Analysts are weighing in on how Express Scripts Holding Company (NASDAQ:ESRX) , might perform in the near term. Wall Street analysts have a much less favorable assessment of the stock, with a mean rating of 2.6. The stock is rated as buy by 7 analysts, with 3 outperform and 13 hold rating. The rating score is on a scale of 1 to 5 where 1 stands for strong buy and 5 stands for strong sell.
For the current quarter, the 21.00 analysts offering adjusted EPS forecast have a consensus estimate of $1.58 a share, which would compare with $1.44 in the same quarter last year. They have a high estimate of $1.59 and a low estimate of $1.56. Revenue for the period is expected to total nearly $25.39B from $25.45B the year-ago period.
For the full year, 23.00 Wall Street analysts forecast this company would deliver earnings of 6.36 per share, with a high estimate of $6.40 and a low estimate of $6.31. It had reported earnings per share of $5.53 in the corresponding quarter of the previous year. Revenue for the period is expected to total nearly $102.20B versus 101.75B in the preceding year.
The analysts project the company to maintain annual growth of around 15.01% percent over the next five years as compared to an average growth rate of 12.01% percent expected for its competitors in the same industry.
Among the 18 analysts Data provided by Thomson/First Call tracks, the 12-month average price target for ESRX is $80.50 but some analysts are projecting the price to go as high as $95.00. If the optimistic analysts are correct, that represents a 23 percent upside potential from the recent closing price of $76.95. Some sell-side analysts, particularly the bearish ones, have called for $63.00 price targets on shares of Express Scripts Holding Company (NASDAQ:ESRX) .
In the last reported results, the company reported earnings of $1.44 per share, while analysts were calling for share earnings of $1.40. It was an earnings surprise of 2.90%percent. In the matter of earnings surprises, the term Cockroach Effect is often implied. Cockroach Effect is a market theory that suggests that when a company reveals bad news to the public, there may be many more related negative events that have yet to be revealed. In the case of earnings surprises, if a company is suggesting a negative earnings surprise it means there are more to come.
Express Scripts Holding Company operates as a pharmacy benefit management (PBM) company in the United States, Canada, and Europe. The company operates through two segments, PBM and Other Business Operations. The companys PBM segments products and services include clinical solutions to enhance health outcomes; specialized pharmacy care; home delivery pharmacy; specialty pharmacy, including the distribution of fertility pharmaceuticals that require special handling or packaging; and retail network pharmacy administration. It also provides benefit design consultation; drug utilization review; drug formulary management; an array of Medicare, Medicaid, and health insurance marketplace; administration of a group purchasing organization; and consumer health and drug information services. In addition, the company distributes specialty pharmaceuticals and medical supplies to providers, clinics, and hospitals; and offers consulting services, including design, implementation, and project management for pharmaceutical, biotechnology, and device manufacturers to collect scientific evidence to guide the use of medicines. It serves managed care organizations, health insurers, third-party administrators, employers, union-sponsored benefit plans, workers compensation plans, government health programs, providers, clinics, hospitals, and others. As of December 31, 2015, the company operated four automated dispensing home delivery pharmacies; one non-automated dispensing home delivery pharmacy; and one non-dispensing home delivery pharmacy maintained for business continuity purpose, as well as several non-dispensing order processing centers, patient contact centers, specialty drug pharmacies, and fertility pharmacies. The company was formerly known as Aristotle Holding, Inc. and changed its name to Express Scripts Holding Company in April 2012. Express Scripts Holding Company was founded in 1986 and is headquartered in St. Louis, Missouri.