MOH Posts Healthy Q1 Results
Analysts at Oppenheimer & Co reiterate their "perform" rating on Molina Healthcare (NYSE: MOH), while raising their estimates for the company. The target price for MOH is set to $25.
MOH had posted strong Q1 EPS, which was twice the EPS forecasted by the analysts. The full year guidance appears to have some cushion, in case the flu season returns later in the year. “ Even after taking on the Unisys acquisition, Molina is still looking to expand its core platform, as the company is participating in the Dallas STAR RFP, which is expected to be awarded at some point this month…Washington, which had been a very profitable market, is now a challenge, as rates have not kept pace with medical inflation,” the analysts mention.
Oppenheimer & Co has raised its EPS estimates for 2010 from $1.45 to $1.55.
