Clover Health Investments (CLOV) Retreats Following Earnings: What Now?

SPAC mergers have resulted in generating significant value for investors over the past months and perhaps it is also time to take a look at how the stocks are doing after the new entities reported their earnings.

This brings us to the subject of Clover Health Investments Corp  (NASDAQ: CLOV), which had gone public through a SPAC merger and reported its fourth-quarter earnings yesterday. The earnings actually proved to be bad for the stock after it fell by as low as 3.50% in after-hours following the announcement of the financial results.

The company posted revenues of as much as $166.2 million, which reflected a year-on-year rise of as much as 44%. On the other hand, the revenues for the full year of 2020 came in at $673 million. That reflected a year-on-year rise of 46%. The performance was welcomed by investors and it remains to be seen if the stock can continue to add to its gains today.