Why Clover Health Stock Tumbled Today
Shares of Clover Health Investments (NASDAQ: CLOV) ended 12.8% lower as of the market close on Tuesday. The drop came after the company announced its fourth-quarter results following the market close on Monday.
Clover Health reported Q4 revenue of $166.2 million, up 44% year over year but a little below the consensus Wall Street estimate. The company posted a net loss of $81.6 million.
Probably the most concerning thing to investors, though, was Clover Health's guidance for 2021. The company projects revenue between $820 million and $850 million. The midpoint of that range reflects year-over-year growth of around 24%, which is a lot lower than the 46% growth in 2020. The range is also below the 2021 revenue projection of $880 million in the company's investor presentation from October 2020.
Source Fool.com
