leverage and cost management, despite higher risk adjustment impact

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 6 "hold" and 4 "sell" or "strong sell"

• The average consensus recommendation for the life & health insurance peer group is "buy."

• Wall Street's median 12-month price target for Oscar Health Inc is $17.00, about 34.3% above its February 9 closing price of $12.66

Press Release: ID:nBwb4hpM2a

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