In a report published Monday, Credit Suisse analyst Ralph Giacobbe reiterated a Neutral rating on WellPoint WLP, and raised the price target from $92.00 to $107.00.
In the report, Credit Suisse noted, “WLP hosted an Investor Day Friday and increased 2014 guidance to greater than $8.20 (vs. previous $8.00+). Mgmt also reaffirmed the company's 5-year expected EPS CAGR of 10-14% and additionally pointed to 2018 potential for EPS of $14+ on operating revenues of $100B+. The discussion was bullish and covered a variety of topics including an overview of the Commercial and Gov't businesses, the l-t growth potential, and strong capital position/flexibility. We maintain our Neutral rating given the recent move in the stock and as we look to get greater visibility/comfort on exchange margins, but came away from the meeting generally more positive on the stock and increase our TP to $107 (from $92), which assumes shares can trade at 12x our ‘15E EPS.”
WellPoint closed on Friday at $99.77.
Market News and Data brought to you by Benzinga APIs© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Loading...
Benzinga simplifies the market for smarter investing
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
Join Now: Free!
Already a member?Sign in