Health Net awarded Medi-Cal dental contracts in California The California Department of Health Care Services has awarded Health Net of California, a subsidiary of Health Net, five-year contracts to continue providing Medi-Cal managed care dental benefits in Los Angeles and Sacramento counties. Health Net began providing services under the Sacramento contract on January 1 and is scheduled to begin providing services under the Los Angeles contract by July 1, subject to the parties agreeing to final terms and conditions.
Health Net downgraded to Sell from Buy at Citigroup Citigroup downgraded Health Net two notches to Sell from Buy citing the stock's 60% year-to-date rally and its belief that 2015 consensus estimates are too high. Citi thinks the company's dual enrollment in California is tracking well short of projections. It raised its price target for shares to $42 from $35.