UnitedHealth Group, HCA Raise Outlook
Both the health insurance company and the hospital operator raised their 2014 outlooks after posting results in the third quarter that beat expectations.
The Wall Street Journal: UnitedHealth’s Profit Boosted by Lower Medical Costs
UnitedHealth Group Inc. raised its outlook for the year as it posted strong results in the most recent quarter, driven by lower medical costs. Earnings topped analysts’ expectations. The company said it now expects to post earnings of $5.60 to $5.65 a share for the year, up from its previous call of $5.50 to $5.60 a share. It had previously raised the bottom end of its guidance range because of strong results and improving trends (Calia, 10/16).
The Wall Street Journal: HCA Raises 2014 Outlook, Buoyed By Better Quarterly Estimates
HCA Holdings Inc. raised its 2014 outlook as the hospital operator also projected third-quarter results that topped analysts’ estimates. Shares rose 5% to $68.10 in recent after-hours trading. For the year, the company raised its per-share earnings estimate to between $4.40 and $4.60 with revenue at $36.5 billion to $37 billion, from its previous estimate for per-share profit of $4 to $4.25 and revenue of $36 billion to $36.5 billion. For the current quarter, the company forecast per-share earnings of $1.16, including asset-sale losses of two cents a share, and revenue of $9.22 billion. Analysts polled by Thomson Reuters expected per-share profit of 97 cents and revenue of $9.04 billion (Stynes, 10/15).