Here’s Why Analysts Just Upgraded Agilon Health (AGL)

Insider Monkey
14 Jan

We recently compiled a list of the 10 Companies That Analysts Just Upgraded. In this article, we are going to take a look at where Agilon Health (NYSE:AGL) stands against the other companies that just upgraded.

The last week was full of negativity as the S&P went down nearly 3.5%. Matters were made worse by raging wildfires in Los Angeles, which have shocked people across the country. Amidst all this, there were a lot of positive developments as analysts continued to point out companies poised for a great performance in 2025.

Artificial Intelligence stocks continue to dominate coverage despite the fear of a slowdown in spending. With agentic AI the new hype, many companies are only just entering their AI journey, so investors still have a lot of undervalued plays that are worth looking at.

To come up with the list of 10 companies that analysts just upgraded, we only considered companies with a market cap of at least $1 billion.

A doctor in scrubs interacting with a Medicare Advantage member in her home.

Agilon Health (NYSE:AGL)

Agilon Health (NYSE:AGL) stock has lost 70% value in a year. The company’s volatility and lack of fundamental health have driven investors away. However, things are looking brighter for the company in 2025 as it receives its first analyst upgrade. Citi upgraded the stock to Neutral from Sell and added it to its stocks list for the Health Tech and Distribution space.

Interestingly enough, the upgrade comes not because of positive developments but because the negatives associated with the stock seem to be diminishing. There is reason to believe that the stock might have bottomed out, prompting the upgrade from the analysts.

Moreover, the Trump administration is likely to bring in favorable policies under the new leadership at the Centers for Medicare & Medicaid Services. Citi had previously downgraded the stock to Sell in October, around the same time the stock received a downgrade from Bank of America analyst Adam Ron.  If the stock can overcome the October price levels, there could be a significant rally on the back of this renewed optimism.

Overall AGL ranks 4th on our list of the companies that just upgraded by analysts. While we acknowledge the potential of AGL as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as AGL but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

 

READ NEXT: $30 Trillion Opportunity: 15 Best Humanoid Robot Stocks to Buy According to Morgan Stanley and Jim Cramer Says NVIDIA ‘Has Become A Wasteland’.

 

Disclosure: None. This article was originally published at Insider Monkey.

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