Goldman Sachs reported on Tuesday that it has resumed coverage of health benefits company, Aetna Inc. (AET).
The firm has resumed coverage of AET with a “Buy” rating and a $68 price target. This price target suggests a 13% increase from the stock’s current price of $59.14.
Analysts based their rating on the company’s defensive business mix, the effect of the Coventry Health Care acquisition, and its potential earnings growth.
Due to the company being well positioned in the healthcare industry, the firm has lifted its estimates for FY2013 from $5.60 to $5.90 per share. FY2014 estimates are now $6.50 per share, from $5.88 per share, and FY2015 estimates were raised from $6.36 to $7.15 per share.
Aetna shares were mostly flat during premarket trading Tuesday. The stock is up 28% YTD.
The Bottom Line
Shares of Aetna Inc. (AET) have a 1.35% yield, based on Monday’s closing price of $59.14.
Aetna Inc. (AET) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.