Molina Healthcare(NYSE) MOH

Molina Healthcare, Inc. helps low-income people get health insurance. The company manages plans for doctor visits and hospital stays. It works with government agencies to provide essential medical care.

Health Plans for the Community

• Medicaid: Health coverage for families with limited income; generated $8.0 billion in premium revenue for the three months ended June 30, 2026.
• Medicare: Plans for seniors and individuals with disabilities; generated $1.6 billion in premium revenue for the three months ended June 30, 2026.
• Marketplace: Coverage sold through state insurance exchanges; generated $628 million in premium revenue for the three months ended June 30, 2026.

Strategy for Growing the Footprint

• Acquired ConnectiCare on Feb. 1, 2025, to expand its presence in the commercial and Medicare sectors.
• Secured a notice of intent for a new contract in Wisconsin for the Family Care program starting Jan. 1, 2027.
• Awarded a HealthChoice Illinois Medicaid contract in June 2026, which is expected to begin in 2027.
• Awarded the Florida Kids program contract in Nov. 2025 to serve approximately 120,000 members starting Oct. 1, 2026.
• Completed the transition of Medicare-Medicaid Plan members in five states to integrated dual-eligible plans on Jan. 1, 2026.

Strong Government Partnerships

Molina focuses on government-sponsored healthcare and manages insurance plans across 21 states as of June 30, 2026. The company manages medical costs by using a medical care ratio to track expenses against premium revenue.

Performance by the Numbers

• Premium revenue was $10.2 billion in the second quarter of 2026, down 6% year over year.
• Net income reached $60 million in the second quarter of 2026, down from $255 million year over year.
• Consolidated medical care ratio rose to 92.2% in the second quarter of 2026, up from 90.4% year over year.
• Membership fell 14% year over year to 4.9 million as of June 30, 2026.
• Working capital stood at $5.2 billion at June 30, 2026, compared with $5.1 billion at Dec. 31, 2025.

A New Strategic Direction

Molina is narrowing its focus toward integrated products for those who qualify for both Medicare and Medicaid while navigating membership contraction in its Medicaid and Marketplace segments. This evolution aims to stabilize margins as the company exits certain Medicare products to focus on its core strengths.