Molina: 3 Key Takeaways for Long-Term Investors

Molina Healthcare reaffirmed its full-year 2026 adjusted earnings guidance of at least $5.25 per share on its Q3 earnings call. The company is seeing state Medicaid reimbursement rates align with elevated care costs, signaling a potential trough in margins and the beginning of a multiyear recovery cycle. Management expects $4 per share in embedded earnings from contract backlogs in 2027, including a $6 billion Florida specialized children's health program, with state work requirement implementations showing moderate member attrition.