Astrana Health: Market Overreaction to CMS Risk-Adjustment Proposal Creates a Buy Opportunity

William Blair analyst Ryan Daniels maintains a Buy rating on Astrana Health (ASTH) stock, citing an excessive market reaction to the CMS 2027 Advance Notice for Medicare Advantage. He believes the recent stock pullback is disproportionate compared to peers and presents a buying opportunity for long-term investors. Daniels argues that Astrana's business model, which focuses on in-person patient interactions, will be minimally affected by the proposed risk-adjustment changes. He views the sell-off as misaligned with the company's fundamentals, reinforcing his bullish outlook.