Oscar Health Raises Outlook But Warns CMS Membership Churn Will Pick Up

Oscar Health Inc. (NYSE: OSCR ) stock fell nearly 10% on Thursday despite the health insurer reporting second-quarter revenue and earnings that topped Wall Street expectations and reaffirming its full-year revenue outlook. The selloff appeared to reflect investor caution over second-half Affordable Care Act marketplace uncertainty, including higher-than-expected CMS-related membership churn. Second-Quarter Results Beat Estimates Oscar Health reported second-quarter revenue of approximately $4.88 billion, up from $2.86 billion a year earlier and above the analyst consensus estimate of $4.75 billion. The increase was driven by higher membership and premium rate increases, partially offset by a higher net risk adjustment transfer accrual. Earnings came in at $1.10 per share, beating the analyst consensus estimate of 49 cents. The medical loss ratio was 79.2% compared to 91.1% a year ago,...