NEW YORK (TheStreet) -- Shares of WellPoint (WLP) may trend higher Friday after the company announced it was raising earnings guidance for 2014.
The company said Friday it expects full-year net income of more than $8.20 a share, driven by growth of 1 million to 1.3 million net new medical members and mid-single digit percent increases in both operating revenue and operating earnings.
CEO Joseph Swedish said, "We are building on the positive operating momentum we've achieved across the organization over the last year. While it is early in 2014, we are encouraged by results thus far across our businesses and we believe Exchanges are tracking our general expectations. As such, we are raising our 2014 earnings outlook from 'greater than $8.00 per share.'"
Swedish said the "updated outlook reflects solid growth in membership, revenue and operating earnings."
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TheStreet Ratings team rates WELLPOINT INC as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about its recommendation:
"We rate WELLPOINT INC (WLP) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels and solid stock price performance. We feel these strengths outweigh the fact that the company has had sub par growth in net income."