Hurt By Costly Medicare Claims, WellPoint Misses Analysts’ Profit Expectations
WellPoint -- hurt by high medical costs for seniors in its Medicare plans -- missed analysts' quarterly profit expectations. WellPoint says it met its own expectations for the quarter.
The Wall Street Journal: Care For Seniors Saps WellPoint Profit
WellPoint Inc.'s profit fell 39 percent as high medical costs for seniors continued taking a toll, bucking a trend of generally light costs seen elsewhere in the managed-care sector. The Indianapolis-based firm's results fell short of analysts' expectations, even though the company said it met its own guidance. WellPoint set financial targets for the new year that also missed Wall Street expectations (Kamp, 1/26).
Reuters: WellPoint Profit Misses Street View
WellPoint Inc posted a quarterly profit that missed analysts' estimates, hurt by high claims in its Medicare plans for the elderly, and issued a 2012 profit forecast that could fall short of Wall Street's target. ... Like rivals, WellPoint is seeking to increase its business of selling privately administered Medicare Advantage plans to capitalize on the aging postwar baby boom generation becoming eligible for the government-run Medicare program (Krauskopf, 1/25).