📊 MOH Key Takeaways
Is Molina Healthcare, Inc.. (MOH) a Good Investment?
Molina Healthcare faces severe profitability deterioration with net income declining 60% YoY despite 11.7% revenue growth, resulting in near-zero net margins (0.1%) and microscopic ROE/ROA (0.3%/0.1%). While strong operating cash flow ($1.1B) and solid balance sheet provide financial stability, the dramatic margin compression suggests fundamental operational or competitive challenges eroding shareholder value.
Revenue growth is solid, and the balance sheet/liquidity profile is strong with ample cash, moderate leverage, and high interest coverage. However, profitability has deteriorated sharply with significant EPS and net income declines and thin margins, alongside negative operating and free cash flow. Await clearer margin stabilization and improved cash conversion before a more constructive stance.
Why Buy Molina Healthcare, Inc.. Stock? MOH Key Strengths
- Strong revenue growth of 11.7% YoY demonstrates continued market demand for healthcare services
- Excellent cash generation with $1.1B operating cash flow and 9.8% FCF margin, providing financial flexibility
- Solid balance sheet with manageable leverage (0.92x D/E), adequate liquidity (1.63x current ratio), and $5.3B cash position
- Double-digit revenue growth (+11.7% YoY)
- Strong liquidity and moderate leverage (cash ≈ long-term debt, 1.69x current ratio)
- High interest coverage (28.9x) and decent ROE (11.6%)
MOH Stock Risks: Molina Healthcare, Inc.. Investment Risks
- Severe profitability collapse with net income down 60% YoY and net margin of 0.1%, indicating structural margin compression
- Microscopic returns on equity (0.3%) and assets (0.1%) signal capital is generating inadequate returns for shareholders
- Large disconnect between strong FCF and minimal net income suggests underlying operational issues, reserve builds, or adverse non-operating items requiring investigation
- Margin compression driving net income down 60% YoY
- Negative operating and free cash flow indicating weak cash conversion
- Exposure to reimbursement and regulatory changes impacting medical costs
Key Metrics to Watch
- Net margin trajectory and operating expense growth rates - determine if 60% decline is temporary or permanent structural shift
- Medical loss ratios and premium trends - critical profitability drivers for healthcare insurers
- Operating cash flow sustainability and working capital movements - ensure cash generation persists independent of accounting reserves
- Medical loss ratio (MLR)
- Operating cash flow
Molina Healthcare, Inc.. (MOH) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Molina Healthcare, Inc.. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
MOH Profit Margin, ROE & Profitability Analysis
MOH vs Healthcare Sector: How Molina Healthcare, Inc.. Compares
How Molina Healthcare, Inc.. compares to Healthcare sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Molina Healthcare, Inc.. Stock Overvalued? MOH Valuation Analysis 2026
Based on fundamental analysis, Molina Healthcare, Inc.. shows some fundamental concerns relative to the Healthcare sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Molina Healthcare, Inc.. Balance Sheet: MOH Debt, Cash & Liquidity
MOH Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Molina Healthcare, Inc..'s revenue has grown significantly by 64% over the 5-year period, indicating strong business expansion. The most recent EPS of $18.77 reflects profitable operations.
MOH Revenue Growth, EPS Growth & YoY Performance
MOH Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $10.8B | $14.0M | $0.27 |
| Q3 2025 | $10.3B | $79.0M | $1.51 |
| Q2 2025 | $9.9B | $255.0M | $4.75 |
| Q1 2025 | $9.9B | $298.0M | $5.17 |
| Q3 2024 | $8.5B | $245.0M | $4.21 |
| Q2 2024 | $8.3B | $301.0M | $5.17 |
| Q1 2024 | $8.1B | $301.0M | $5.17 |
| Q3 2023 | $7.9B | $230.0M | $3.95 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Molina Healthcare, Inc.. Dividends, Buybacks & Capital Allocation
MOH SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Molina Healthcare, Inc.. (CIK: 0001179929)
📋 Recent SEC Filings
❓ Frequently Asked Questions about MOH
What is the AI rating for MOH?
Molina Healthcare, Inc.. (MOH) has a Combined AI Rating of SELL from Claude (SELL) and ChatGPT (HOLD) with 64% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are MOH's key strengths?
Claude: Strong revenue growth of 11.7% YoY demonstrates continued market demand for healthcare services. Excellent cash generation with $1.1B operating cash flow and 9.8% FCF margin, providing financial flexibility. ChatGPT: Double-digit revenue growth (+11.7% YoY). Strong liquidity and moderate leverage (cash ≈ long-term debt, 1.69x current ratio).
What are the risks of investing in MOH?
Claude: Severe profitability collapse with net income down 60% YoY and net margin of 0.1%, indicating structural margin compression. Microscopic returns on equity (0.3%) and assets (0.1%) signal capital is generating inadequate returns for shareholders. ChatGPT: Margin compression driving net income down 60% YoY. Negative operating and free cash flow indicating weak cash conversion.
What is MOH's revenue and growth?
Molina Healthcare, Inc.. reported revenue of $10.8B.
Does MOH pay dividends?
Molina Healthcare, Inc.. does not currently pay dividends.
Where can I find MOH SEC filings?
Official SEC filings for Molina Healthcare, Inc.. (CIK: 0001179929) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is MOH's EPS?
Molina Healthcare, Inc.. has a diluted EPS of $0.27.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is MOH a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Molina Healthcare, Inc.. has a SELL rating with 64% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is MOH stock overvalued or undervalued?
Valuation metrics for MOH: ROE of 0.3% (sector avg: 15%), net margin of 0.1% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy MOH stock in 2026?
Our dual AI analysis gives Molina Healthcare, Inc.. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is MOH's free cash flow?
Molina Healthcare, Inc..'s operating cash flow is $1.1B, with capital expenditures of $27.0M. FCF margin is 9.8%.
How does MOH compare to other Healthcare stocks?
Vs Healthcare sector averages: Net margin 0.1% (avg: 12%), ROE 0.3% (avg: 15%), current ratio 1.63 (avg: 2).