Overview

• US health insurer's Q1 revenue rose 52% yr/yr but missed analyst expectations

• Adjusted EBITDA beat analyst expectations, reflecting strong operating performance

• Company reaffirmed full-year 2026 guidance and expects margin expansion

Outlook

• Oscar Health reaffirms full-year 2026 guidance across all metrics

• Company says individual market remains resilient and workforce is shifting toward consumer-driven health

Result Drivers

• HIGHER MEMBERSHIP AND RATE INCREASES - Revenue growth was driven by increased membership and rate hikes, partially offset by higher net risk adjustment transfer accrual

• IMPROVED MEDICAL LOSS RATIO - Lower MLR resulted from disciplined pricing, claims and risk adjustment seasonality, and favorable prior period reserve development

• FIXED COST LEVERAGE - SG&A expense ratio declined due to greater fixed cost leverage and disciplined cost management

Company press release: ID:nBw2kdDhPa

Key Details

Metric	Beat/Miss	Actual	Consensus Estimate
Q1 Revenue	Miss	$4.65 bln	$4.92 bln (10 Analysts)
Q1 EPS		$2.07
Q1 Net Income		$679 mln
Q1 Adjusted EBITDA	Beat	$727.07 mln	$434.53 mln (10 Analysts)
Q1 Operating Expenses		$3.94 bln

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 7 "hold" and 2 "sell" or "strong sell"

• The average consensus recommendation for the life & health insurance peer group is "buy."

• Wall Street's median 12-month price target for Oscar Health Inc is $17.00, about 5.2% below its May 5 closing price of $17.94

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