Oscar Health, Inc. (OSCR) shares tumbled 5.21% in pre-market trading on Tuesday following the announcement of disappointing preliminary financial results for the second quarter of 2025 and a downward revision of its full-year guidance.

The health insurance technology company reported an expected net loss of approximately $228 million for Q2 2025. This significant loss, coupled with a revised and less optimistic outlook for the full year, has spooked investors. Oscar Health now anticipates total revenue for 2025 to be between $12.0 billion and $12.2 billion, with a Medical Loss Ratio ranging from 86.0% to 87.0%.

Adding to investor concerns, the company projects a full-year loss from operations between $300 million and $200 million. The adjusted EBITDA loss is expected to be approximately $120 million less than the loss from operations, indicating ongoing profitability challenges. These figures suggest that Oscar Health continues to struggle with cost management and profitability in the competitive health insurance market, prompting the significant pre-market sell-off.