GoHealth, Inc. (GOCO) Market Cap
GoHealth, Inc. has a market capitalization of $36.1M.
Financials based on reported quarter end 2025-12-31
Price: $1.25
▲ 0.02 (1.63%)
Market Cap: 36.06M
NASDAQ · time unavailable
CEO: Vijay Kumar Kotte
Sector: Financial Services
Industry: Insurance - Brokers
IPO Date: 2020-07-15
Website: https://www.gohealth.com
GoHealth, Inc. (GOCO) - Company Information
Market Cap: 36.06M · Sector: Financial Services
GoHealth, Inc. operates as a health insurance marketplace and Medicare focused digital health company in the United States. It operates through four segments: Medicare—Internal; Medicare—External; Individual and Family Plans (IFP) and Other—Internal; and IFP and Other—External. The company operates a technology platform that leverages machine-learning algorithms of insurance behavioral data to optimize the process for helping individuals find the health insurance plan for their specific needs. Its products include Medicare Advantage, Medicare Supplement, Medicare prescription drug plans, and Medicare Special Needs Plans; and IFP, dental plans, vision plans, and other ancillary plans to individuals. The company sells its products through carriers and online platform, as well as independent and external agencies. GoHealth, Inc. was founded in 2001 and is headquartered in Chicago, Illinois with additional offices in Charlotte, North Carolina, Lindon, Utah, Bratislava, Slovakia, and Kosice, Slovakia.
Analyst Sentiment
Based on 10 ratings
Analyst 1Y Forecast: $8.50
Average target (based on 2 sources)
Consensus Price Target
Low
$5
Median
$5
High
$5
Average
$5
Potential Upside: 300.0%
Price & Moving Averages
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Fundamentals Overview
📊 AI Financial Analysis
Powered by StockMarketInfo"GoCo reported revenue of $12.64M for the quarter ended 2025-12-31, with net income of -$32.60M and EPS of -$1.03. Net margin was deeply negative (approximately -258%), indicating significant profitability pressure. Free cash flow was also negative at -$39.07M, driven by negative operating cash flow of -$39.07M; capital expenditure was reported as $0 and dividends paid were $0. On the balance sheet, GoCo had $987.38M of total assets versus $949.51M of total liabilities, leaving negative equity of -$62.21M. Despite the negative equity position, net debt was modest at ~$2.95M, suggesting limited interest-bearing leverage on a net basis; however, the liabilities level relative to assets highlights balance sheet fragility. Shareholder returns have been weak: the stock fell to $1.33, down -89.27% over 1 year (and -72.12% over 6 months). With no dividends and no buyback data provided, total shareholder value creation has primarily been driven by capital depreciation rather than cash returns. Analyst valuation expectations are also constrained, with a flat $5 consensus price target (high/low/median all $5), which contrasts sharply with the current share price."
Revenue Growth
Only a single-quarter revenue figure ($12.64M) is provided with no YoY/ QoQ comparison, limiting visibility into growth trends. Revenue scale is modest, and recent profitability/cash flow deterioration suggests growth has not translated into earnings power.
Profitability
Net income was -$32.60M and EPS was -$1.03, implying a severely negative net margin (~-258%). This indicates substantial operating losses and weak cost/benefit realization.
Cash Flow Quality
Free cash flow was -$39.07M, equal to operating cash flow, with $0 capex and no dividends. The cash burn indicates limited internal funding capacity in the most recent period.
Leverage & Balance Sheet
Total equity is negative (-$62.21M) with liabilities of $949.51M against assets of $987.38M, reflecting balance sheet stress. Net debt is low (~$2.95M), but negative equity increases financial resilience risk.
Shareholder Returns
Total shareholder returns appear strongly negative due to severe share price declines (down -89.27% 1-year). No dividend payments are reported and no buyback information is provided.
Analyst Sentiment & Valuation
A $5 consensus price target is provided (with high/low/median at $5), but the current price is $1.33. Without valuation ratios (P/E, FCF yield, ROE) and market cap, upside/downside assessment is limited; sentiment signals are mixed with ongoing operating and cash losses.
Disclaimer:This analysis is AI-generated for informational purposes only. Accuracy is not guaranteed and this does not constitute financial advice.
Management (Vijay) frames Q3 as a disciplined, early pullback from Medicare Advantage volume in response to carriers prioritizing retention and unit economics. They repeatedly argue the MA slow/contracting trajectory is not “irrational” and cite concrete carrier behaviors: tighter commissions, noncommissionable/suppressed preferred products, elimination of low-margin plans, and midstream changes through OEP/SEP. The business pivot to GoHealthProtect is positioned as an offsetting retention engine given Medicare seasonality. Analyst pressure focused on (1) how long the 12–24 month trough lasts and (2) cash and re-ramp feasibility. The hard numbers provided were liquidity: ~$32M cash at end of Q3 and ~$40M of new money under a super-priority facility with multiple draw triggers. The subtext in Q&A is that re-entry depends on predictable carrier economics/STAR stabilization; if wrong, the downside could be stranded upfront cash without year-one cash-on-cash returns.
Growth Catalysts
- GoHealthProtect growth supporting retention during MA seasonality (Guaranteed Acceptance peaks/valleys offset versus MA)
- Continued leadership in Medicare Advantage Special Needs Plans (SN P) as carriers reallocate toward SN P options
- AI/automation investment to improve agent effectiveness and member retention while overhead reduced
Business Development
- Carrier partners supporting GoHealthProtect (no specific carrier names provided in the transcript)
Financial Highlights
- Cash balance: approximately $32 million at end of Q3 (per management filing reference)
- Super-priority term loan: $40 million of new money with multiple draw opportunities during Q3 (triggered by time/date)
- No EPS/revenue beats/misses or bps margin changes were provided in the supplied transcript excerpt
Capital Funding
- Super-priority lender facility: $40 million new capital available to draw (multiple opportunities/trigger points in Q3)
- Management emphasis on liquidity planning to maintain covenant compliance and preserve optionality through re-ramp capability
Strategy & Ops
- Intentionally scaled back Medicare Advantage (MA) new enrollment earlier in the year due to tightening plan economics: retention/stable member profiles prioritized over expansion
- Shifted capacity into GoHealthProtect during SEP; targeted retention rather than unit-economics-negative incremental MA volume
- Retention mechanics: stopped the “queue” to prevent agents from being distracted by new-sale leads; focused follow-ups for existing/back-book consumers
- Compensation model adjustments tied to retention/quality metrics (Plan Fit Save model referenced and “doubled down”)
- Automation/technology standardization to shorten agent ramp time: referenced improvement from up to 16 weeks to materially faster onboarding; TeleQuote team brought on within ~2 weeks and doubled production
Market Outlook
- 12–24 month view: management expects health plans to stabilize cost structures, double down on STAR scores, and obtain appropriate federal rate adjustments; then re-align with GoHealth’s historically aligned MA needs
- AEP/OEP/SEP pacing: in the current AEP, more MA during the peak closing portion; then return focus to Guaranteed Acceptance/GoHealthProtect post-peak; oscillate across OEP and beyond
- Ongoing uncertainty watch: management expects possible suppression/commission changes midstream through OEP and into SEP for 2026 plan year offerings
Risks & Headwinds
- Carrier actions compress economics: reduced prefunded marketing, reduced/tightened broker compensation, and some consumer-preferred plans made noncommissionable or suppressed
- Health plan scaling/termination of low-margin plans and consolidation effects reduce addressable MA volume
- Revenue LTV/cash-flow risk: management reiterated that year-one renewal assumptions are critical; disruption increases uncertainty around first-renewal cash-on-cash returns
- MA market profitability and STAR score headwinds: outsize growth winners can face profitability challenges that translate into STAR onboarding/medical cost issues (noted as a lesson across major plans 2021–2022)
- Re-ramp risk mitigation: ramp has historically been a cash-burn driver; mitigated via standardized AI/automation/training to re-ramp faster when line of sight returns
Sentiment: CAUTIOUS
Note: This summary was synthesized by AI from the GOCO Q3 2025 earnings transcript. Financial data is complex; please verify all metrics against official SEC filings before making investment decisions.