Deutsche Bank upgraded Elevance Health Inc. (NYSE:ELV) to Buy from Hold on Tuesday and raised its price target to $498 from $363. The stock currently trades at $402.27.
The firm increased its target multiple to 14.5 times its 2028 EPS estimate of $34.34. Deutsche Bank cited an increasingly stable managed care organization market as the reason for the multiple expansion.
The firm expects the company's 2026 financial targets to prove achievable. The analyst views Elevance as holding a leading position with actionable steps to mitigate risks.
Downside risks include lower-than-expected membership and potential low-margin performance in ACA and Medicaid segments.
In other recent news, Elevance reported strong Q1 2026 results, beating expectations. Bernstein, Mizuho, and Guggenheim also raised their price targets.
