Molina Healthcare, Inc. (NYSE: MOH)

Molina Healthcare Inc provides managed healthcare services under Medicaid Medicare and state insurance marketplaces. The company was founded in 1980 as a provider organization serving low income families in Southern California and reincorporated in Delaware in 2002. As of December 31 2025 Molina Healthcare Inc served approximately 5.5 million members across 21 states. The firm is listed as a FORTUNE 500 company and its mission is to improve the health and lives of its members by delivering high quality health care. Its vision is to be recognized as the low cost most effective and reliable health plan delivering government sponsored care.

The company generates revenue primarily from premium payments received for managing care for members in government sponsored programs. Premiums are paid on a per member per month basis and reflect the agreed rate for each line of business and risk profile. In addition to premium revenue the firm earns modest amounts from administrative services and investment income. In 2025 premium revenue totaled 43,052 million dollars and total revenue reached 45,426 million dollars. The Medicaid Medicare Marketplace and Other segments together account for essentially all of the company's income.

The company operates through the following segments Medicaid Medicare Marketplace and Other. Each segment corresponds to a distinct government sponsored program or related activity and has its own revenue and membership base. The segments are reported separately to provide clarity on the drivers of performance.

• The Medicaid segment provides managed care services to low income individuals and families through programs such as TANF ABD CHIP Medicaid Expansion and LTSS. It contracts with state agencies to deliver comprehensive benefits including physician visits hospital care pharmacy and long term supports. In 2025 the segment generated premium revenue of 32,240 million dollars representing about 75 percent of consolidated premium revenue. The segment served approximately 4,568,000 members as of December 31 2025.

• The Medicare segment offers Medicare Advantage plans Dual Eligible Special Needs Plans and other Medicare products to seniors and disabled individuals. It includes offerings such as MAPD D SNP HIDE FIDE CO D SNP C SNP and MMP plans that coordinate care and provide supplemental benefits. In 2025 the segment generated premium revenue of 6,235 million dollars and served approximately 262,000 members. The segment emphasizes care coordination for dual eligible beneficiaries and aims to improve outcomes while managing costs.

• The Marketplace segment offers Affordable Care Act compliant health plans through state and federal exchanges. Plans are organized by metal tiers including Bronze Silver Gold and Platinum and are designed to limit out of pocket expenses for enrollees. In 2025 the segment generated premium revenue of 4,487 million dollars and served about 655,000 members. The segment operates in many states where the firm also provides Medicaid coverage allowing members to maintain provider relationships when moving between programs.

• The Other segment includes long term services and supports consultative services in Wisconsin and the commercial portion of the ConnectiCare acquisition. It also holds minor investments in health care related ventures that are not core to the firm's strategy. In 2025 the segment generated premium revenue of 90 million dollars and is described as insignificant to consolidated results. The segment's activities are limited in scope and do not materially affect overall financial performance.

Molina Healthcare Inc holds a strong position as a pure play provider of government sponsored health plans competing with larger diversified managed care organizations such as Centene Corporation CVS Health Corporation and Elevance Health Inc. The company's focus on Medicaid Medicare and Marketplace allows it to develop deep expertise in programs that serve low income and vulnerable populations. Its advantages include a strong record of winning state procurement bids and a broad and deep provider network and consistent investment in quality improvement initiatives. The firm maintains numerous NCQA accreditations across its Medicaid and Marketplace plans and seeks to achieve high Medicare Star Ratings to qualify for bonus payments. Molina Healthcare Inc invests in artificial intelligence and data analytics to improve claims processing utilization management and member engagement. These capabilities help the company operate with low administrative expenses and maintain competitive margins in a highly regulated environment.

The company serves Medicaid eligible low income individuals Medicare eligible seniors and disabled persons and consumers purchasing coverage through state and federal insurance marketplaces. Its Medicaid members include families children pregnant women elderly disabled individuals and those receiving long term supports. Medicare members consist of seniors aged sixty five and older as well as younger disabled individuals who qualify for Medicare benefits. Marketplace enrollees are primarily low income individuals who receive premium tax credits to make coverage affordable. Specific state customers include California New York Texas Washington and Wisconsin where the firm holds significant contracts. The ConnectiCare acquisition added approximately 140,000 members in Connecticut across Marketplace Medicare and commercial lines. Additionally the firm provides services to federal agencies such as the Centers for Medicare and Medicaid Services which administers the premium payments and regulatory oversight.