UPDATE: Wedbush Color On MOH Target Increase

Wedbush, which raised its PT on shares of Molina Healthcare Inc. (NYSE: MOH), is providing some color on the stock.

“We are raising our 1Q11 estimate to $0.56 from $0.54 and our 2011 estimate to $2.41 from $2.40,” Wedbush writes.

“Risks to the attainment of our price target include high exposure to government businesses and the company's position as a price taker,” Wedbush writes. “Other risks include the potential for an increase in medical costs and utilization, the potential for key contracts to lapse, and execution risk in leveraging Medicaid expansion.”

Molina Healthcare closed Monday at $40.09.