Elevance Health forecasts 2026 earnings dip but prioritizes cost control and shareholder returns

Elevance Health has outlined its financial and operational plans for 2026. The company expects a slight drop in revenue but remains focused on improving healthcare outcomes while managing costs. Key targets include share repurchases, earnings per share, and specific margin goals.

The company's 2026 guidance projects adjusted diluted earnings per share (EPS) of at least $25.50. Operating revenue is forecast to decline by a low single-digit percentage. Despite this, Elevance Health aims for an enterprise margin of 5% to 6%.

Medicare Advantage membership is set to fall by a high teens percentage next year. Meanwhile, the Medicaid operating margin is expected to sit at around negative 1.75%. The company plans to spend roughly $2.3 billion on share repurchases in 2026, though no specific custodian or manager has been publicly named for these transactions as of January 28, 2026.

Elevance Health is also adopting a more cautious approach to mergers and acquisitions in 2026. The central focus remains on enhancing healthcare accessibility, outcomes, and affordability for its members.

The company's 2026 strategy balances cost management with targeted investments. Share repurchases and margin goals reflect a disciplined financial approach. Meanwhile, membership declines in key areas will shape operational priorities for the year ahead.