Elevance Health (ELV) is the new name of Anthem, the insurance giant; the company says the new name brings together two concepts — elevate and advance, explains Chuck Carlson, dividend reinvestment specialist and editor of DRIP Investor.

I have to admit that I sometimes chuckle at these name changes and wonder how much money the firm spent creating a new name.

To be fair, Elevance continues to produce results for shareholders. Per-share profits grew 14% in the second quarter and were $0.30 better than analysts’ estimates. Revenue of $38.5 billion was up 15% year over year and also beat expectations.

Elevance stock fell on the earnings news, as Wall Street probably was concerned a bit by the company’s second-half guidance. I think the selling was a bit overdone. I think it is the nature of insurance companies to be conservative, so I believe the firm will outperform expectations in the second half of the year.

Health insurers have held up well year to date, and Elevance is no exception. The stock is up slightly for the year versus a 16% decline in the S&P 500 Index.

I like health insurers for their fairly steady performance. I’m a big fan of UnitedHealth (UNH), which does not have a DRIP and must be bought via a broker. Elevance should outpace the market for the year overall, and I expect these shares to produce steady returns over the long term.

Please note Elevance offers a direct-purchase plan. Minimum initial investment is $2000. Subsequent investments are a minimum $50. Computershare is the transfer agent. For enrollment information call (866) 299-9628 or visit computershare.com.

Subscribe to DRIP Investor here…