- The stock price of GoHealth Inc (NASDAQ: GOCO) fell by over 16% during intraday trading today. This is why it happened.
The stock price of GoHealth Inc (NASDAQ: GOCO) fell by over 16% during intraday trading today. Investors are responding negatively to a bearish research report.
BofA analyst Michael Cherny downgraded GoHealth to an “Underperform” rating from a “Buy” rating. And the price target was reduced to $3.50 from $7.50. Cherny noted that the ongoing need for marketing costs and customer support is the key driver for further increase in expected customer acquisition costs and reduced profitability. And Cherny added that given the lack of visibility on when that trend reverses itself, it is difficult to remain constructive on GoHealth performance even after the sell-off last year.
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