Aetna Inc. is one of the nation's leading diversified healthcare benefits companies. The company, with its strong business, a diversified revenue stream should benefit in this changing environment.
Aetna’s Government business is well poised for long term growth. Cost-reduction initiatives and growing ACO collaborations have paved the way for long-term growth. A strong balance sheet is another positive.
Aetna has, however, been incurring losses in its public exchange business and has been exiting exchanges to avoid losses from this business. Furthermore, its membership growth remains under pressure. Increasing medical benefit ratios also weigh on the margins.
Aetna has a pretty good earnings track record with the company delivering positive earnings surprises in each of the last four quarters with an average surprise of 23.1%.
Currently, Aetna has a Zacks Rank #2 (Buy), but that could definitely change following the company’s earnings report which was just released. You can see the complete list of today’s Zacks #1 Rank stocks here
We have highlighted some of the key stats from this just-revealed announcement below:
The Bottom Line: Aetna beats on earnings. Our consensus called for EPS of $2.06 and the company reported earnings per share of $2.45 and increased 18% year over year.
Aetna Inc. Price and EPS Surprise
The Top Line: Total Revenues missed out expectations. Aetna posted operating revenues of $14,948 million, where as our consensus estimate of $15,108 million. Revenues also declined 5% year over year due to lower premiums in Aetna's Health Care segment.
Key Stats:
Adjusted operating expense ratio was 17.5%, improved 10 basis points year over year.
Medical membership totaled 22.2 million at Sep 30, 2017, up slightly from the prior year period.
2017 Guidance Raised
The company raised its 2017 adjusted operating earnings to approximately $9.75 from the previously guided range of $9.45 to $9.55.
Check back later for our full write up on this AET earnings report later!
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Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.
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Aetna's (AET) Q3 Earnings Beat Estimates, Up Y/Y
Aetna Inc. is one of the nation's leading diversified healthcare benefits companies. The company, with its strong business, a diversified revenue stream should benefit in this changing environment.
Aetna’s Government business is well poised for long term growth. Cost-reduction initiatives and growing ACO collaborations have paved the way for long-term growth. A strong balance sheet is another positive.
Aetna has, however, been incurring losses in its public exchange business and has been exiting exchanges to avoid losses from this business. Furthermore, its membership growth remains under pressure. Increasing medical benefit ratios also weigh on the margins.
Aetna has a pretty good earnings track record with the company delivering positive earnings surprises in each of the last four quarters with an average surprise of 23.1%.
Currently, Aetna has a Zacks Rank #2 (Buy), but that could definitely change following the company’s earnings report which was just released. You can see the complete list of today’s Zacks #1 Rank stocks here
We have highlighted some of the key stats from this just-revealed announcement below:
The Bottom Line: Aetna beats on earnings. Our consensus called for EPS of $2.06 and the company reported earnings per share of $2.45 and increased 18% year over year.
Aetna Inc. Price and EPS Surprise
Aetna Inc. Price and EPS Surprise | Aetna Inc. Quote
The Top Line: Total Revenues missed out expectations. Aetna posted operating revenues of $14,948 million, where as our consensus estimate of $15,108 million. Revenues also declined 5% year over year due to lower premiums in Aetna's Health Care segment.
Key Stats:
Adjusted operating expense ratio was 17.5%, improved 10 basis points year over year.
Medical membership totaled 22.2 million at Sep 30, 2017, up slightly from the prior year period.
2017 Guidance Raised
The company raised its 2017 adjusted operating earnings to approximately $9.75 from the previously guided range of $9.45 to $9.55.
Check back later for our full write up on this AET earnings report later!
Wall Street’s Next Amazon
Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.
Click for details >>