Is Express Scripts 2015 Guidance Good Enough For All-Time Highs?

Health and Healthcare

Published: February 23, 2015 4:45 pm

This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.

After the markets closed Monday, Express Scripts Holding Company (NASDAQ: ESRX) reported its fourth-quarter financial results as $1.39 in earnings per share (EPS) and $26.31 billion in revenue. This is compared to the Thomson Reuters consensus estimates of $1.38 in EPS and $25.68 billion in revenue. The same period from the previous year had $1.12 in EPS on $25.78 billion in revenue.

Express Scripts gave guidance for both the first quarter and the 2015 full year, it expects between 1.28 billion to 1.32 billion adjusted claims for the full year and a range of 295 million to 325 million for the first quarter. Express Scripts expects EPS to be in a range of $1.07 to $1.11 for the first quarter compared to Thomson Reuters consensus estimates of $1.16 in EPS and $24.53 billion in revenue.

Fourth quarter net cash flow from operating activities was $2.92 billion and the Express Scripts repurchased 10.1 million shares of common stock for $819.5 million during this quarter.

Express Scripts also announced that John O. Parker, Jr. retired from its Board of Directors on February 18, primarily due to health reasons.

George Paz, Chairman and CEO of Express Scripts, said:

While we are proud of our heritage and the work we have done for clients, we are even more excited about the future we have ahead of us. We believe our growth and focused acquisition approach has positioned us uniquely in the healthcare services landscape to improve health outcomes and lower cost in an aligned model that keeps our clients and patients first, but also returns exceptional results to our shareholders.

As you might remember, Express Scripts partnered with AbbVie Inc. (NYSE: ABBV) to exclusively distribute its Hepatitis C vaccine (HCV) in effort to take over some of Gilead’s market share.

It is also worth noting the Express Scripts’ stock hit a new all-time high in trading at $86.87 on Monday.

ALSO READ: Jefferies 4 Top Financial Stock Picks

Shares of Express Scripts closed Monday up 0.7% at $86.72. In after-hours trading, shares were up 2.5% at $88.84. The stock has a consensus analyst price target of $88.93 and a 52-week trading range of $64.64 to $86.87.

The Average American Is Losing Their Savings Every Day (Sponsor)

If you’re like many Americans and keep your money ‘safe’ in a checking or savings account, think again. The average yield on a savings account is a paltry .4% today, and inflation is much higher. Checking accounts are even worse.

Every day you don’t move to a high-yield savings account that beats inflation, you lose more and more value.

But there is good news. To win qualified customers, some accounts are paying 9-10x this national average. That’s an incredible way to keep your money safe, and get paid at the same time. Our top pick for high yield savings accounts includes other one time cash bonuses, and is FDIC insured.

Click here to see how much more you could be earning on your savings today. It takes just a few minutes and your money could be working for you.