"Shares of Centene Corporation ( NYSE: CNC) have climbed 6.2% from their November 10 low of $34.25. Today, shares closed at $36.38. The move coincides with sustained bullish sentiment from retail traders on Reddit, particularly on r/wallstreetbets, where discussion activity spiked dramatically during the recent pullback in shares. Sentiment scores have held steady in the 65-72 range throughout the past month. With 50/100 being neutral, this puts Centene sentiment firmly in bullish territory."
"Why the retail enthusiasm? It's all rooted in a classic contrarian play. Wall Street analysts remain cautious, with 14 of 20 maintaining "Hold" ratings. But retail traders see opportunity in the valuation disconnect. The company trades at just 0.106 times sales and 0.849 times book value, metrics that suggest deep value territory despite current profitability challenges. November 10 marked a critical inflection point, when the stock dropped 8.8% on heavy volume of 17.7 million shares. That same day, Reddit activity reached its highest levels of the month, with posts on r/wallstreetbets garnering 563 upvotes and 115 comments in a single snapshot. The pattern is clear: retail traders bought the dip while institutions remained on the sidelines."
Centene shares increased 6.2% from the November 10 low of $34.25 to close at $36.38. Retail traders on r/wallstreetbets produced sustained bullish sentiment, with sentiment scores between 65 and 72 while 50/100 is neutral. Fourteen of 20 Wall Street analysts maintained Hold ratings. Centene trades at 0.106 times sales and 0.849 times book value, indicating significant valuation compression. On November 10 the stock fell 8.8% on 17.7 million shares as Reddit activity peaked, and retail buyers accumulated the dip while institutions largely stayed on the sidelines. Trailing revenue is $167.68 billion with a $17.74 billion market cap.
Read at 24/7 Wall St.
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