Clover Health Investments, Corp. (NASDAQ:CLOV) shares climbed 10% on Wednesday after the company reported a sharp increase in Medicare Advantage enrollment for the 2026 plan year.
The insurer said Medicare Advantage membership rose 53% year on year to roughly 153,000 members as of January 1, following a strong Annual Enrollment Period that was largely driven by growth in Clover’s core, established markets.
Clover also said it now expects to deliver its first full year of GAAP net income profitability in 2026, supported by improving cohort economics and greater operational efficiency. Plan benefits were kept broadly unchanged year over year, helping the company achieve AEP member retention of more than 95%.
More than 97% of Clover’s Medicare Advantage members as of January 1, 2026 are enrolled in its flagship PPO offering, which the company said is ranked as the #1 PPO plan nationally on key HEDIS quality measures for the second year running.
“This year’s AEP performance shows what happens when robust plan benefits, Clover Assistant-enabled clinical performance, and a deepening market presence in local communities come together,” said Jamie Reynoso, CEO of Medicare Advantage at Clover Health.
Looking ahead, the company pointed to several drivers underpinning its profitability outlook, including the financial benefit of earning a 4.0 Stars rating for its PPO plans in the 2026 payment year, favorable final CMS rate updates, higher Part D direct subsidies, and ongoing operating leverage as selling, general and administrative efficiency improves with scale.