Evolent Health price target lowered to $47 from $50 at Guggenheim

Guggenheim lowered the firm’s price target on Evolent Health to $47 from $50 and keeps a Buy rating on the shares. The firm, which updated its model to include a waterfall that demonstrates the conversion of Specialty Tech & Services Lives to Performance Suite Lives over time, says its forecasts support the company’s long-term targets of 15%-plus revenue growth and 20% EBITDA growth through 2028 “without any heroic assumptions.” Despite lowering its target to assume a more conservative free cash flow conversion rate over the next 10 years, the firm says Evolent remains a “Best Idea.”