Centene Shares Popped: What You Need to Know

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of health care company Centene (NYS: CNC) have popped by as much as 12% today after the company reported third-quarter earnings results that topped market expectations this morning and raised its full-year outlook.

So what: Third-quarter revenue came in at $1.3 billion and earnings per share tallied up to $0.55. Analysts were expecting $1.3 billion in revenue and $0.54 in earnings per share. The portion of premiums spent on medical costs ticked down to 83%.

Now what: The company now expects full-year earnings per share in the range of $2.09 to $2.13, up from the previously guided range of $2.03 to $2.13. Full-year revenue is expected in the ballpark of $5.1 billion to $5.2 billion, up from $5 billion to $5.2 billion. As a follow-up to the results, Wells Fargo came out with an upgrade intraday, moving the stock's rating from market perform to outperform while increasing its valuation range from $30 to $32 up to $39 to $42.

Interested in more info on Centene? Add it to your watchlist byclicking here.

At the time this article was published

Copyright © 1995 - 2011 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Can't get enough business news?

Sign up for Finance Report by AOL and get everything from retailer news to the latest IPOs delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.