The shares of healthcare giants
Centene Corp (NYSE:CNC) and
Molina Healthcare Inc (NYSE:MOH) are surging today, after Warren Buffett's Berkshire Hathaway (BRK.A)
revealed a new stake in sector peer UnitedHealth Group (UNH).
CNC is up 4.4% to trade at $28.11 at last glance, on track for its third gain in the last four sessions. The shares found a floor at the $24 level in late July, after the company's pulled outlook for 2025 sparked their worst day on record and a subsequent string of losses. The stock yesterday edged back above the 20-day moving average for the first time since that tumble, but still carries a 53.5% year-to-date deficit.
MOH was last seen up 3.4% to trade at $165.03, bouncing off the $150 region after also being caught in a post-earnings downtrend following its worst day since June 2012. The equity shed over 52% in the last 12 months, but is also set to conquer its own 20-day trendline, should today's gains hold.
Despite their recent struggles, options traders lean bullish on both equities. CNC sports a Schaeffer's put/call open interest ratio (SOIR) that ranks in the 10th percentile of its annual range, while MOH's SOIR sits higher than only 19% of readings from the past 12 months.
