Morgan Stanley Increases Coventry Health Care 2011/2012 Estimates

Following a solid Q3 showing by Coventry Health Care, Inc.

, Morgan Stanley has nudged up its 2011 and 2012 EPS forecasts from $2.45/$2.60 to $2.50/$2.70 (with both still factoring in significant margin pressure). “An 11x multiple on our higher 2012E forecast takes our price target up by $2 to $30, representing base case potential upside of 20+%,” Morgan Stanley writes. Coventry Health Care closed Friday at $24.87.