Why Evolent Health Shares Are Tanking Today
Shares of Evolent Health (NYSE: EVH) were tanking by 37.3% as of 11:33 a.m. EST on Wednesday. The huge drop came after the company announced that its partner, Passport Health Plan, wasn't awarded a managed Medicaid contract in Kentucky.
The steep drop in Evolent Health's share price today stems from the fact that Passport Health Plan is more than just a partner to the company. Evolent Health announced in May that it's acquiring a majority stake in Passport Health Plan, paying $70 million for a 70% interest in the Medicaid managed-care company.
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Source Fool.com
