NEW YORK (TheStreet) -- Shares of Verisk Analytics (VRSK) were gaining 7.1% to $72.75 on heavy trading volume Wednesday after the data analytics firm beat analysts' estimates for earnings and revenue in the fourth quarter.
Verisk Analytics reported earnings of 65 cents a share for the fourth quarter, beating analysts' estimates of 63 cents a share for the quarter. Revenue grew 11.6% year over year to $464.86 million for the quarter, above analysts' estimates of $457.36 million.
Revenue from the company's insurance category grew 12.3% year over year to $155 million in the fourth quarter. Financial services revenue grew 25.2% to $28.65 million, and healthcare category revenue grew 21.8% to $94.74 million for the quarter. Revenue from specialized markets fell 0.5% to $21.54 million for the quarter.
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"Our fourth-quarter results were excellent, reflecting solid execution across our businesses," President and CEO Scott Stephenson said. "For the full year, all our major verticals delivered very strong growth, in line with our expectations. Our profitability in 2014 was good, even as we continued to invest in new and existing solutions and improved operational processes at Verisk Health."
About 2.3 million shares of Verisk Analytics were traded by 12:13 p.m. Wednesday, compared to an average trading volume of about 674,000 shares a day.
TheStreet Ratings team rates VERISK ANALYTICS INC as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
"We rate VERISK ANALYTICS INC (VRSK) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, growth in earnings per share, expanding profit margins, increase in stock price during the past year and increase in net income. We feel these strengths outweigh the fact that the company shows weak operating cash flow."
You can view the full analysis from the report here: VRSK Ratings Report