Oscar Health operates as a public health insurer with a tech-focused platform built around individual and small group plans.
The company has been expanding its member base while narrowing losses and gaining attention from both investors and analysts.
This article covers Oscar Health’s recent stock performance and Q1 2025 earnings results.
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Latest News: Oscar Health Stock Falls 10.5% After Analyst Downgrades and Policy Risk Concerns
Oscar Health stock dropped 10.51% in pre-market trading on Wednesday, July 2, 2025, after analysts flagged new risks to its growth and profit targets.
Barclays started coverage with an Underweight rating, citing policy changes that could limit margins and slow expansion.
$OSCR | 𝐎𝐬𝐜𝐚𝐫 𝐇𝐞𝐚𝐥𝐭𝐡 (OSCR): Barclays initiates 𝐔𝐧𝐝𝐞𝐫𝐰𝐞𝐢𝐠𝐡𝐭 𝐰𝐢𝐭𝐡 𝐏𝐓 $𝟏𝟕
Analyst sees 𝐩𝐨𝐥𝐢𝐜𝐲 𝐫𝐢𝐬𝐤𝐬, 𝐦𝐚𝐫𝐠𝐢𝐧 𝐩𝐫𝐞𝐬𝐬𝐮𝐫𝐞, and 𝐚𝐬𝐲𝐦𝐦𝐞𝐭𝐫𝐢𝐜 𝐝𝐨𝐰𝐧𝐬𝐢𝐝𝐞 vs. consensus optimism, despite June rally on speculative… pic.twitter.com/bEtTVwHY4W
— Hardik Shah (@AIStockSavvy) July 2, 2025
Then, Raymond James followed with a downgrade from Outperform to Market Perform, reinforcing the pullback.
A broader weakness in the healthcare sector added pressure. Centene’s sharp decline also fueled investor concerns, especially around insurers facing regulatory shifts or cost volatility.
Regardless, Oscar’s leadership remains optimistic, with the new CEO projecting earnings of $2.25 per share or higher by 2027.
However, current analyst sentiment and policy headwinds indicate a more cautious near-term view.
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Oscar Health Posts Strong Q1 2025 Results; Full-Year Outlook Reaffirmed
Oscar Health released its Q1 2025 earnings on May 7, reporting $3.0 billion in revenue, a 42% increase from the same quarter last year. This growth was primarily driven by higher membership.
“Today Oscar reported strong first quarter results. Our positive results were driven by continued top-line growth, bottom line performance, and year-over-year improvements across nearly all core metrics,” CEO Mark Bertolini told analysts today.
Read highlights from full first…
— Oscar (@OscarHealth) May 7, 2025
Meanwhile, operating earnings rose to $297.1 million from $185.6 million year-over-year, reflecting improved cost controls and membership gains.
Net income reached $275.3 million, or $0.92 per diluted share, up from $177.4 million and $0.62, respectively, in Q1 2024.
Additionally, the company reported a medical loss ratio of 75.4%, slightly above last year’s 74.2%, impacted by $31 million in prior period development.
Its SG&A expense ratio fell to 15.8% from 18.4%, due to better fixed cost leverage and lower exchange fees.
Adjusted EBITDA was at $328.8 million, up from $219.3 million.
Oscar Health also reaffirmed its full-year 2025 guidance across all metrics.
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Conclusion
Oscar Health has posted solid financial gains and maintained its full-year forecast, which points to progress in its current strategy.
Still, analyst downgrades and policy risks could affect how the stock performs over the next few quarters.
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