Clover: Stop And Think

Bashar Issa profile picture
Bashar Issa


  • Clover Health Investments, Corp. management failed to reach critical profitability milestones, casting a shadow over the feasibility of its business model.
  • Even if Clover Health management achieves its restructuring goals for the DCO segment, it is still far from profitability.
  • Although well-established players in the MCO market trade at higher multiples, they offer a better risk/reward profile than Clover Health Investments, Corp.

Gambling chips and stop sign on the table

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Investment Thesis

Clover Health Investments, Corp. (NASDAQ:CLOV) has been quite a disappointment in 2022, failing to reach the critical profitability milestones necessary to verify its business model. The reasons for its ticker's mediocre performance extend

Data by YCharts

CLOV Revenue Forecast

Revenue figures in Thousands. * Author's Estimates. (Company Filings)

Medical Cost Ratio

Medical Cost Ratio (Author's Estimates)

This article was written by

Bashar Issa profile picture
Bashar is a contributing writer at Seeking Alpha, focusing on Long/Short investment ideas, with a geographic focus in North America. Before that, Bashar worked at an Investment Fund in the United Kingdom. He has a Master's degree in Finance from the Queen Mary University of London and a Bachelor's degree in Economics from Middlesex University.

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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