What to Expect from Aetna’s 1Q15 Earnings
Preview for Investors: Aetna’s 1Q15 Earnings (Part 1 of 5)
Aetna’s 1Q15 earnings
Aetna (AET) announced that it will release its 1Q15 earnings’ results on April 28, 2015—before the market opens for trading. Aetna’s share price increased by ~12.6% since its fourth quarter earnings were announced on February 3, 2015.
Estimated EPS
According to Wall Street estimates, Aetna’s EPS (earnings per share) will be $1.94 in 1Q15—a rise of 25.9% from the projection for the same quarter last year. Aetna’s actual results consistently beat analysts’ expectations in the first three quarters of 2014. In 4Q14, the actual EPS was slightly below the estimated number.
Other companies in the industry—including Centene (CNC), UnitedHealth (UNH), and Cigna (CI)—also displayed the trend. They consistently outperformed Wall Street EPS estimates for most of 2014. These companies will be releasing their 1Q15 earnings reports during the period from the last week of April to the first two weeks of May. We’ll cover most of these companies’ earnings. Please visit Market Realist to get prompt updates for the companies.
Aetna is one of the largest health insurance companies in the US. It has a total market capitalization of $37.6 billion. Healthcare services consist of healthcare facilities and health insurance companies. They account for about 12.1% of the Healthcare Select Sector SPDR ETF (XLV). Aetna forms about 1.4% of XLV’s total portfolio. To learn more about the health insurance industry, read The health insurance industry’s key players and origins.
Overview
Aetna provides health benefits and services to about 23.5 million people in 19 states in the US. In 2014, the company earned revenue amounting to $58 billion. Also, it was ranked 57th in the Fortune 500 rankings for 2014.
In this series, we’ll analyze the key trends expected in Aetna’s upcoming earnings release. We’ll also report the key developments and expected metrics for this earnings season.
Browse this series on Market Realist:
