MCO's - 2027 Medicare Advantage Stars Deep Dive

Research evidence excerpt

MCO's - 2027 Medicare Advantage Stars Deep Dive

Healthcare Facilities & Managed Care

Managed Care - Market Overweight

MANAGED CARE June 5, 2026

The Wolfe Byte

MCO investor focus likely shifts to Oct. release of 2027 Stars going into Q2. This

report utilizes our proprietary Raw Stars est. to illustrate Star positioning for Justin Lake, CFA

MCOs by contract. Similar to 2026 UNH has most uncertainty - see slides for detail jlake@wolferesearch.com

& pg. 2 for comments by co. (646) 582-9280 View Justin’s Research

View Comp Table

●We Expect MCO Investor Focus to Shift to 2027 Stars Post Q2 Results – Dillon Nissan

With MCOs rallying on combination of disciplined pricing and green shoots of dnissan@wolferesearch.com(646) 582-9281

potential cost trend moderation, we expect focus to shift to Med Adv Stars post

Q2 reports. While Star performance is notoriously difficult to project, we dig in Benbtenner@wolferesearch.comTenner

here to illustrate current Star positioning by plan/contract going into 2027 via (646) 582-9289

our proprietary raw Stars analysis allowing investors an understanding of risk

profile by plan across the MA space. We do this via three separate analyses

that taken together we believe are helpful in understanding Star positioning

going into 2027 at the individual contract and plan level. From a company

perspective UNH appears to be the most at risk and thus with the most work

to do in order to offset as, similar to last year the co. faces pressure to Star

Ratings from structural changes – importantly last year the co. was able to

offset this pressure and retain strong Star Ratings via improved underlying core

performance. See attached slides for detail and we will host a webcast this

morning at 10am ET to discuss Stars, our recent work on HUM and early NFP